Doing due diligence on VCTs

Step 4: Making sure an Octopus VCT is right for your client

• You’ve identified a client that could benefit from a VCT.
• You’ve talked them through how a VCT could help and the associated risks.
• You might then have client looking to invest in a VCT.
• But you’ll want to do due diligence before you recommend any VCT to your client.

You’ll find third-party reports, client illustrations and an independent financial strength assessment of Octopus Investments on the Octopus VCT adviser hub. Use the links below to access some of the resources available.

• Webinar: Join Octopus for a webinar covering how a provider can support you with due diligence >>
• Adviser hub: Find tools that will help you at each stage of writing VCT business
• Illustration: Request a bespoke client illustration for an Octopus VCT

Some risks to keep in mind

• The value of a VCT investment, and any income from it, can fall as well as rise. Investors may not get back the full amount they invest.
• Tax treatment depends on individual circumstances and may change in the future.
• Tax reliefs depend on the VCT maintaining its VCT-qualifying status.

VCT shares are by their nature high risk, their share price may be volatile and they may be hard to sell.