Defensive approach drives UK small-cap success

More defensive small-cap managers, particularly those avoiding Aim, have topped peer group over three years with SLI's Harry Nimmo at peak

As you might expect in a smaller companies sector, managers topping the UK small-cap peer group highlight their stock selection as the key factor behind returns. However, those who are prepared to take a more defensive approach have thrived in recent times, as a general flight to safety has hit small-cap returns. Standard Life UK Smaller Companies is the best performer over three years to 17 March, generating 59% against the 18.03% sector average. Daniel Nickol's Old Mutual UK Select Small Companies is ranked second with 57% followed by Invesco Perpetual UK Smaller Companies Equity wi...