The business line manager for VCTs at Octopus Investments said the firm had seen a steady stream of subscriptions throughout the 12 months leading up to the new tax year, prompting it to launch a top-up offer across its range of Titan VCTs.
The firm is seeking to raise £13.5m from investors but expects to meet its target, given “record inflows” over the past year.
Mr Piddock said: “VCTs have always traditionally experienced a rush of inflows as the tax year deadline approaches, but now more and more investors are investing steadily across the 12-month period.”
Alex Macpherson, head of the ventures team and fund manager of the Titan VCTs, said: “The enterprise market is buoyant and we are seeing really exciting investment opportunities for our shareholders.
“We have a strong pipeline of early-stage businesses that we are looking to back, as well as continuing to support our existing portfolio companies through follow-on investments.”
Adviser view
Kevin Morgan, managing director of Hertfordshire-based Consilium Financial Planning, said: “Octopus has been aggressively targeting the IFA community to put VCTs on the same footing as Isas and pensions, but they are not the same. They may have compelling tax considerations, but they also have liquidity issues, come with significant risk and when it is crunch time, most clients do not have the appetite.”
