Finding microcap opportunity where others aren’t looking

By Perpetual Asset Management

7 April 2026

Download a PDF of this Article
Print this page

Co-portfolio managers ALEX PATTEN and JAMES RUTLEDGE outline why small and microcaps present compelling opportunities for active investors willing to do the hard work.

With limited broker coverage, the team relies on deep, bottom-up research and collaboration across dedicated analysts to uncover businesses trading at attractive valuations.

Learn how Alex and James identify promising prospects and the 'quality filters’ they apply to deliver a more resilient, "sleep at night” exposure to microcaps.

Watch the video for the full interview.

Learn more about Perpetual Pure Microcap Fund

About Perpetual’s Australian small and micro-cap equities team

Alex Patten and James Rutledge are co-portfolio managers of Perpetual Smaller Companies Fund and Perpetual Pure Microcap Fund.

Perpetual is a pioneer in Australian quality and value investing, with a heritage dating back to 1886.

We are one of Australia’s most respected and longstanding active investment managers, with a proven investment process that has been refined through more than 50 years of experience.

We have a track record of contributing value through “active ownership” and deep research.

Want to find out more? Contact a Perpetual account manager

STAFF%20Alex%20Patten.jpg

Alex Patten

Co-Portfolio Manager Smaller Companies, Pure Microcap.

Analyst, BAcc, CA

James Rutledge.jpg

James Rutledge

Portfolio Manager, Pure Value Share Fund, Co-Portfolio Manager Smaller Companies, Pure Microcap.

BAppFin, BEcon, CFA

This video has been prepared by Perpetual Investment Management (PIML) ABN 18 000 866 535, AFSL 234426. It is general information only and is not intended to provide you with financial advice or take into account your objectives, financial situations or needs. You should consider whether the information is suitable for your circumstances and we recommend that you seek professional advice. To the extent permitted by law, no liability is accepted for any loss or damage as a result of any reliance on this information. The PDS for the Perpetual Pure Microcap Fund (Fund), issued by PIML, should be considered before deciding whether to acquire or hold units in the Fund. The PDS and Target Market Determination for the Fund can be obtained by calling 1800 022 033 or visiting our website www.perpetual.com.au.

All investing involves risk including the possible loss of principal. No company in the Perpetual Group (Perpetual Group means Perpetual ABN 86 000 430 827 and its subsidiaries) guarantees the performance of any fund or the return of an investor’s capital. Total return shown for the Perpetual's Funds have been calculated using exit prices after taking into account all of Perpetual’s ongoing fees and assuming reinvestment of distributions. No allowance has been made for taxation.

The information is believed to be accurate at the time of compilation and is provided in good faith. References to specific securities in this presentation are for illustrative purposes only and any views expressed in this presentation are opinions and do not constitute a recommendation to act.

Australia and New Zealand

The information on this website is intended for Australian residents or citizens who are currently located in Australia, or where expressly indicated, New Zealand residents or citizens who are currently located in New Zealand only, and should not be relied on by residents or citizens of any other jurisdiction. By clicking the “Proceed” button below, you are agreeing to the Terms & Conditions of use.

Americas

Please read this information carefully as it governs your use of this website. Except as otherwise indicated, the contents of this website and the products and services are intended for persons residing in the United States, and the information on this website is only for such persons. This website is not directed to any person in any jurisdiction where its publication or availability is prohibited. Persons in such jurisdictions must not use this website. By clicking the “Proceed” button below, you are agreeing to these terms.

Singapore

Please read this information carefully as it governs your use of this website. The contents of this website and the products and services mentioned are intended for persons residing in Singapore, and the information on this website if only for such persons. This website is not directed to any person in any jurisdiction where its publication or availability is prohibited. By clicking the “Proceed” button below, you are agreeing to these terms.

United Kingdom

This information and the terms of use are subject to change at any time without notice. The contents of this website are intended for residents and citizens of the United Kingdom, and the European Union, and should not be relied on by residents or citizens of other jurisdictions. All investment products and services referenced in this website are managed and offered by either JOHCM or its affiliates within the Perpetual Limited group of companies ("Perpetual Affiliates"). By clicking the “Proceed” button below, you are agreeing to the Terms & Conditions of use.

Europe

This information and the terms of use are subject to change at any time without notice. The contents of this website are intended for residents and citizens of the United Kingdom, and the European Union, and should not be relied on by residents or citizens of other jurisdictions. All investment products and services referenced in this website are managed and offered by either JOHCM or its affiliates within the Perpetual Limited group of companies ("Perpetual Affiliates"). By clicking the “Proceed” button below, you are agreeing to the Terms & Conditions of use.