Investing in small companies

The InvestSMART Australian Small Companies Fund is a newly launched investment fund that focuses on small-cap stocks in Australia. It aims to provide investors with opportunities to benefit from the growth potential of smaller companies.

Investing in small-cap stocks can be a good opportunity because these companies often have significant growth potential. They may be less well-known and under-researched, which can lead to discovering undervalued stocks with the potential for high returns.

InvestSMART's stock selection process for the Australian Small Companies Fund involves thorough research and analysis by their team of experts. They focus on identifying small-cap stocks that show strong potential for growth and value.

While the article does not specify particular stocks, InvestSMART's team, including Deputy Head of Research Gaurav Sodhi and senior analysts Alex Hughes and Jon Mills, discuss their current interests in small-cap stocks during their online Q&A session.

InvestSMART constructs a portfolio of small-cap stocks by carefully selecting a diverse range of companies that they believe have strong growth potential. Their approach involves balancing risk and opportunity to create a well-rounded investment portfolio.

Small-cap stocks present opportunities for investors due to their potential for high growth. These companies are often in the early stages of development, which can lead to significant appreciation in value as they expand and succeed.

You can watch the highlights of the InvestSMART online Q&A, which lasts 10:51 minutes, to learn more about the Australian Small Companies Fund and hear insights from their research team.

To learn more about the InvestSMART Australian Small Companies Fund, you can click on the provided link in the article to access additional information and resources.