A £5 million fundraise for investment into AIM quoted companies, aimed at EIS investors looking to exit within four years, enabling them to reinvest their exit proceeds to obtain further Income Tax relief.
Key Information Document (where financial advice has been given)
Key Information Document (where no financial advice has been given)
Application Form for Individuals
What is the AIM EIS Fund?
The Seneca AIM Fund is an Alternative Investment Fund managed by Seneca Partners Ltd (Please see Important information below). A version of our EIS Portfolio Fund, our AIM EIS Fund is seeking to raise £5 million for investment in AIM quoted companies only.
The Fund will invest in 5 to 10 companies, aiming to exit all of them within 4 years and targeting a return of 1.5x after fees*, excluding any tax reliefs.
Investors will pay no Annual Management Charge for the management of this fund. Please see the Information Memorandum for details of the charges that do apply.
Our track record of AIM investment
As at 28th May 2021, we had invested more than £24 million in AIM quoted companies in 22 AIM listed businesses, either at their Initial Public Offering (IPO) or in a subsequent fundraise. To date we have realised £23.6 million of cash returns for our investors, in addition to a further £19.1 million of unrealised investments. The total of £42.7m represents a combined return of £1.78 per £1 invested before charges and any tax reliefs.**
The Information Memorandum provides some examples of previous investment we have made.
What happens when you invest?
When you Subscribe to the Fund, your Subscription will be held in cash by the Custodian, helping build a sum of money for the Fund to invest (an “investment tranche”). Periodically, we will complete what is known as a “soft close” so that we can start making investments for all those investors who are included in that “investment tranche”. The timing of these “soft closes” will be designed to ensure efficient investment of investors’ money. Once your Subscription is included in an “investment tranche”, we will begin buying shares on your behalf.
The Fund will remain open for further Subscriptions which will build to form the next “investment tranche” until the £5 million fundraise has been achieved.
How much can you invest?
The minimum initial investment is £20,000
For any additional investments the minimum amount is £5,000
Our Target Market
We have designed our AIM EIS Fund to appeal to investors’ who are looking to invest in UK SMEs with the aim of achieving capital growth over the shorter to medium-term (four years) in an investment that qualifies for the tax reliefs available under the Enterprise Investment Scheme.
They will be a High Net Worth Investor (as defined by the FCA) and will have experience of investing in tax advantaged investments (e.g. EIS, VCT) or buying shares in FTSE 100, FTSE 250, smaller quoted (e.g. the Aquis Stock Exchange), AIM or unquoted companies.
Those investors’ will understand what factors drive the movement of share prices and how in turn that impacts the value of their investment. They will also understand and accept the risks associated with making an investment in the Fund. Their current financial situation will mean that they do not need access to the amount they invest for at least five years or need an income from it. They should also be able to withstand the loss of some or all of that amount.
You should not invest in this Fund if you lack the requisite knowledge and experience, are looking to invest for less than four years, need your investment to pay an income or are risk averse or have a low tolerance to risk.
The Seneca AIM EIS Fund is an Alternative Investment Fund for the purposes of the Alternative Investment Fund Managers Directive. It is not a collective investment scheme within the meaning of section 235 of the Financial and Services Market Act nor a Non-mainstream Pooled Investment by virtue of it being a fund complying with the meaning of Article 2 in the Schedule to the Financial Services and Markets Act 2000 (Collective Investment Schemes) Order 2001.
* Target returns are not guaranteed and you may get back less than you invest.
**As this is a new fund, we have not yet completed any exits from it. We have therefore used our wider exit track record as a simulated performance for this fund. If this performance was replicated in this fund, fee totalling 4.3% (plus VAT where applicable) would apply. Past performance is not a guide to future returns. Your capital is at risk, you may get back less than you invest. Figures correct as at 28th May 2021.