The 14th annual Taking AIM survey by mid-tier accountants, Baker Tilly and Faegre & Benson, has found that an overwhelming majority of AIM listed companies do not regret listing despite the difficult year the market has had in 2008.
The benchmarking survey of over 150 AIM companies and investors examined AIM performance, expectations for 2009, regulation and AIM advisers.
Key findings include:
-74% would still have listed, even if they knew how difficult 2008 would be;
-Majority of institutional investors (67%) and companies (69%) expect market to recover in 2010;
-67% of companies and 80% of institutional investors expect to see market consolidation in 2009;
-82% of AIM investors consider UK companies to be more attractive than international concerns over the next year or two.
2008 saw the lowest level of AIM transactions since 1999, but AIM nevertheless fared better than almost all other growth markets, says Chilton Taylor, head of Capital Markets, Baker Tilly.
2009 is likely to see a natural reduction in the problem tail-end of AIM, and see some necessary consolidation resulting in a welcome strengthening of the market.
While AIM is not expected to recover in 2009, says Melanie Wadsworth, corporate partner, Faegre & Benson. Value and quality at the core of the market will mean that stock-picking should be increasingly rewarding.
L.D.