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Due to the potential for losses, the Financial Conduct Authority (FCA) considers this investment to be high risk.
What are the key risks?
1. You could lose all the money you invest
• If the business you invest in fails, you are likely to lose 100% of the money you invested. Most unlisted early stage companies fail.
2. You are unlikely to be protected if something goes wrong
• Protection from the Financial Services Compensation Scheme (FSCS), in relation to claims against failed regulated firms, does not cover poor investment performance. Try the FSCS investment protection checker here.
• Protection from the Financial Ombudsman Service (FOS) does not cover poor investment performance. If you have a complaint against an FCA-regulated firm, FOS may be able to consider it. Learn more about FOS protection here.
3. You won’t get your money back quickly
• Even if the business you invest in is successful, it may take several years to get your money back. You are unlikely to be able to sell your investment early.
• The most likely way to get your money back is if the business is bought by another business or lists its shares on an exchange such as the London Stock Exchange. These events are not common.
• If you are investing in unlisted early stage companies, you should not expect to get your money back through dividends. Unlisted early stage companies rarely pay these.
4. Don’t put all your eggs in one basket
• Putting all your money into a single business or type of investment for example, is risky. Spreading your money across different investments makes you less dependent on any one to do well.
• A good rule of thumb is not to invest more than 10% of your money in high-risk investments.
5. The value of your investment can be reduced
• The percentage of the business that you own will decrease if the business issues more shares. This could mean that the value of your investment reduces, depending on how much the business grows. Most unlisted early-stage companies issue multiple rounds of shares.
• These new shares could have additional rights that your shares don’t have, such as the right to receive a fixed dividend, which could further reduce your chances of getting a return on your investment.
If you are interested in learning more about how to protect yourself, visit the FCA’s website here.
Molten Ventures EIS
Molten Ventures EIS (Open for Fundraising) and Molten Ventures Approved KI EIS 23/24 (Closed for Fundraising)
An established investment strategy, with added EIS tax reliefs. Two products available to access these reliefs.
Our secret? Later stage investments in companies with significant growth momentum, based on expert insight that comes from 20 years’ experience.
Please click through the links below to find out more
Our Products
Molten Ventures EIS
Our long established EIS fund with quarterly closes. Investors subscriptions will be invested into 8-12 companies over a 12-18 month period, with an EIS3 certificate being issued after each investment. Please see the Key Documents section on this page to download more information.
Molten Ventures Approved KI EIS 23/24 (Closed)
Our 23/24 Knowledge Intensive Approved EIS Fund is now closed. This follows a similar investment strategy to the Molten Ventures EIS, but with more certainty around the timing of the income tax relief and a single EIS5 certificate.
Difference between MV EIS and MV KI EIS
Note MV KI EIS is currently closed for fundraising
Investment Strategy
Key Information
Larger, later stage, investments
The target is that a majority of funds will be invested in later stage, growth investment rounds of £5-20m+ in companies intent on establishing revenues and building on strong growth momentum 1
Co-investment model
We focus on a scale of investments that is an order of magnitude larger than typical EIS funds, by co-investing alongside Molten Ventures plc and Molten Ventures VCT plc. 2
Exits
The later stage investment strategy with institutional calibre dealflow is intended to deliver a higher proportion of successful, profitable exits when compared with earlier stage funds. 3
One of Europe's leading VC fund managers
The fund manager, Encore Ventures LLP, is 100% owned within the group structure of Molten Ventures plc, which is considered to be one of Europe's leading venture capital firms.
Extensive team track record
Investment team members have combined decades of experience investing into high growth technology businesses.
Highly rated EIS funds
Molten Ventures EIS was rated 89/100 (the highest rated EIS) by Tax Efficient Review from 2015 until 2023 and is now rated on the second highest score of 88/100. It also held the highest EIS rating awarded by M J Hudson Allenbridge prior to their cessation of general availability reports. 4
- Subject to EIS qualifying criteria, and refined 'knowledge intensive company' criteria for Molten Ventures Approved KI EIS 23/24
- Conflicts could arise between the EIS funds, Molten Ventures plc, and Molten Ventures VCT plc with respect to differing investment strategies, deployment and realisation needs, and the contemplated manner and timing of potential exits.
- Investor returns vary from fund vintage to fund vintage. Investor participation depends on initial investment and redemption dates. Prospective Investors should note that past performance should not be seen as an indication of future performance.
- (subscription required): www.mjhudson-allenbridge.
Molten EIS Investments
Applications and Documentation
Key Documents
Date
Title
Applications
Next Closing Date for EIS:
5th January 2024
KI EIS 23/24: Closed
For IFAs and advisor queries, get in touch with our partners RAM Capital:
Phone: 020 3006 7530 Email: taxsolutions@ramcapital.co.uk
Investor Portal
For existing investors and IFAs, access to the online portal for both Molten Ventures EIS and Molten Ventures Approved KI EIS 23/24 can be found below:
About Us and News
Latest News
Operations Team
Lucy Collins
HEAD OF EIS
Jonathon Quick
EIS FINANCE & OPERATIONS
Alex Holland
PARTNER SERVICES MANAGER
Yvonne lhegborow
CLIENT SERVICES EXECUTIVE
Regulatory
Regulatory Disclosures
Molten Ventures EIS and Molten Ventures Approved KI EIS 23/24 are unauthorised Alternative Investment Funds for the purposes of the Alternative Investment Fund Managers Directive. Molten Ventures Approved KI EIS 23/24 is a HMRC approved EIS fund. Both Molten Ventures EIS and Molten Ventures Approved KI EIS 23/24 are a collection of parallel discretionary managed portfolios. Each is managed by Encore Ventures LLP, a Limited Liability Partnership registered in England and Wales No. OC347590. Encore Ventures LLP is authorised and regulated by the Financial Conduct Authority (FRN: 510101).
Where any information on this website relating to Molten Ventures EIS and/ or Molten Ventures Approved KI EIS 23/24 constitutes a financial promotion for the purposes of the Financial Services and Markets Act 2000 (as amended), it is issued and approved by Encore Ventures LLP for distribution and use in the UK only.
Risk Warning
Your capital is at risk. Past performance is not a reliable indicator of future results.
Molten Ventures EIS and Molten Ventures Approved KI EIS 23/24 invest in unquoted securities, defined in the FCA Rules as Non Readily Realisable Securities. Such investments are more risky that investments in quoted securities or shares and there may not be a liquid market in them.
The value of an investment can fall as well as rise and investors may not get back the amount originally invested. Therefore you should only make EIS investments which you can afford to lose without having any significant impact on your overall financial position or commitments.
Taxation levels, bases and reliefs may change if the law changes and the tax benefits of products will vary according to your personal circumstances; independent advice should therefore be sought.
Prospective investors must refer to the applicable Information Memorandum, in particular the section headed “Risk Factors”, when considering an investment in either Molten Ventures EIS and/ or Molten Ventures Approved KI EIS 23/24.
Only investors who are eligible complainants can refer their complaints to the Financial Ombudsman Service (FOS). Only investors who are eligible claimants can seek compensation from Financial Services Compensation Scheme (FSCS) in the event of Encore Ventures LLP’s or Mainspring Nominees Limited’s default. Further details regarding these can be found in the Information Memorandum and / or requested from Encore Ventures LLP.
Contact Details
Registered Office: 20 Garrick Street, London, WC2E 9BT, United Kingdom.
Phone Number: +44 (0)20 7931 8800
Contact email: EIS@molten.vc