Eustace Santa Barbara talks about the long-term growth potential of smaller companies
In a video filmed for the website of fund ratings agency FundCalibre, Marlborough Special Situations Fund Manager Eustace Santa Barbara has explained why he and the investment team are passionate believers in the long-term growth potential of the UK’s innovative and agile smaller companies.
He says the fund favours companies with strong long-term prospects, with high-quality management and robust balance sheets, with relatively low levels of debt. This means they should be able to successfully navigate challenging economic conditions.
He says that at current valuations UK equities, and smaller companies in particular, look fundamentally undervalued and the team do not believe this discount will last forever.