Keydata Investment Services is offering a venture capital trust later this year under the stewardship of Giles Hargreave, star manager of the Marlborough special situations fund.
The VCT will launch in September with a provisional maximum subscription of £30m. The product is Key-data's first VCT and will invest in Aim-listed companies. Manager Hargreave has a strong record in this area, having steered the Marlborough fund to a return of 261 per cent over the past five years. The UK smaller companies sector has returned 39 per cent over the same period.
Keydata says it is setting up the VCT to take advantage of new rules doubling tax relief to 40 per cent and the maximum investment level to £200,000. It says it will have a robust strategy for managing the discount and a charging structure similar to that of investment trusts, which are typically cheaper than VCTs.
Hargreave says: “The sector has fallen under the spotlight since the announced changes to the tax regime and I am sure that investor interest in an area that creates excellent opportunities for value will be increased.”