Octopus predicts surge in VCT sales as UCIS ban bites

The VCT provider said the products were likely to benefit from the regulatory ban on the promotion of unregulated collective investment schemes (UCIS) to retail investors, which took effect on 1 January. VCTs were carved out of the new regulation, which was formulated last summer following a Financial Conduct Authority (FCA) review into UCIS, which found that the "riskier and often very complex fund structures" should only be sold to sophisticated investors and high net worth individuals "for whom these products are more likely to be suitable". Advisers have used VCTs as tax planning ...