"It always pays to be ahead of the game."
Now I don't know who originally penned this, but when dealing in small caps no truer saying could be said.
It's by tapping into the tiny start-ups of today - those pioneering the technologies of the future - that you will make your biggest gains.
And that's why I must tell you about ThruVision... an Oxford based company who have designed a scanner to detect suicide bombers by looking through their clothing.
In fact, it can pretty much see through anything! (I'm sure any man would kill to get their hands on one!)
It uses a technology called 'terahertz waves', which occupy part of the electronic-magnetic spectrum between radio waves and infrared light.
This smart little system enables observers to see through people - and can distinguish semtex from clay and cocaine from sugar...
The technology will first be deployed at the Canary Wharf complex. In a world first, the system will detect explosives, liquids and bomb-making components even if they are hidden under clothing or inside rucksacks.
With this kind of "superhero" technology the sky could, quite possibly, be the limit.
If demands kicks off you could see ThruVision’s technology being used in shopping centres, airports and train stations all over the world.
So watch this space… if ThruVision do ever come to market, seeking extra funding – I'll definitely be adding them to my portfolio.
Why the £200 billion global beauty market could triple the value of this tiny alternative health start-up...
Now... what do you get if you cross traditional Chinese medicine with the Western world’s obsession for alternative health therapies?
Well if the next company I'm going to tell you about has anything to do with it, the answer to that could be... very rich!
My next potential small cap beauty is involved in alternative health, which means big bucks.
Let me tell you why...
Hutchison China Meditech has just signed a research and development agreement with Procter and Gamble.
That’s pretty good going for a company so new to AIM - they only joined in May this year.
They'll be seeking new and active ingredients from Traditional Chinese Medicine (hopefully this won’t involve any tiger bones, rhino horns or bear bile!) and specific plant sources. Recently the company's CEO, Christian Hogg, said: "Plants, particularly those that have been used as traditional medicines, have a long-established record of efficacy and safety".
What's so significant about all this?
Well it represents a fantastic opportunity for the Chi-Med group.
Not only are they competing in a market worth an estimated $220 billion in global retail sales... their new best buddies at Proctor and Gamble are the global market leaders in beauty.
And from now on Chi-Med is the exclusive supplier of active components for any beauty care products P&G develop...
But here's the cherry: They'll retain the rights for any healthcare applications.
This is a really exciting market to be part of… and one that could be set to really take off.
I'll keep my eyes peeled for any further announcements. Be sure you'll be the first to here my findings.
The LSE bully-boy flexes his muscles and stamps his foot... but AIM still comes out as the investor market of choice...
Heard about the new rules surrounding AIM?
Well…
AIM looks set to continue growing as the world’s market of choice despite tougher stock exchange rules.
The shake-up announced last week features two key proposals...
The first forces an AIM listed company to have a website listing their management and financials (because we all know a company that has a website is obviously more professional!).
The second impacts on all the nomads (nominated advisers to you and I)...
They effectively police the market with responsibility for the quality of the floating companies. They've been hit with a written rule book to codify best practice.
To further enforce its new tough guy image the LSE expelled more than 30 cash shells, which failed to comply with the new rules introduced last year.
This time it's clear they mean business!
But it's good news for us...
The new rules will affect the amount of foreign companies that have flocked into AIM recently. It'll make it clear that the companies joining AIM ought to be there and should smoke out any dodgy outfit trying to get a listing.
Bye for now, I’m off to seek out some more exciting opportunities!
Melissa Carroll
for the Penny Sleuth
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