Downing FOUR VCT plc - Generalist
Downing FOUR Generalist Share Class aims to provide attractive returns to investors by investing in a portfolio of growth companies, at different stages in the business life cycle, while taking advantage of VCT tax reliefs. Please read the key risks below.
Early Applications (for lump sum subscriptions only): 1% reduction in offer costs for applications received by 20 January 2017 and 0.5% reduction for applications received between 21 January 2017 and 3 March 2017.
The Downing FOUR Generalist Share Class is seeking to provide attractive returns to investors by investing in a portfolio of growth companies, at different stages in the business life cycle.
The focus will be on revenue-generating businesses (so demand for the product is proven), with a view to providing funding to help them grow. Some investments are also likely to be made in businesses that trade from freehold or long-leasehold premises (such as children’s nurseries, wedding venues and pubs). Having property underpinning the trade should help reduce risk.
Alongside the standard lump sum available for one-off subscriptions, we are introducing the option for investors to subscribe monthly by way of a standing order. Share allotments will be made at least quarterly with tax and share certificates issued accordingly.
|Minimum subscription: £5,000 lump sum or £500 per month (across both share classes)||Maximum subscription: £200,000 lump sum or £16,666 per month (across both share classes)|
Method of payment for application
Payments for applications can be made by cheque, made payable to:
Downing FOUR VCT plc, or by electronic bank transfer using the payment details below.
How to apply
If you would like to invest, please first read the Prospectus before completing an application form.
The key risks are set out below. Please read the Prospectus for a full list of risk factors:
- You may lose money: the value of shares may go down as well as up and shareholders may not receive back the full amount invested. In addition, there is no certainty as to the level of dividends.
- Tax reliefs are not guaranteed: the availability of the tax reliefs depends on the companies invested in maintaining their qualifying status. If Downing FOUR does not maintain VCT qualifying status investors could lose the upfront 30% income tax relief and all other tax reliefs. All tax reliefs are subject to change in the future and personal circumstances. Please refer to HM Revenue & Customs’ website for further guidance on the tax reliefs available on VCT investments.
- VCT rules are restrictive: Downing FOUR’s ability to obtain maximum value from its investments may be limited by the VCT rules. Changes in the VCT rules may be applied retrospectively and may reduce the level of returns for investors.
- You cannot rely on past performance: Downing FOUR invests in small unlisted companies which, by their nature, are higher risk than larger “blue-chip” companies. Past performance is not a reliable indicator of future performance.
- This is a long-term investment: You should be prepared to hold your shares for a minimum of five years to qualify for the available VCT tax reliefs.
- Nature of smaller companies: VCT funds must be invested in smaller companies which may be more risky than their larger counterparts and where shares may be less liquid.