Fund manager's comment:Equity market valuations modest by Stephen Whittaker

At the beginning of this year, there were two principal investment themes within the UK: the undervaluation of smaller and mid-cap companies relative to the main market and the UK market's overly bearish view of both UK and global economic prospects Higher interest rates and sterling strength had created difficulties for industrial, engineering, and other manufacturing companies, a disproportionate number of which occupy the UK smaller and mid-cap companies sectors. Institutions also neglected smaller and mid-cap company stocks due to disappointing performance and limited liquidity. In t...