What is your favorite small cap and do you own it and reasons if there are? I own Santova at the moment. Good management, great acquisitions and diversifying outside of local market. International fuel prices should help them allot. A bit concerned about the local market though, but exports should be picking up USD/ZAR rates.
This is a tough one. I currently hold 3 in my portfolio. SNV, ADI. Good management and Unique product/service offerings. Hold ACG as well. Love their investment philosophy and has good management. Pays dividends in its first year of listing.
At the risk of sounding as despondent as I feel - I am struggling to find any reason to invest in South African small caps whatsoever. The risks are so profound that they militate against investing regardless of any items accruing to them on the credit side of the analysis... labour, taxes power, water, currency collapse, inflation, unemployment, crime, incompetence in regulatory administration. Then there are the political threats. As much as it pains me admit it, usually they (however "they" are) are right... ie. trade/invest with the momentum.