River and Mercantile has raised £50.6m for its UK Micro Cap investment trust run by Philip Rodrigs, in spite of targeting £100m for the new product.
Mr Rodrigs, the portfolio manager, called it a “strong result” for the investment trust.
Earlier in November, River and Mercantile revealed it was aiming to raise £100m for the trust, which will invest in UK micro cap companies with a market capitalisation of less than £100m.
Mr Rodrigs said: “I have already identified a number of interesting prospects that are suitable for the company’s portfolio and I will be working with my colleagues in the UK equities team using our proprietary PVT process to seek out micro cap opportunities in the less-researched area of UK quoted companies.”
Chairman Andrew Chapman added: “The issue has been well supported, particularly by the wealth management and adviser communities.
“It is clear from the successful launch that there is investor appetite for the compelling growth story offered by micro cap companies and we believe that investors can see the benefits of obtaining this exposure through a closed-ended company dedicated to investing in micro cap companies.”
