In this interview, Ollie Beckett, portfolio manager of TR European Growth Trust (TRG), provides an update on a period of particularly strong performance for European smaller companies, and looks at what the future might hold for a sector that is heavily geared to the global economy.
Key points include:
• Why Europe is the place to look for attractive niche leaders with good growth potential.
• How the region is leading the world in sustainable themes such as electrification and recycling.
• Why valuation is vital in an environment of rising inflation – whether transitory or not.
TR European Growth Trust seeks capital growth by investing in smaller and medium-sized companies that are quoted, listed or have operations in Europe (excluding the UK). It also has a long record of year-on-year dividend growth. The investment team at Janus Henderson Investors employs an unconstrained, bottom-up approach to portfolio construction, with a bias towards the smaller end of the small-cap universe.