John Davies: Key themes affecting the VCT sector

Mitigating risks

clock • 3 min read

In addition to the traditional considerations associated with tax-advantaged investing, writes John Davies, advisers and their clients now need to factor in such issues as the Patient Capital Review and, yes, Brexit

Tax-advantaged investing is regarded by the UK government as a mechanism for powering the engine room of the economy. The younger, growing companies in the tax-advantaged space are essential to the well-being of the country as a whole, creating employment, prosperity and delivering revenues into the Exchequer. Last year saw record inflows into venture capital trusts (VCTs) alone, with some £800m committed by investors across the UK - and, when combined with the Enterprise Investment Scheme (EIS), the figure rose to around £1.5bn. With new pension restrictions fully in force, investing...

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