The current economic environment may be tough but it makes for fertile ground from an investment perspective. This applies especially to the smaller end of the market. Of course, this investment potential is not always obvious to investors due to economic concerns: VAT, travel, university tuition fees, and council tax have all risen, along with inflation.
Looking back at previous lows (1990-1991, 2000-2002), a period of transition followed upheavals before the effects of recovery were felt four or five years on. Similarly, we have come through 2008-2010, and now we face 2013: a tough, yet transitional, year for the economy, but a promising one for investors. Furthermore, historical empirical evidence tells us that periods when an economy is moving from a recession to a recovery phase can underpin stronger returns.
From 2008, many businesses were fighting for survival, and yet in 2010, when they started to consider or need funding again, they were placed into limbo by uncertainty in the form of two budgets, a general election, and the spending review, all topped off by large amounts of snow. Fortunately, there is now a major impetus to kick-start the investment cycle. Those who commit to the market as we head into 2013, will be doing so at a time when opportunities to invest, and the number of investment deals, should both be increasing.
However, it’s likely that we will see this change in 2013 as many companies won’t be able to put off fund raising any longer. Renewed funding requests will result in a chain of positive activity: a stronger deal flow for VCT houses, more opportunities for individual investors and, ultimately, investments made in good companies. In light of this, 2013 may well be an opportune time for investment in VCTs. Ultimately, the challenging economic outlook for 2013 makes for bright investment prospects.
To learn more, please read this Guide to VCTs
For more information on our latest VCT offerings, please download the following documents:
- Foresight VCT top-up offer 2012/13 - Investor Guide
- Baronsmead VCT Fundraiser offer 2012/13 - Investor Guide
- Albion VCT Top Up offer 2012/13 - Investor Guide
- Mobeus Income & Growth VCT Linked offer 2012/13 & 2013/14 – Investor Guide
- Octopus Apollo VCT – Investor Guide
- Octopus – All of Octopus’ VCT offers are now open for this Tax Year. You can find out more information by clicking here.
To speak to your Advisor about VCTs, contact us today.
Note to Octopus Eclipse and Octopus AIM Shareholders:
The Enhanced Buyback offer for the Octopus Eclipse and AIM VCTs has now been extended to 31st January 2013.
If you wish to discuss this offer with your Advisor, please contact us today.
Note to Mobeus Income & Growth VCT, The Income & Growth VCT and Income & Growth 4 VCT shareholders:
Mobeus (formerly Matrix) are now offering an Enhanced Buyback facility to all shareholders of the above VCTs. If you hold shares in these VCTs you should have recently received correspondence from Mobeus regarding this offer.
If you wish to speak to your advisor regarding this Enhanced Buyback offer, please contact us today.
Below are electronic copies of the correspondence you should have recently received:
- Income & Growth VCT – Enhanced Buyback
- The Income & Growth VCT – Enhanced Buyback
- Income & Growth 4 VCT – Enhanced Buyback