Boutique investment house Future Technology Partners has unveiled its first seed enterprise investment scheme and enterprise investment scheme for investors wanting a tax-efficient way of investing in technology, its chairman has said.
Michael Keane, former banker with Credit Suisse, said that Future Technology Partners has already identified a portfolio of businesses that are undervalued, given the businesses’ ability to “flourish”.
The Future Technology Portfolio will offer twin SEIS and EIS opportunities to invest in firms, ranging from big-data platforms to sophisticated energy-savings initiatives.
There is a fundraising target of £12m, with £2m to be allocated to the SEIS portfolio, which will focus on early-stage technology companies, and £10m to the EIS, which will focus on later-stage businesses seeking growth capital.
Future Technology Partners is acting as adviser to the portfolio funds, which are managed by Sapphire Capital Partners LLP.
Mr Keane said the firm believes it is possible to achieve a net targeted return of 37 per cent over three years before EIS and SEIS tax benefits. For EIS investors, this would equate to a targeted 25 per cent a year including benefits, and for SEIS investors a targeted 39 per cent a year.
Adviser view
Roger Tull, Essex-based IFA Partner with Positive Solutions, said: “Now that the FCA has emphasised the importance of offering a full range of products to the appropriate clients, IFAs have both a great opportunity and a challenge in carrying out research and due diligence when weighing up different products and providers.
“As it is now clear that non-specialists can refer alternative investment enquiries to specialists in their own firm, it is all the more important for providers to be transparent about the benefits, potential risks and charges of their products.”
