The Lemon Fool

Any new issues with tax relief available that pay a reasonable dividend? Investment of £5k. Thanks

Here are some current Open Offers:

https://www.wealthclub.co.uk/venture-ca ... gQAvD_BwE#

Personally I am waiting until the usual Offer Season in the autumn/winter but if I had to choose from the above I'd probably go with the Proven Income and Growth VCT (PGI).

Best wishes whatever you decide.

Gostevie

You’ve got Apollo, too, which aims to pay 5%.

PGI arguably has the edge in track record, but both the above have paid special dividends when exits have generated good returns. PGI’s recent specials were a nice windfall. Apollo paid a 10.7p special in 2017.

You have to remember dividends aren’t guaranteed – regular dividends in particular may be about to fade into memory as the ability to pay them becomes more dependent on exits rather than e.g. income from loan stock.

That said, VCT dividends can be pretty rewarding and are of course tax free so if you're over the divi tax threshold it's hard to find a competing level of net income from other shares.

All new issues have tax relief available.