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The Octopus AIM VCTs are currently closed to new investment. Please click the button below to pre-register your interest and we’ll contact you when it next opens for fundraise.

Pre-register your interest

Embracing growth in emerging UK companies

VCTs invest in smaller companies, but you might be surprised at how large some of these companies can grow. The Octopus AIM VCTs feature established, maturing businesses from a diverse range of sectors. Our Smaller Companies team manages approximately £1.5 billion* and has a great track record of finding attractive and growing AIM-listed companies. And they love talking about the companies they invest in. Why not give them a call and find out for yourself? Oh, and in case you were wondering, we can facilitate initial and ongoing adviser charges too.

*Source: as at 30 September 2017.

Some risks to bear in mind

Please remember, this investment places your clients’ capital at risk, and they could get back less than they originally invested. Tax treatment depends on individual circumstances and may change in the future, and tax reliefs depend on the VCT maintaining its qualifying status. VCT shares could fall or rise more than shares listed on the London Stock Exchange. They may also be harder to sell.

Make sure you read the ‘Explaining the risks’ section below.

Hear from one of our fund managers

As you watch this video, please bear in mind the risks highlighted above.

Reasons to consider Octopus AIM VCTs

Investment approach
New investors will benefit from immediate access to established portfolios of around 70 AIM-listed companies, the majority of which are already profitable. The companies within the VCTs operate across a diverse range of sectors, from building materials and pharmaceuticals to software development and recruitment.

Tax reliefs
Investors can claim up to 30% upfront income tax relief on newly issued shares provided the shares are held for at least five years. Any dividends are tax free, and investors don’t need to declare them on their tax return. There’s also no capital gains tax to pay if the VCT shares are sold at a profit. Tax reliefs are available on VCT investments of up to £200,000 per year, though the amount of any upfront tax relief cannot exceed the amount of income tax due. 

Dividend payments
One of the main benefits of VCTs is their potential to pay tax-free dividends. Investors don’t need to declare them on their tax return. Both Octopus AIM VCTs aim to pay tax-free dividends twice a year. Octopus AIM VCT targets a total annual dividend of 5p per share or 5% of the share price, whichever is greater. Octopus AIM VCT 2 targets a total annual dividend of 3.6p or 5% of the share price, whichever is greater. They both also aim to pay special dividends from the sale of significant portfolio holdings.

Investors have the option to split their investment 60/40 between the two VCTs, meaning there is potential for investors to receive four dividend payments throughout the year.

Expert management
These VCTs are managed by our Smaller Companies team, which includes some of the most experienced AIM-focused fund managers in the market.

Greater transparency
AIM-listed companies must meet certain regulatory and governance requirements, ensuring higher levels of transparency than companies that are not listed 
on any stock exchange. As the underlying companies are listed on AIM, it is also much easier for investors to see the value of each holding on a daily basis.

Explaining the risks

Capital is at risk and investors could lose their money
There’s no guarantee that the amount invested will be returned.

This is a long-term investment
Investors should be prepared to hold shares for a minimum of five years. If they decide to sell their shares before then, they will be required to repay to HM Revenue & Customs any upfront income tax relief they’ve claimed.

It should be considered a high-risk investment
Octopus AIM VCTs invest in companies that are not listed on the main market of the London Stock Exchange. Investments in smaller companies can fall or rise in value much more sharply than shares in larger, more established companies. They also have higher rates of failure.

Shares may be difficult to sell
There isn’t an active market for VCT shares in the way there is for shares in big companies like BP and Vodafone. This means that if an investor decides to sell their shares in Octopus AIM VCTs, they may not be able to find a buyer, or they may have to accept a price lower than the net asset value of the investment. However, we will do our best to help investors sell their shares in Octopus AIM VCTs.

Tax rules can change
Rates of tax, tax benefits and tax allowances do change. In addition, the tax benefits available to investors through this investment depend on an investor’s own personal circumstances. To ensure VCT money continues to support Government policy objectives, HM Treasury can also change the definition of a VCT-qualifying investment in the future, which could impact the nature of new investments a VCT can make over time.

The VCT’s qualifying status could end
If a VCT loses its qualifying status, tax advantages – such as tax-free dividends and exemption from capital gains tax – may be withdrawn from that point. If this happens within five years of an initial investment, investors may be asked to repay any upfront income tax relief that they have already claimed.

Octopus AIM VCT shareholder information

Follow this link to view the latest Octopus AIM VCT announcements and share prices from the London Stock Exchange.

London Stock Exchange code: OOA
Registrars: Computershare Investor Services PLC, The Pavilions, Bridgwater Road, Bristol BS99 6ZZ
Tel: 0370 703 6325 (Many home phone tariffs now include free calls to 0370 numbers. If you do not get inclusive calls, or are calling at a time of day when calls are charged for, the total call cost is usually a combination of a call set-up fee and a per-minute rate which from a BT landline is 10p per minute)
Auditors: BDO
Registered in England: No. 03477519
Registered office: 33 Holborn, London, EC1N 2HT

Latest AGM results
Latest AGM results document

Latest annual report
Octopus AIM VCT annual report 28 February 2017

Latest interim report
Octopus AIM VCT interim report 31 August 2016

Allotment deadlines
Not currently open for investment.

Octopus AIM VCT 2 shareholder information

Follow this link to view the latest Octopus AIM VCT2 announcements and share prices from the London Stock Exchange.

London Stock Exchange code: OSEC
Registrars: Computershare Investor Services PLC, The Pavilions, Bridgwater Road, Bristol BS99 6ZZ
Tel: 0370 703 6326 (Many home phone tariffs now include free calls to 0370 numbers. If you do not get inclusive calls, or are calling at a time of day when calls are charged for, the total call cost is usually a combination of a call set-up fee and a per-minute rate which from a BT landline is 10p per minute)
Auditors: BDO
Registered in England: No. 05528235
Registered office: 33 Holborn, London, EC1N 2HT

Latest AGM results
Octopus AIM VCT 2 plc AGM results 20 April 2017

Latest annual report
Octopus AIM VCT2 annual report 30 November 2016

Latest interim report
Octopus AIM VCT2 interim report 31 May 2016

Allotment deadlines
Not currently open for investment.

Octopus AIM VCT pricing and dividend information

Dividend information is being retrieved...

Octopus AIM VCT 2 pricing and dividend information

Dividend information is being retrieved...

Related Documents

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Octopus AIM VCTs brochure

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Octopus AIM VCTs application form

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Octopus AIM VCTs product overview

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Octopus AIM VCTs prospectus

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Please read

Nothing on this page constitutes investment, tax or legal advice. Venture Capital Trusts may not be suitable for everyone, so we recommend investors speak to a financial adviser, and read the relevant brochure, before deciding whether to invest.

This advertisement is not a prospectus and investors should only subscribe for shares on the basis of information contained in the prospectus.

Be aware of VCT share scams boiler room scams run by third parties who claim to be connected with Octopus.