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Are global small caps on the brink of recovery?

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Article written with Nish Patel for Citywire

Nish Patel discusses how he believes small caps are on the brink of a cyclical recovery despite recent volatility. Opportunity could be seen in sectors like industrials, property services, and energy—driven by inflation, deglobalisation, and increased government spending.

Important information: information is correct as of date of publication. Information from external sources is considered reliable but there is no guarantee as to its accuracy or completeness.

Investment risks

The value of your investments and any income from them can go down as well as up and you may not get back the original amount invested. Gearing is used for investment purposes to obtain, increase or reduce exposure to an asset, index or investment. The use of gearing can enhance returns to investors in a rising market, but if the market falls the losses may be greater.

Issued by Columbia Threadneedle Management Limited and approved for distribution 20/03/25.

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15 September 2025

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