Josh McCathie from Downing Fund Managers discusses the VT Downing Small & Mid-Cap Income Fund, an equity income fund focused on small and mid-cap UK companies.
The fund aims to provide investors with an attractive dividend yield and the potential for capital growth, offering a total return proposition. With a differentiated approach, he said the fund focuses on small and mid-cap companies for income, offering a unique strategy compared to traditional equity income and small-cap funds.
McCathie said he is optimistic about the compelling valuations and positive earnings in the UK small and mid-cap sector for 2023.