Oxford Capital has launched an Enterprise Investment Scheme (EIS) offering full income tax relief on investment.
The specialist investment manager’s latest offering is called the Oxford Gateway Approved fund. It will sit beside the group’s unapproved EIS funds.
Both types of vehicle aim to generate growth by investing in the healthcare, sustainability and communications sectors. The key difference between them is that Her Majesty’s Revenue and Customs (HMRC) has already approved the new fund to give investors tax relief in the tax year in which they subscribe.
Oxford Capital says that the approved fund has been designed for investors who need certainty of tax relief at a particular date, while the unapproved fund is for those who do not have an immediate need for income tax relief, but can receive their tax benefits over a longer period.
This broader time scale means that the unapproved fund can buy a more diversified range of 15 stocks, while the approved fund will typically hold between six and nine companies. These will include Arieso, Exosect and Microbial Solutions.
The Oxford Gateway Approved fund has a minimum investment of £25,000 and a maximum of £2m. The initial charge is 5%, the annual management charge is 2.5% and there is a performance fee of 20%.