He says liquidity has improved since the end of 2008. The group has bolstered its small-cap exposure across its multi-manager range through the Artemis special situations fund. Burdett says the liquidity situation was dire after investors degeared from all the asset classes but a few buyers have come in and improved the situation.

Thames River also holds the Rensburg UK managers’ focus trust which has the freedom to invest across market caps.

Burdett says: “There is a 70 per cent chance that the market has bottomed but, despite improvements, liquidity levels are still poor and there are no certainties that it will not reach those levels again so we need the right managers and the right flexibility.”