A recent post from Star Investing that focused on Small Cap ASX issuers brought up a good point with regards to calling your microcap shareholders. Many MicroCap shareholders are individual retail investors as institutional investors tend to avoid microcaps. Because of that, retail investors can be less informed about what is going on in your company and clearly communicating with
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A recent post by Spencer Israel on Benzinga looked at “3 Myths About Penny Stocks.” One of the myths was that “Institutions cannot trade penny stocks.” Israel writes; “Many people assume that the penny stock market is made up entirely of retail traders and that institutions are prohibited from participating in the market, but this is actually not the case.
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Derren Nathan, head of research at London-based broker Hybridan, recently shared an article on IRMagazine.com titled “How small caps can tackle investor prejudice.” In the post, Nathan shared these four reasons why most institutional investors avoid microcaps; Minimum Market Cap. “Many funds will have a minimum market cap requirement, and even where this is not an official policy, we often
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In a recent post in Pensions & Investments, Christine Williamson shares that “Microcaps becoming a popular source in hunt for alpha.” According to Williamson, “Institutional investors are developing a keen taste for microcap stocks such as Red Robin Gourmet Burgers Inc. and Tex-Mex specialist Chuy’s Holdings Inc. as they seek higher-return pockets in global equity markets.” Key points of the
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A recent post on the Axial Forum looked at “The Best (and Least Expensive) Business Development Tool for Private Equity.” Many of those principles can be applied to microcap deal sourcing. The author, Brandon Labrum of Fund Lab, shared four deal sourcing tips for investors and advisors regardless of types of deals they do. 1. Newswires alone weren’t built for
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A recent post by Matt Metalios on the Axial Forum says “Time to Reconsider Proprietary Sourcing.” Investment firms across the board are facing increased competition due to record levels of dry powder, high valuations, and a constant increase of worldwide connectivity. These factors are forcing investment firms to rethink how they approach business development and differentiate their deal flow from competitors. Metalios
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Investor conferences and networking events are great ways to get face-to-face with investors but with limited time and lots of competition for attention, it can be difficult to stand out? In a recent post on the Axial Forum Sarah Plater shared five ways to stans out at an investor networking event. Plater’s tips include; 1. Prepare a 20-second elevator pitch 2. Open with
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In a recent post on the Axial Forum, Meghan Daniels discuses “What Makes a Great Private Equity Website.” Daniels shared five element every private equity website should include; 1. Investment criteria and approach 2. Team page 3. Portfolio companies 4. Contact 5. Mobile-responsive design Learn more HERE.
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In a recent post on LinkedIn, Tom Allinder discussed “Why an Alternative to Litigation is better for Lenders and Funders.” Allinder says the primary reason a funder should choose restructuring over litigation is because, through a restructure, funders have a much greater chance of receiving a return of capital (and a profit). For direct microcap investors, Allinder says restructures are
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An article on IRMagazine.com looks at how investment firms use social media by exploring the social media strategy of a mid sized London-based investment firm called BlueBay Asset Management. According to the article social media is viewed by the BlueBay team as a helpful asset, not only from a marketing aspect, but also as an investment-screening tool. Jayne Fieldhouse (head of
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