Calculus Capital is to waive initial fees on its new VCT until the end of the year, making it one of the most attractive in the current marketplace.
Most providers charge “promoter fees” of between 3% and 5% and Calculus will waive this fee if a subscription is made before the end of the year.
Calculus launched its first VCT over a decade ago and its funds have consistently hit their dividend targets. It won Best EIS manager at this month’s Growth Investor Awards and was shortlisted in the VCT manager category. It is also a finalist in the Best VCT Manager category at Investment Week’s Tax Efficiency Awards, taking place on 30th November.
The new Calculus VCT, which invests alongside Calculus EIS funds, is aiming to deliver an annual dividend of 4.5% of NAV. VCT investments attract 30% income tax relief if held for five years. Dividends are tax free too, and there is no capital gains tax on the sale of shares.
The Calculus VCT offers investors a diversified portfolio of companies. Investors can commit from £5,000 to £200,000.
New rules introduced under the Finance Bill 2017/18 mean EIS and VCT funds have to be invested in genuinely entrepreneurial companies with growth prospects, rather than low-risk asset-backed schemes.
This may act as a constraint on the availability of VCT funds this year, but Calculus, which is looking to raise £10 million, has only ever invested in growth companies and sees no shortage of exciting investment opportunities.
John Glencross, CEO of Calculus Capital, said: “We have been successfully identifying great companies which have momentum and strong growth prospects ahead, for 20 years. The level of entrepreneurial activity in the UK today is incredible with an appetite from investors to back those companies. If you combine that with competitive management charges and this market-beating offer, it must make the Calculus VCT one of the most appealing available.”
After December 31st Calculus’s normal fees will apply – 5% for those applying direct, 3% for those applying through a professional adviser.