In light of the implications of the unfolding tragedy in Ukraine, the global growth outlook has dimmed, which means now more than ever, portfolios should be as diversified by asset class as possible to in order to maximise returns relative to risk.Higher risk assets they may be, yet 'micro caps', the London stock market's smallest quoted companies should form at least a portion of a...

The pros and cons of portfolios with only a small number of holdings have come under the spotlight after ratings company Morningstar downgraded LF Lindsell Train UK Equity (B18B9X7) from Gold to Bronze. Among the reasons cited was the higher levels of stock-specific risk than most peers created by the fund's portfolio being concentrated on just 23 stocks.The counterpoint to Morningstar's...