TLDR:
– Amati AIM VCT considering shifting investment strategy due to poor performance in AIM market
– Share price and net asset value of VCT have seen significant declines over the last few years
London’s AIM market has experienced a downturn in performance, with 2023 being one of the worst years on record. Amati AIM VCT, launched in 2001, is considering a strategic review to potentially invest outside of the smallcap market in light of its poor performance. The VCT’s net asset value has dropped 45% over the past three years and 21.1% in the last year alone.
The VCT’s board is contemplating a shift in investment strategy to allow for a broader range of securities while still complying with VCT rules. Additionally, the departure of fund manager Anna Macdonald in 2019 has added to the challenges faced by the VCT. The review of strategic options will also consider the impact of a recent buyout offer for Mattioli Woods by Pollen Street Capital, given the latter’s ownership stake in Amati.
Despite the challenging environment, VCT fundraising has been strong in 2024, with YFM Equity Partners and Unicorn’s AIM VCT seeing successful capital raises. With the LSE listing drought, attention is turning to AIM as a potential avenue for IPO activity.
