The Lemon Fool

Club Finance are reporting that Puma aren't doing an offer this tax year. So I need to rethink my plans for a low risk approach to VCT investing this year.

It was an unwelcome surprise to me, given the annual repeatable model that they operate. I wondered if Shore Capital are struggling to find opportunities for Puma 12, but the latest information on the Puma investments website is at August 2016, and nothing supporting the Club Finance report about Puma 13. So not a lot of help.

Maybe there will be some gossip at the Mobeus shareholder meetings.

I got an answer to my own question at the Hargreave Hale VCT seminar today.

It sounds as if the limited life sector generally is hit harder by the new investment rules. The problem is with how money is held *before* invested in qualifying investments, as there are now restrictions on non qualifying investments as well as on qualifying. In particular AIM is excluded and so are the deposit type investments typically held for the first 1-2 years by limited life VCTs, while investing up.

A lot of PD summaries of the new rules don't go into sufficient detail, referring simply VCTs being permitted to hold "certain permitted non qualifying investments".

But I found this http://philiphareassociates.tax/news/vc ... -deposits/

The only limited life offer live at present is the Triple Point Income VCT "E" shares offer. Page 4 of the prospectus indicates that all the invested money will be held in cash (<7 day deposit) until invested in qualifying investments. So it's simply going to leak investment manager fees.

I wasn't aware of any of this, so apologies to anyone for who this is old news.

I'll try and write up an HH related summary when I get time.

Their 2017/18 offer is now open, per below and is already on CF.

http://www.pumainvestments.co.uk/investors-puma-vct

What is the boards collective views on Puma? I'm relatively new to VCT however looking at previous Puma VCT funds they have a good track record.

Interested to see Parallellines' comment from earlier this year "low risk approach to VCT investing" - I'm assuming this in based on their previous performance?

I believe that Puma 13 is a new VCT, so no existing portfolio of investments that are maturing and providing a stream of income/potential exit payments. Contrast that to the current round of offers from the likes of Mobeus and (very shortly) Northern and Baronsmead, plus a number of others. Draw your own conclusions.