The UK investment service for high net worth individuals Wealth Club has processed the UK’s first ever online Venture Capital Trust (VCT) application.
Wealth Club told GBI Magazine that it is determined transform the £20bn VCT and EIS industry and said it is the first company to allow investors to apply for VCTs online.
The application which achieved the technological milestone was for Pembroke VCT and the amount was £50,000.
Wealth Club’s new online application process means that investors can now find out about a particular VCT and have their money invested on the same day, whereas it usually can take weeks.
Alex Davies, CEO and founder of Wealth Club who was formerly a board director at Hargreaves Lansdown for 15 years, said: “Despite the increasing popularity and the fact that VCTs are often invested in fast growing technology companies, the VCT industry itself is arguably stuck in the age of the paper and pen. To invest, investors are often expected to wade through encyclopaedia size prospectuses and fill out long and difficult to complete paper application forms. It means that those who want to apply have to be really determined to do so. Our new online application process begins to bring VCTs into the 21st century.
“It doesn’t matter whether you are 40 or 80, more and more people expect to be able to transact all their financial affairs online. It has always amazed me that the part of the industry we are in is so behind in this respect.”
Over £25m has been invested through Wealth Club and nearly 500 clients are investing through the platform.
