About Downing Healthcare Impact EIS KI Fund
The Downing Healthcare Impact KI EIS fund was created to enable investment into EIS-qualifying, knowledge-intensive early-stage healthcare businesses focused on improving patient outcomes, increasing access to the most up-to-date healthcare and to lower the costs of medical treatment. Because it invests in companies that qualify as knowledge intensive (KIC), investors are able to take advantage of a greater allowance for tax-free investment (investors can claim relief on up to £2m each tax year, if at least £1m is invested in knowledge intensive companies).
Summary
| Fund Manager: | Downing LLP} |
| Tax Efficiency: | EIS |
| Sector Focus: | Healthcare and life sciences. |
| Stage Focus: | Early-stage |
| Target Portfolio Size: | Minimum 5 companies |
| Minimum Subscription: | £5,000 |
| Closing Date: | 16 March 2024 |
| Website: | Learn more about SFC All Star Fund XIII EIS |
Pros & Cons
Pro: Gives investors a greater tax-efficient allowance thanks to its KIC focus.
Con: Portfolio concentration.
Fees
| Full initial fee: | 1% advised, 3% non-advised |
| Annual management fee: | 2.4% |
| Administration fee | nil |
| Dealing fee: | nil |
| Performance fee: | 24% |
How does SyndicateRoom's Access EIS Fund compare?
By comparison, SyndicateRoom's Access EIS fund builds investors a large portfolio of 50+ companies across all sectors, co-investing with experienced angel investors (average IRR of 42%). Because venture capital returns follow a power law distribution (see our report on this), it is better to try and build large portfolios of quality companies, rather than trying to pick a small group, because startups have a high likelihood of failure regardless of their potential. With a larger portfolio, each individual failure represents a smaller percentage of your overall holding.
Our model is based on our proprietary analysis of the UK startup market which showed that, on average, the market as a whole grows by 28% each year. It's not possible to invest in the entire market, but with large portfolios and access to the most promising deals, investors can optimise their return potential (see our white paper).
We gain access to the most promising new startups by co-investing with the UK's most successful angel investors, who meet our strict performance and sector expertise criteria, while providing access to new businesses at very early stages and on exactly the same terms.
Our data-driven approach aims to work around the limitations of a single fund manager attempting to pick winners.
Our minimum investment is £5,000.
| Fund Manager: | SyndicateRoom |
| Tax Efficiency: | EIS |
| Sector Focus: | Sector Agnostic |
| Stage Focus: | Early-stage |
| Target Portfolio Size: | 50+ companies |
| Minimum Subscription: | £5,000 |
| Closing Date: | Evergreen |
| Website: | Learn more about the Access EIS Fund |
Are you the fund manager? Email tom@syndicateroom.com with any comments or amends.