I am interested in peoples views.
I have some shares in a small AIM company which does not turn a profit yet but seems to have very good potential.
Since two capital raising exercises over the last two years I now notice that some > 60% of shares are held by large Institutional investors.
What will be the Institutional investors exit strategy, will they be looking at say 50% gain in there investment or what.
I ask as I am not sure what my own strategy should be.
Because of the high number of shares held by the larger investor the shares are not traded much, but I would presume will be traded more if and when the company becomes more successful.
Some may have a clause where they can not sell for a period of time...it may be a year or two..There again the money allocated into the company may be quite small and so there for may be long term as there portfolio can withstand any short term losses..
AIM is very much geared towards start ups and the likes, so are very speculative in any case...
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.