Ormiston's four key themes to ride the European rally

Ian Ormiston, manager of the Ignis European Smaller Companies fund, has benefited from the rally in European stocks this year and has revealed the top themes driving returns in his portfolio.

Over the year to 29 November, his fund is up 52%, making it the top performer in the IMA European Smaller Companies sector, compared to an average return of 34%. The fund is also top over three years. Its performance has been helped by the strong rally in European smaller companies year to date, with the MSCI Europe ex UK Small Cap index up 33.5%. However, Ormiston (pictured) is convinced the rally is not over and still sees value and substantial upside in European small caps in the next couple of years. "Valuations have normalised from the very cheap levels from four years ago, no...