Target Returns

Returns cannot be guaranteed, however, subject to a number of risks, the minimum target return for investors in the Fund is £1.27 per share given an EIS investment of £1. Investor returns may be higher than £1.27 per share if an Investee Company realises equity profits from its shareholdings in its Trading Subsidiaries as well as interest returns on its secured loans.

Target Returns table - CIM 2

The tax reliefs under the EIS are set out in more detail here, but by investing in the Fund, where their individual circumstances permit it and where various conditions are satisfied, investors will have access to 30% income tax relief, inheritance tax relief, and capital gains tax deferral. Any losses realised should be capable of reducing investors’ income tax bills at their marginal rate net of income tax relief already received. All capital profits made from the sale of qualifying EIS investments will be free from capital gains tax pursuant to current legislation (save if Investors’ shares in Investee Companies are bought back by the companies themselves). Investors should note that tax benefits may change in the future and are not guaranteed.