Venture Capital Trusts (VCTs) are quoted private equity funds similar to investment trusts and were introduced by the Chancellor of the Exchequer in the 1994 Budget to encourage private individuals to invest, through professionally managed funds, in unquoted businesses in the UK.

Who should invest in a VCT?

VCTs are designed to appeal to private individuals who are in a position to utilise the attractive range of tax benefits available to eligible investors.

If you would like more information about our investments then please contact us.

Further information is provided by the Association of Investment Companies.

An investment in a Venture Capital Trust (“VCT”) carries a higher risk than many other forms of investment. In addition, the value of an investment in a VCT may go down as well as up and investors may not get back the full amount invested, even after taking into account the tax reliefs. VCTs usually trade at a discount to their net asset value. It may be difficult to exit VCTs and they should be considered as long-term investments. The past performance of the Company is not a reliable indicator of its future performance.

NVM does not offer investment or tax advice or make recommendations regarding investments.

“There is robust investor demand, especially for the good-quality generalists paying regular dividends. For investors who have exhausted ISA and pension allowances, or for adventurous investors who want to diversify their income stream, VCTs remain an attractive proposition.”

Ben Yearsley Investment Director and Co-Founder at Wealth Club Ltd

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