VCTs used to bolster pension income

18 September 2017

Investors are turning to venture capital trust (VCT) investment as an alternative to traditional pension fund investment, according to David Hall, managing director of private equity fund manager YFM.

Mr Hall said the prospect of strong dividend yield from qualifying investments into a VCT has lured many income-hungry investors to the asset class.
Research commissioned by YFM Equity Partners, which surveyed more than 1,000 YFM shareholders, revealed 75 percent identified dividend yield as a key drivers behind their decision to invest in a VCT.