UK small caps to rally strongly says Gartmore

UK small caps have the potential to rally strongly as investors seek to rebalance their portfolios in...

UK small caps have the potential to rally strongly as investors seek to rebalance their portfolios into recovery stocks, says Gartmore's Gervais Williams. The Growth Opportunities manager says as we continue to see earnings downgrades many stocks will see recovery buyers and fewer sellers. "The patient is alive. Many of the stocks we are looking at could double from here and still look undervalued in terms of their future earnings," says Gervais. Sectors currently under-owned by investors are expected to be among those that recover the most, says Williams. He cites his increased exposu...