The increasing popularity of Venture Capital Trusts in the UK has led to a new ratings list of the top providers. The Allenbridge Tax Shelte...

The increasing popularity of Venture Capital Trusts in the UK has led to a new ratings list of the top providers. The Allenbridge Tax Shelter Report rates the providers from AAA down to B. Baronsmead, Close and Pennine top the list. The three providers gain ‘AAA’ ratings respectively for their Baronsmead VCT ‘C’ shares, Close Aim ‘D’ shares, Close Income and Growth, and Penine AIM 5 VCTs (see table below). Allenbridge said all three providers showed consistent returns and an ability to set management standards in the sector as reasons for the rankings. By contrast, the Singer & Friedlander AIM 3 VCT is ranked along with the Oxford Technology 4 and Aberdeen Growth Opportunities trusts as only deserving of a ‘B’ rating. Allenbridge says of these products it feels alternatively “disappointed”, “speculative” or “cautious”. Despite the increasingly high profile of VCTs in the UK, some of them are finding it difficult to raise the necessary funding. Allenbridge said that it is keeping “fund raising under review” on two VCTS from its list of 28 rated so far - ‘A’-rated Foresight 2 and ProVen 3 - because funding “appears to have started slowly”. A full copy of the report is available at: www.taxshelterreport.co.uk.