The adventurers: The pros and cons of investing in unlisted companies

clock

Chris Hutchinson, fund manager at Unicorn Asset Management, outlines the risks and benefits of investing in unlisted companies...

Venture Capital Trust (VCTs) were initially established to encourage individuals to invest indirectly in a range of small, higher-risk trading companies whose shares and securities are not listed on a recognised stock exchange. By investing in a VCT, individuals are able to spread their investment risk over a number of companies, whilst also benefiting from attractive tax breaks. For the trading companies themselves, the VCT vehicle offers access to capital to help them develop and grow. During the past 17 years VCT managers have raised over £4.2bn. This amount represents a very signi...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on VCTs / EIS

Why renewables are becoming central to tax-efficient planning

Why renewables are becoming central to tax-efficient planning

Why renewables suit Business Relief strategies

Andrew Aldridge
clock 13 March 2026 • 5 min read
Same asset class, different intent: The reality of VCTs vs EIS

Same asset class, different intent: The reality of VCTs vs EIS

VCTs and EIS share the 'same noble policy goals'

Stuart Mant
clock 13 March 2026 • 5 min read
VCT flows increase 37% post-Budget as investors lock in tax relief

VCT flows increase 37% post-Budget as investors lock in tax relief

£310m invested since Budget

Michael Nelson
clock 10 February 2026 • 1 min read