RE: MiFID II7 Jul 2023 11:41
'Small Cap Equities – Oversold but not under loved
We are in an environment where qood quality stocks are being sold down in preference to lesser quality companies as investors sell anything with liquidity
Last time it was this bad was April/May 2020 due to Covid and Summer/Autumn 2008 when Lehman Bros went bust
It gives free reign to the short sellers, whoever they are, though many will have been deleveraged by their lenders
Equities will be prone to increasingly volatile swings as value investors pick up bargains in this unexpectedly poor market environment
If the UK government allows insurers and pension funds, which hold just 4% of their assets directly in UK equities, to invest in into new startups and infrastructure projects this should make a dramatic difference to the market.
But, how quickly this occurs and how much funding will be made is another question.'