The Foresight Enterprise VCT
Fund Overview
Foresight Enterprise VCT invests in established private and AIM-listed companies with high-growth potential. The fund targets businesses across the UK, focusing on innovation, scalability, and market leadership. As of November 2024, the fund had net assets of £133 million and aims to provide investors with consistent tax-free dividends and long-term capital growth.
Investment Strategy
Foresight Enterprise VCT adopts a diversified approach, investing in scalable UK businesses across multiple sectors. The fund focuses on private equity investments, supporting companies at various growth stages. Managed by Foresight Group, the strategy leverages deep market expertise to drive performance and mitigate risks.
Key Elements of the Strategy:
Sector Focus:
- Technology: Companies leading in software, AI, and digital platforms.
- Healthcare: Businesses advancing medtech, diagnostics, and life sciences.
- Sustainability: Investments in renewable energy and environmentally focused solutions.
- Consumer Goods: High-growth brands with market differentiation.
Investment Criteria:
- Companies demonstrating strong revenue growth and profitability potential.
- Experienced management teams driving business execution.
- Clear exit opportunities through trade sales or public offerings.
Portfolio Diversification:
- Aims to maintain a balanced portfolio of approximately 50 companies.
- Diversifies across industries and growth stages.
Geographic Focus:
- Primarily UK-based businesses, emphasizing regional innovation hubs.
Recent Investments and Focus Areas:
- Sustainability Growth: Backing businesses addressing environmental challenges.
- Healthcare Innovation: Supporting diagnostics and medtech solutions.
- Technology Advancement: Companies driving digital transformation in key sectors.
How This Benefits Investors:
The fund's approach provides exposure to high-growth sectors while offering consistent dividend income and long-term capital growth.
Performance Metrics
| Year | NAV Total Return (%) | Dividends Paid (p/share) |
|---|---|---|
| 2024 | 7.8 | 5.0 |
| 2023 | 6.5 | 4.5 |
| 2022 | 5.9 | 4.2 |
Note: NAV Total Return combines NAV growth and dividends paid.
Tax Benefits
Investors benefit from:
- 30% income tax relief: Available on investments up to £200,000 annually.
- Tax-free dividends: Regular income payments without tax obligations.
- Capital gains tax exemption: No CGT on share disposals.
Tax treatment depends on individual circumstances and may change in the future.
Fund Documents
Contact Information
- Phone: 020 3667 8100
- Email: [email protected]
- Website: Foresight Enterprise VCT
Why Consider Access EIS Instead?
Both Foresight Enterprise VCT and Access EIS offer tax-efficient ways to invest in innovative UK businesses, but they cater to different investment needs:
| Feature | Foresight Enterprise VCT | Access EIS |
|---|---|---|
| Investment Focus | Established private and AIM-listed UK businesses | Early-stage, high-growth UK startups |
| Minimum Investment | £3,000 | £5,000 |
| Tax Benefits |
- 30% Income Tax Relief - Tax-Free Dividends - Capital Gains Tax Exemption |
- 30% Income Tax Relief - Capital Gains Tax Deferral |
| Liquidity | Some liquidity via AIM and buyback schemes | Illiquid, with returns realized after ~5–7 years |
| Dividends | Regular, tax-free dividends | No dividends; all profits reinvested |
| Risk Level | Moderate to High (private and AIM-listed companies) | Very High (early-stage startups) |