Asset manager Janus Henderson has launched a fund providing UK investors exposure to the global small-cap market.
The offering, he Global Smaller Companies Fund, is an open ended investment company (Oeic), a type of investment fund domiciled in the UK that is structured as a company in its own right to invest in stocks and other securities. The fund builds on the success of the Luxembourg Sicav ( a publicly traded open-end investment fund structure offered in Europe version, which has “consistently outperformed its benchmark” since its inception in August 2019, according to the asset manager.
The fund will follow the same investment strategy as the Sicav, aiming for long-term capital growth by identifying high-quality but undervalued small-cap stocks. It will be managed by portfolio manager Nick Sheridan.
Multifactor investing and the tilt towards mid and small caps
Sheridan commented: “Investing in global small-cap companies can offer several advantages for investors, including their outperformance compared to large caps, diversification benefits due to the wide selection across various industries and sectors, and the potential for significant growth opportunities due to market inefficiencies.”
Sheridan will be supported by Janus Henderson’s team of regional small-cap specialists, including portfolio managers Jonathan Coleman (US), Ollie Beckett (Europe and UK), Yunyoung Lee (Japan), and Sat Duhra (Asia).
Pat Sanderson, head of UK client group at Janus Henderson, added: “Building on our strong track record and success in our Sicav vehicle, I’m delighted that we are now extending our global small cap expertise to investors in the UK.
This fund is being launched in direct response to client interest; current valuations are extremely attractive compared to the large cap universe and small caps have tended to benefit the most from a lower interest rate environment. As central banks continue to cut rates in pursuit of a soft-landing scenario, we believe small caps are a compelling opportunity for investors at this time.”
