Artemis currently has more than 300m invested in Aim companies and has over 1bn in the UK small caps sector. Its first Aim VCT raised 33m in 2001 and a further 9m through a top-up C-share issue the following year.
Despite its Aim bias, the Artemis VCT 2 can also invest in unquoted companies and those which trade on Ofex. It will consist of a portfolio of around 50 qualifying companies, which will make up around 80 per cent of the portfolio. The remainder will be invested in a portfolio of cash, fixed-interest securities and unit trusts managed by Artemis.
The VCT will be managed by Lindsay Whitelaw and John Dodd, two of the founding members of Artemis. They have worked together for the last 10 years and currently manage the existing Artemis Aim VCT.
Whitelaw spent five years at Ivory & Sime Development Capital prior to Artemis and also has four years experience with venture capital group 3i. Dodd runs the UK smaller companies fund and alpha trust for Artemis and previously worked for Ivory & Sime., Gartmore and LAS Investment Management.
Statistics from the London Stock Exchange show that the FTSE Aim index has risen by 10 per cent so far this year while the FTSE All Share index rose by a modest 2.9 per cent over the same period. This explains why the majority of VCTs that were recently established as a result of the improved income-tax incentives focus on Aim.
However, not all Aim companies qualify for VCTs which may lead to many managers chasing the same companies and little variation between the trusts.