3I Group

My approach to investing is very random, researching new companies based on whims and fancy.

In an attempt to be a bit more systematic I have resolved to briefly research every FTSE 100 company by June 30 2006. That is roughly one every working day with some room for days off.

Doing so will help me manage my mortgage portofio, which needs to be invested in these sort of companies.

So here goes. Firstly... 3I group.

3I group is a private equity and venture capital fund. It mostly invests in communications, health, software, electronics, semi-conductors and petroleum.

3I releases a great set of results on Nov 10th with has caused the share price to rise over 10%. The stock is still fairly cheap, with a PE of about 11. This is based on the last full year results (March 2005.) The PE based on the last six months is more like 5.

3I looks like a well managed, growing company. However I do not generally invest in these type of companies as they are effectively making the investment decisions for you and you are purely investing in strength of the management. I prefer to make my own mistakes so I can learn from them and therefore will not be investing in 3I.