Investors should pay particular attention to the issue of VCT share price discounts to net asset values if the intention is to sell at the earliest possible opportunity without losing tax benefits, says Bestinvest.
Hugh Rogers, VCT analyst, says the issue of discounts has been brought to the fore because of the current window of investment opportunity following changes to VCT rules announced in the Budget. ”There’s a huge range in there,” Rogers says of the discounts numbers. ”Our advice to investors is to look at the past performance of discounts management.” With a new maximum annual investment limit of £200,000 and a 40% tax-back promise from the chancellor, many more investors are keen to buy and hold for the minimum three-year term under the new rules – at least, that is what the flurry ...
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