View more on these topics

Isis Aim VCT gets another bite of the cherry

Isis Asset Management is raising up to £4m to top up its Aim VCT 2.

The objective of Aim VCT2 is to provide tax-efficient growth and an attractive dividend stream for investors. It was established in 2000 and has raised over £42m since launch. It invests mainly in companies listed on the Alternative investment market, with a smaller percentage going into companies set to list on Aim in the next 18 months.

The portfolio currently contains around 88 holdings and this is likely to increase to 90 when the money from this offering is fully invested. The managers feel that small unquoted companies currently offer good growth prospects as valuations are low, leading to strong gains when the market recovers. However, Isis will not to invest immediately if suitable opportunities cannot be found so it may take up to three years before the cash is fully invested.

When looking for companies to include in the portfolio, the managers will look at a range of sectors and the companies will need to show they can achieve profits growth. Isis believes smaller companies are attracted to Aim rather than the general stockmarket because the regulatory framework is more flexible

This VCT may benefit from recent changes to VCT tax breaks which allow investors to claim 40 per cent income tax relief over the next two years. However, it would be a mistake for investors to see a VCT as a tax-efficient vehicle without looking at the investment proposition. With this trust, investors are buying into an established portfolio and a good track record. But although Aim companies are less risky than pure unquoted companies, smaller companies can be risky and this VCT may be useful only for a small part of an investor&#39s overall portfolio.

According to Standard & Poor&#39s the Isis Aim VCT 2 is ranked eighth out of 22 trusts based on £1,000 invested on a mid-to-mid basis with net income reinvested over three years to May 24, 2004.


Pru Intl to join antilaundering scheme

Prudential International has agreed to sign up to the Association of International Life Offices&#39 initiative to standardise anti-money laundering procedures across offshore jurisdictions. Last week, Money Marketing reported that Prudential International had said it was not yet ready to sign up to Ailo&#39s campaign to create a level playing field for anti-money-laundering procedures but the […]

Independent view

Advising on socially-responsible investment is an area of expertise that Charcol Holden Meehan has prided itself on for many years. It was about 16 years ago that the firm started to research SRI. Interestingly, this was as a result of clients asking if their money could be invested ethically. They had received unit statements detailing […]

FSA opening up to IFAs with regional surgeries

The FSA is going on the road in its first series of regional visits to IFAs which it hopes will make it appear more approachable. First port of call is Gloucestershire, where six members of the FSA team will answer queries from IFAs. IFAs will be able to book 45-minute surgeries to discuss issues. The […]

Alliance & Leicester makes tracks

ALLIANCE & LEICESTER 10 Year Base Rate Tracker &#45 Standard Package Type:Tracker mortgage Tracker term: 10 years Tracker rate: 0.99% above Bank of England base rate Payable rate: 5.24% Minimum loan: £25,000 Maximum loan: Up to 95% of valuation subject to a maximum of £250,000, up to 90% of valuation subject to a maximum of […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers. Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and thought leadership.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm