Fund buyers seeking to move up the market-cap spectrum after a difficult year for smaller stocks say they are struggling to find funds that are overweight UK large caps.
Balfour Beatty shares have plunged over 20% this morning, after the UK's biggest construction company issued another profit warning.
Wealth managers report their clients are clamouring to take on more risk in portfolios, even as markets retreat from record highs.
Investment trust analysts have slapped buy ratings on a number of smaller companies trusts, as recent selling opens up significant discounts in the sector.
Top-performing Neptune mid-cap manager Mark Martin has been adding to ex-FTSE 250 companies following the latest index shake-up.
Fund managers are turning away from the IPO hype which has seen many companies list this year, to concentrate instead on ‘overshadowed' mid-cap stocks.