EDGE_G_4 12-59-34_Layout 1 - The Tax Shelter Report

Edge Performance VCT plc
11
• Early return of capital
It is intended that investments will be organised so as to allow the possibility for their realisation and, if G Shareholders
so desire, the return of capital to G Shareholders shortly after five years, the minimum holding period for the G
Shares in order to retain the full amount of income tax relief. This is intended to provide Investors with an ability to
receive back the full value of their G Shares, rather than having to sell the Shares in the market at a discount to the
net asset value.
• Tax free income
Subject to liquidity constraints, distributable reserves and legislative requirements, Edge Performance will seek to
pay out tax-free dividends to G Shareholders after each of the first four years.
The Company has already:
• paid annual dividends of 6p, 7p and 7p per Ordinary Share in 2007, 2008 and 2009 respectively (prior to the
return of the Ordinary Share Fund in June 2009);
• paid annual dividends of 7p per C Share in each of 2008 and 2009, and has declared a third dividend of 7p
per C Share, to be paid in November 2010;
• paid a maiden dividend of 7p per D Share in 2009, and has declared a second dividend of 7p per D Share, to
be paid in November 2010; and
• declared a maiden dividend of 7p per E Share, to be paid in November 2010.
• Leading commercial partners
Edge Performance intends to invest a portion of the proceeds of the Offer in Events Companies which have
successfully negotiated event licensing arrangements with established event promoters, with access to talent, skill,
infrastructure and know-how. The Manager’s relationships with established event promoters provide the Company
with access to many potentially lucrative promotion opportunities, and provide significant downside protection.
• Low Management Fee and Operating Expenses
The management fee for the G Share Fund is only 1.75% of net assets per annum and, assuming full subscription,
it is anticipated that the total operating expenses of the Company (excluding performance-related incentive fees,
irrecoverable VAT and trail commission to intermediaries in respect of the C, D, E and F Share funds) will be no
more than 2.5% of the net asset value of the Company.
Particularly in the current economically turbulent times, Edge Performance seeks to offer investors a valuable means of
investment portfolio diversification. Continuing their cautious approach to the stewardship of the Funds, the Board and
the Manager have favoured an ever more rigorous and selective approach in their review of investment opportunities. At
the same time, the Manager’s selection of appropriate non-qualifying investments for those funds which are not to be
invested in VCT qualifying investments, together with those funds not yet invested in VCT qualifying investments, has
taken into account the need to preserve capital. The Company intends to continue with this overall strategy for so long as
it is felt appropriate.
If investors have any questions regarding this investment they should contact their financial adviser. For questions relating
to an application, please telephone RAM Capital Partners LLP on 020 3006 7530 or via email to
taxsolutions@ramcapital.co.uk. Investors should note that no investment advice can be given by Edge and your attention
is drawn to the Risk Factors set out on pages 8 and 9 of this document.
Yours sincerely
Sir Robin Miller
Chairman