GLG's Dixon: Miners are like tech companies in the 2000s

Warning sector could halve in next few years

GLG's Henry Dixon, manager of the £365m Undervalued Assets fund, has warned the number of mining companies could halve in the next few years, comparing the sector's turmoil to that of the technology sector in the early 2000s.

The former Matterley manager, who joined GLG in October 2013, said he has yet to find a supportive case for investment in the beleaguered sector, despite other managers finding opportunities. "I think people are expecting us to be doing more with the miners as we are contrarian, but out of 120 mining companies I really struggle to find more than three possible investments. "Our starting point for looking at companies is an overlay of cash generative businesses with sensitive balance sheets - these elements are still disappointing in the mining sector," Dixon (pictured) said. Comm...