views

WHAT IS THE OUTLOOK FOR ACTIVITY ON THE AIM MARKET?

<strong>JUDITH MACKENZIE ACUITY CAPITAL<br /></strong>Aim has fallen heavily and this is more of a bounce than a correction. However, I&rsquo;m pessimistic on the prospects for Aim. There has been some cash coming into the market recently, but the macro environment is still negative and the smaller firms in particular will continue to struggle.<br /><strong><br /></strong><strong>CHILTON TAYLOR BAKER TILLY<br /></strong>Ultimately the market will return, but there are reasons for caution. Stocks have picked up, consolidation is rising, secondary fundraising is going well and there are a few IPOs in the pipeline. But there are conflicting messages about the economy and the banks are still not lending.<br /><br /><strong>NEIL SHAH EDISON INVESTMENT RESEARCH<br /></strong>I believe in the argument that small caps will outperform large caps in the long term. As we move to a low growth, low return economic environment, fund managers will have to work harder to find growth stories and will turn to entrepreneurial firms. I am bullish on Aim&rsquo;s prospects.