Public Equity
A private equity approach to public markets
We combine rigorous due diligence with ongoing monitoring and constructive engagement to build a deep understanding of every company we invest in.

- Concentrated portfolios built around our highest-conviction investments
- Active engagement with company management and fellow shareholders
- Investment decisions guided by our clients’ long-term objectives rather than benchmark weightings
Strategies
Our Public Equity funds
Strategic Equity Capital plc
Strategic Equity Capital plc (“SEC”) is an LSE-listed investment trust, investing in small caps, seeking to create shareholder value through constructive corporate engagement with publicly-quoted companies.
WS Gresham House UK Smaller Companies Fund
A genuine smaller companies fund with a focus on good risk-adjusted returns over the long term.
WS Gresham House UK Micro Cap Fund
A fund invested in micro-cap stocks listed on the main market and AIM, with a market cap below £250 million.
WS Gresham House UK Multi Cap Income Fund
A multi-cap income fund with a bias towards investment in small and mid-cap companies.
Public Equity FAQs
Common questions on public equity and how these investments work.
What is public equity?
Public equity is ownership in a company whose shares are traded on a public market. Investors can buy shares directly or gain exposure through a fund. Returns may come from changes in share prices and, where paid, dividends.
Public equity includes companies of different sizes and at different stages of development. Growth stocks are shares in companies expected to increase their earnings over time. These companies may reinvest profits to support expansion rather than pay regular dividends. Smaller listed companies can also offer opportunities for investors to take meaningful shareholdings and engage with management as the business develops.
Expected growth may not materialise. Share prices can fall as well as rise, and smaller companies’ shares may be more volatile or harder to sell, particularly when markets are unsettled. Investors should consider these risks, their investment horizon and whether they can bear a loss before investing.
What are equity investments?
Equity investments allow investors to acquire an ownership interest in a company. By holding equity in a company, the investor becomes a shareholder and gains a stake in the company’s assets, profits, and – depending on the size of the interest – in the decision-making processes.
Equity investments offer investors the potential for long-term capital appreciation, making them an attractive option for investors seeking growth and/or income opportunities. As companies grow and generate higher profits, their share prices may rise, leading to capital gains for investors. The longer the investment horizon, the greater the potential for capital appreciation.
Alongside capital growth, equity investors may also receive dividends, which represent a share of the company’s profits distributed to shareholders. Dividends are typically paid out periodically, providing investors with a steady stream of income. Companies with a track record of consistent profitability and strong cash flows are more likely to pay dividends. Dividend payments can be reinvested or used as a source of income.
What are some characteristics of public equity?
Public equity, or publicly traded company shares, have several characteristics including:
Size: Refers to the market value of a company and is measured by market capitalisation or ‘market cap’ which is calculated by multiplying the number of shares in issue for a company by its share price. Companies are typically grouped by market cap.
Style: There are three styles of equity; value, growth and blend (sometimes known as neutral). A value stock is one where the company’s share price is being traded, or bought and sold, at below its intrinsic value. Value stocks tend to be larger, more well-established companies and they become undervalued for a range of reasons. If the company’s financials are robust then some investors will see a low share price as a good buying opportunity.
Value stocks are usually considered lower risk and have lower levels of volatility because they are larger and more well-established. They often pay dividends too.
Growth stocks by contrast are where investors see the potential for a company to grow its earnings significantly and therefore outperform against the wider market or the sector in which it operates.
Growth stocks are sometimes viewed as higher risk and can experience higher levels of volatility. Growth stocks usually do not pay out dividends, instead looking to reinvest earnings to drive further growth.
Volatility: A measure of how much a market price or company price moves, either up or down, over a particular period. Volatility can differ depending on company, sector or market circumstances. Liquidity – buying and selling of public shares can take place at any time, allowing investors with equity investments to liquidate their investments into cash with little notice depending on the size of transaction.
What is an example of public equity?
Public equities range from very large, well-known companies to much smaller companies operating in niche sectors or areas. Well-known public equity companies in the UK include HSBC, AstraZeneca, JD Sports, Next and EasyJet.
Insights
Latest news and thinking on Public Equity
Video update: Strategic Equity Capital plc (SEC)
Join the Strategic Equity Capital fund management team, Ken Wotton and David Bickerstaffe in discussion with Chris Elliott Managing Director,…
In defence of AIM: Revitalising a vital engine of UK economic growth
For the past 18 months UK equities have experienced heightened takeover activity at a time when the IPO market has…
Gresham House hit £500mn milestone on UK income fund
Gresham House defies sentiment to surpass £500mn milestone on UK Multi Cap Income Fund. Defying negative sentiment towards UK equities,…

Connect with our team
Whether you would like to explore our investment strategies, discuss your objectives or learn more about Gresham House, our team is here to help.
Key risks
The value of your investment and the income from it is not guaranteed and may fall as well as rise. As your capital is at risk you may get back less than you originally invested. Past performance is not a reliable indicator of future performance.
