From evolution to revolution: Investment trust sector urged to grow in order to 'stay relevant'

Brokers have long called for a shake-up of the investment company sector, with Numis analyst Ewan Lovett-Turner lamenting in July there were too many sub-scale companies trading on wide discounts and called on them to wind up or merge with existing companies. "The consolidation of wealth managers, the Woodford scandal and MiFID II have increased the focus on liquidity and costs, meaning that a large portion of the investment company universe is not investible to many of the core buyers," Lovett-Turner explained. The analyst predicted M&A would "remain disappointingly difficult to achi...