Time to scrap distinctions between VCTs

vct

VCTs are categorised as specialist, generalist or Aim, but the distinction between these types of VCT is unclear when it comes to underlying assets and there is no clear differentiation between them when it comes to performance

Dangerous children or missed high growth opportunity? Specialist VCTs have often been treated as the dangerous children of the VCT industry. If Venture Capital Trust sounds high risk, then tread carefully round the specialists. This has been the received wisdom among commentators, but is it just too simplistic? The term specialist is usually applied to VCTs investing in technology, media or healthcare, whereas generalist denotes investment in buyouts or development capital for a wide range of businesses. A closer look suggests that the distinction is less clear cut than it first appears...