AIM investors favour mining and resources in a difficult market
Tuesday, March 04, 2008
Investors in AIM companies are generally gloomy about investment prospects for the rest of 2008, but many predict that companies in the resources, oil and gas, and mining sectors will show the strongest growth during the year.
These are the initial findings from the 12th Taking AIM survey, from accountant and business adviser Baker Tilly, in partnership with Faegre & Benson.
But while explorers and miners will take heart, tech firms will be wary. Technology was favoured by those investors surveyed last year, but it has dropped to the bottom of the list of favoured sectors for 2008.
According to the research, fund managers’ pessimism was mainly driven by the uncertainty in global markets. However, some investors said that the increased capital gains tax for investors in start-up companies, the general fall in business confidence, and the switch by investors to the perceived safety of bigger companies would also have a negative impact on AIM.
Chilton Taylor, head of capital markets at Baker Tilly, said: “Not surprisingly investors are much more pessimistic about the markets for 2008. However, investors that take a stock picking approach will still find some value in investing on AIM. ”
Predictions for 2008
Nearly half of the investors surveyed (44%) predicted that the best performers this year would be mining, resources, oil and gas.
Nearly a fifth of investors (18%) predicted that support services companies would provide the best returns during this year.
Other sectors favoured this year include healthcare (14%), manufacturing (14%) and defence (10%).
Nearly two thirds of investors (64%) said that the number of IPOs would fall again in 2008.
Despite uncertainty in the market, Melanie Wadsworth, a corporate partner at Faegre & Benson believes that even in a difficult trading environment, quality AIM companies with a proven track record and strong business plan will attract investors.
“The market still has much to offer, particularly in sectors which are somewhat less vulnerable to any potential recession, such as resources and defence,” Wadsworth said.
The Taking AIM survey of listed firms involved 200 companies currently quoted on AIM, 50 private companies and 50 institutional investors actively investing in AIM-listed companies.
|
Relevant Companies
For more Company information and share price data click below:
Headlines
» Amino to acquire set-top box division from Tilgin
Thursday, November 20, 2008
» Protherics upbeat on figures ahead of coming together with BTG
Thursday, November 20, 2008
» Cambridge kicks off gold production at Quintana mine in Colombia
Thursday, November 20, 2008
» Pangea shakes off market fears with fundraising plans
Thursday, November 20, 2008
» Valiant making progress towards Don fields production
Thursday, November 20, 2008
» Microemissive Displays set to call in administrators
Thursday, November 20, 2008
» Oxford Catalysts completes “transformational” Velocys deal
Thursday, November 20, 2008
» Range Resources rejects Somali pirate connection
Thursday, November 20, 2008
» Kalahari Minerals pulls out of full merger with Extract Resources
Wednesday, November 19, 2008
» ARC International launches cost-saving Virtual Bass system
Wednesday, November 19, 2008
» Infonic completes software deal with Russian oil major
Wednesday, November 19, 2008
» ServicePower signs string of new contracts with US companies
Wednesday, November 19, 2008
» Dawson International agrees possible sale of Todd & Duncan business
Wednesday, November 19, 2008
» Rheochem’s Zeus Petroleum business wins North Sea license
Wednesday, November 19, 2008
» Armour Group shows its mettle in tough markets
Wednesday, November 19, 2008
» Cubus Lux confident on future projects despite flat interim figures
Wednesday, November 19, 2008
» See all News
Features
» Hunting for oil: GETECH Group plc
Friday, November 14, 2008
» Mobile marketing: HipCricket Inc
Friday, November 07, 2008
» Market maker: GoIndustry-Dovebid plc
Friday, October 31, 2008
» Breathe easy: Verona Pharma plc
Friday, October 24, 2008
» Well connected: Nexus Management plc
Friday, October 17, 2008
» Fine form: Formjet plc
Friday, October 10, 2008
» Interview with Jim Hannon, Hannon Westwood
Friday, October 03, 2008
» Interview with Tim Feather, Hanson Westhouse
Thursday, September 25, 2008
» Interview with Mark Fahy, London Stock Exchange
Tuesday, September 16, 2008
» Healthy return: Source BioScience plc
Friday, September 12, 2008
» Business broker: St Helen’s Capital plc
Friday, September 05, 2008
» Shaw thing: NetDimensions Holdings Ltd
Friday, August 29, 2008
» Complete package: Dowgate Capital plc
Friday, August 22, 2008
» American dream: Caza Oil & Gas, Inc.
Friday, August 15, 2008
» IT Security: Symantec Corp. Survey Results
Friday, August 08, 2008
» Media guru: Thomson Intermedia plc
Friday, August 01, 2008
» See all Features
Most Read
» Pangea shakes off market fears with fundraising plans
Thursday, November 20, 2008
» Oxford Catalysts completes “transformational” Velocys deal
Thursday, November 20, 2008
» Amino to acquire set-top box division from Tilgin
Thursday, November 20, 2008
» Microemissive Displays set to call in administrators
Thursday, November 20, 2008
» Range Resources rejects Somali pirate connection
Thursday, November 20, 2008
» Short term AIMs for software and IT companies and their route through recession
Wednesday, November 19, 2008
» Protherics upbeat on figures ahead of coming together with BTG
Thursday, November 20, 2008
» Valiant making progress towards Don fields production
Thursday, November 20, 2008
» Cambridge kicks off gold production at Quintana mine in Colombia
Thursday, November 20, 2008
» Kalahari Minerals pulls out of full merger with Extract Resources
Wednesday, November 19, 2008
» Hunting for oil: GETECH Group plc
Friday, November 14, 2008
» Interview with Tim Feather, Hanson Westhouse
Thursday, September 25, 2008
» ServicePower signs string of new contracts with US companies
Wednesday, November 19, 2008
» Mining Week: 14 November
Friday, November 14, 2008
» American dream: Caza Oil & Gas, Inc.
Friday, August 15, 2008
» Market maker: GoIndustry-Dovebid plc
Friday, October 31, 2008
Profiles
» Short term AIMs for software and IT companies and their route through recession
Wednesday, November 19, 2008
» An introduction to Bango
Monday, November 10, 2008
» Delivering security when budgets are tight
Thursday, November 06, 2008
» So what are you going to do in 2009?
Monday, November 03, 2008
» Well connected: Nexus Management plc
Sunday, November 02, 2008
» Fine form: Formjet plc
Sunday, November 02, 2008
» Shaw thing: NetDimensions Holdings Ltd
Sunday, November 02, 2008
» Back on track: SciSys plc
Sunday, November 02, 2008
» An introduction to SERVICEPower
Friday, October 31, 2008
» Desktops in a virtual world
Friday, October 31, 2008
» PR strategies for technology companies
Friday, October 31, 2008
» AIM - the opportunities for IT and software companies
Friday, October 31, 2008
» The challenge for companies in the IT industry
Thursday, October 30, 2008
|