Rensburg UK Smaller Cos: Qualitative Rating Issued

Rensburg UK Smaller Companies isn't without appeal, but its high degree of risk prevents it from being a strong choice for general small-cap exposure.

Tom Whitelaw | 23-03-09 | E-mail Article

We have published a new Morningstar Qualitative Rating and Research Report for Rensburg UK Smaller Companies.

"In our last report on this fund we warned that investors should be prepared for large performance swings thanks to manager Stuart Sharp's high-conviction approach. When Sharp gets it right, outperformance can be exceptional, but when he makes a bad call investors can suffer badly. The fund's risk have been on full display since mid 2008 when he was caught out by the collapse of commodity prices. At the time he was heavily overweight in industrial materials and energy stocks which were reliant on high and rising commodity prices for continued growth . . ."

Click here to access the opinion. The full four-page pdf report can be accessed here. Both are free to users of Morningstar.co.uk.

Tom Whitelaw is a Fund Analyst at Morningstar. He would like to hear from you but cannot give financial advice. You can contact the author via this feedback form.
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