Investor's Champion

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Benefit from AIM

AIM for Inheritance Tax planning

AIM for Inheritance Tax Planning offers clear, concise, objective, commentary on AIM quoted companies that may be of particular interest for those looking to invest in AIM for Inheritance Tax planning purposes.

AIM, home to over 1,500 companies

AIM, the junior market of the London Stock Exchange, is now home to over 1,500 companies. Even more importantly, AIM is no longer just about highly speculative micro caps that may never generate a profit - or cash for that matter! There are now numerous AIM companies with robust business models with a history of excellent profitability and cash generation.

AIM offers some great tax breaks

Investment in qualifying AIM trading companies can attract 100% relief from inheritance tax provided that the investment is held for at least two years – that’s about the biggest tax break this government has ever given us so it seems like a good idea to use it.
..and that’s not all.

Investment in the Enterprise Investment Scheme (EIS) shares of qualifying AIM companies enables investors to benefit from both EIS relief and IHT relief.

A well balanced, well diversified portfolio is key

Investment in AIM companies for IHT planning purposes appears to be all about constructing a well balanced diversified portfolio, not just about individual stock picks.

Investor’s Champion commentaries generally focus on those AIM companies with understandable business models, assets, profits, cash flow generation and dividend yield. We know that IHT planning investors seek out companies with these characteristics with the result that they generally outperform over the long term.

If we are ever unsure about the qualification status we also try and ask the company and if necessary HM Revenue.

The individual investor in AIM receives all the tax benefits

Even the large AIM stocks remain off limits to the large investment houses as they simply aren’t big enough to satisfy their ravenous need for a large chunk of shares.
Furthermore tax benefits are only available to individual UK tax paying investors holding shares in their own name (through a nominee is fine)

So AIM really is a market where the small private investor should have the upper hand.

Interested? Register now to receive specialist notes on those companies that are of particular interest for IHT Planning purposes*.

* Disclaimer

This is not an offer to sell or a solicitation of an offer to purchase shares. The information and opinions stated above are for background purposes only and do not purport to be full or complete. Past performance is not necessarily a guide to future performance as the price of shares can fall as well as rise and you may not get back all the money you invested. The extent of the tax benefits referred to above will depend on the qualifying conditions and investors should seek professional advice before considering investing.  No reliance may be placed for any purpose on the information or opinions contained in this document of their accuracy or completeness.