Mercia Fund Management is planning to launch a UK technology sector fund with a combination of aspects of both enterprise investment schemes and seed enterprise investment schemes.
The Mercia Digital fund, due to launch on 11 August, will carry a minimum investment of £25,000 if invested in via a financial intermediary.
The fund will include initial tax reliefs of 30 per cent for the EIS element or 50 per cent of the SEIS element of the investment, loss relief and zero capital gains tax on returns once qualifying shares have been held for three years.
Mercia Fund Management managing director Mark Payton says: “The UK is undoubtedly among the world leaders in key digital industries such as fintech, e-commerce and the fast evolving gaming categories.
“Given the ability of the EIS/SEIS structure to convert a traditionally high-risk/return strategy into a moderate-risk/high-return opportunity, we believe this is one instance where backing Britain could prove very rewarding indeed.”