The VCT landscape is changing, but upfront tax relief is only one part of the story.
Our new research examines the 10-year dividend records of 29 VCTs, to understand how much tax-free income they have delivered and how their NAVs have held up along the way.
Important Notice: VCTs
Please be aware that VCTs are long-term investments. VCTs usually invest in small, unquoted companies and therefore carry a greater risk than many other forms of investment. They are also very illiquid and you may have to hold them for longer than the minimum five-year investment period. In addition, the level of charges is often greater than unit trusts and OEICs. Past performance is not necessarily a guide to the future. The value of investments, and the income from them, can fall as well as rise, due to market and currency fluctuations and you may not get back the amount originally invested. Chelsea Financial Services offers an execution-only service. If you require investment advice you should contact an expert adviser. Tax assumptions are subject to statutory change and the value of tax relief (if any) will depend upon your individual circumstances. Tax relief is restricted to total VCT investments for each investor to £200,000 per tax year and the initial tax relief cannot exceed the amounts which reduced the investor’s income tax liability to zero.