INVESTING into UK shares is not always guaranteed to provide a healthy return.

This had certainty been true for long-term shareholders in Cadbury Schweppes, the UK's largest confectionery and soft drinks company. However, more recently, the shares have seen a strong rise and are providing a far sweeter return for investors.

Cadbury Schweppes, whose origins date back more than 200 years, produces many popular-named brands. They include fizzy and still soft drinks, chewing gum, Bassett's and, of course, chocolate products. The purchase of the Dr Pepper and 7Up brands in 1995 made Cadbury Schweppes the world's third largest soft drinks company. At that time, things were looking rather bubbly for investors.

That was, however, until the acquisition of Adams, the US chewing gum manufacturer, for $4.2bn in March 2003. The share price quickly fell, with the market's view that the company had finally bitten off more than it could chew. What was once quite a focused company was now considered to be perhaps too diverse, invested quite literally in allsorts.

During the next few years, Cadbury managed to claw back the lost value and more, as the management successfully integrated Adams into the business. Although Cadbury Schweppes has faced one of two specific product problems, following the sale of the European soft drinks operation in 2005, most brands have progressed with few hiccups.

The management hasn't been without critics, which have focused around the view that the US beverage business should be sold, allowing Cadbury to concentrate elsewhere. This is a strategy that Cadbury Schweppes had been determined to ignore. That was until a US hedge fund investor announced that he had bought a stake of just under three per cent in the company, and was likely to attempt to force the management's hand with regards to a change in strategy.

Despite the company setting a deadline for bids on its US beverage arm, it is unclear whether Cadbury Schweppes will break up or sell any more of its businesses, or whether a takeover of the whole company will materialise. What is true is that since March, the company's shares have strengthened more than 30 per cent and significantly out-performed the market. Shareholders will no doubt be looking closely at the company's results released today, to see whether any guidance or announcements are made by the management.

Another company which is announcing results today is Serco. The company trades in the support services sector and has achieved very good profit growth during the past few years. This had been fully reflected in the company's share price, until recently, when the shares fell 13 per cent in the space of a month.

Is this because of fears that the results will not be up to scratch? I doubt it. The last set of results, released in February, showed the company had achieved annual profit growth of 38 per cent. The management has an excellent track record of winning contracts.

With profits tending to surprise on the upside, following the results, investors may look to use recent weakness to buy into a company that should continue to outperform a strong UK bull market.

* Michael Rankin is an investment manager in the Teesside office of Wise Speke, and can be contacted on 01642-608855. Views expressed are the author's own and are not necessarily held throughout the Brewin Dolphin Group. Wise Speke is a division of Brewin Dolphin Securities Ltd, a member of the London Stock Exchange, authorised and regulated by the Financial Services Authority. Prices, values or income may fall against investors' interests. You should be aware that you may get less back than you invested. Investments may not always be suitable for all individuals. If you have any doubts, you should consult a professional advisor.