Paul Marriage, co-manager of the TM Tellworth UK Smaller Companies fund, explains why 2022 was “pants” for the UK smaller companies sector, both in terms of performance and from an M&A perspective. Yet Paul is optimistic for the sector in 2023 and is already seeing bids come through for M&A and beginnings of a healthy IPO market. We finish the interview with two examples from the portfolio, a company that manufactures radiators and one that makes gift wrap. 

What’s covered in this episode: 

• What made 2022 such a bad year for UK smaller companies
• What happened in October 2022 to trigger a rebound for the sector
• Why the FTSE 100 so strong last year
• Why there was less M&A activity in 2022
• M&A prospects for smaller companies in 2023
• Why a healthy IPO market is good for the economy
• The importance of face-to-face meetings when looking for new investments
• Why people still need radiators and how holding Stelrad Group can benefit
• How a Welsh coal-mining town became known for gift wrap…
• And how a wrapping paper company was a good bet at Christmas time 

More about this fund:
TM Tellworth UK Smaller Companies is a true smaller companies fund of approximately 50 holdings, run by two very experienced and highly regarded managers, Paul Marriage and John Warren. The fund has a solid investment process, with an emphasis on businesses with £100m to £500m market cap. It doesn't invest in micro-caps or mid-caps like some peers. 

Learn more on fundcalibre.com

Please remember, we’ve been discussing individual companies to bring investing to life for you. It’s not a recommendation to buy or sell. The fund may or may not still hold these companies at the time of listening. Elite Ratings are based on FundCalibre’s research methodology and are the opinion of FundCalibre’s research team only.

Learn more on fundcalibre.com

Please remember, we’ve been discussing individual companies to bring investing to life for you. It’s not a recommendation to buy or sell. The fund may or may not still hold these companies at the time of listening. Elite Ratings are based on FundCalibre’s research methodology and are the opinion of FundCalibre’s research team only.