For professional advisers and paraplanners only. Not to be relied upon by retail clients.
Here’s a popular planning scenario from Octopus.
Vijay is a contractor who’s established a limited company. He stands to receive a sizeable dividend. But since 2017/18 he faces a smaller dividend allowance.
He is comfortable with the risks, so his financial adviser suggests a venture capital trust (VCT) investment.
To see how this could work for a suitable client, take a look at the full scenario.
Download the planning scenario HERE
If you’ve read the scenario and would like to know some more about VCTs, it’s worthwhile joining Octopus for their webinar on Octopus Apollo VCT tomorrow at 11am. It will cover the basics and then talk about the VCT in some depth.
Register for the webinar HERE
Key VCT risks:
- The value of a VCT investment, and any income from it, can fall as well as rise. Investors may not get back the full amount they invest.
- Tax treatment depends on individual circumstances and may change in the future.
- Tax reliefs depend on the VCT maintaining its VCT-qualifying status.
- VCT shares are by their nature high risk, their share price may be volatile and they may be hard to sell.
VCTs are not suitable for everyone. Any recommendation should be based on a holistic review of your client’s financial situation, objectives and needs. We do not offer investment or tax advice. This advertisement is not a prospectus. Investors should only subscribe for shares based on information in the prospectus and Key Information Document (KID), which can be obtained from octopusinvestments.com. Issued by Octopus Investments Limited, which is authorised and regulated by the Financial Conduct Authority. Registered office: 33 Holborn, London, EC1N 2HT. Registered in England and Wales No. 03942880. Issued: August 2019. CAM008620-1908