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On behalf of SPFA, we'd like to thank featured presenter James Lenz, Associate Vice President, Griffin Capital Company, for the compelling June 6 webinar presentation on Qualified Opportunity Zone investments. For long-term investors that have, or will have, a capital gains event, such as sale of stock or a business, Qualified Opportunity Zone Funds represent prospective capital gains deferral/reduction/elimination in addition to investment appreciation. There are temporal requirements though so see the link below to review the presentation: https://lnkd.in/g33Gb2mq As a brief recap, James covered: - QOZ Legislation: updates on the laws passed to encourage such private investment opportunities. - Tax Benefits: Investors can defer capital gains taxes by reinvesting their capital gains into QOZ Funds. Investments held to full term may benefit from a capital gains tax rate of 0%. - Tax Reduction: By rolling capital gains into a QOZ Fund, investors can reduce their capital gains tax liability. - Community Impact: QOZ investments aim to revitalize low-income or economically distressed areas, promoting job creation, business activity, and expanded housing options. - Economic Growth: Investments intend to propel economic growth in the designated opportunity zones. - Portfolio Diversification: QOZ Funds provide an opportunity to diversify an investment portfolio with a focus on real estate and business development in emerging markets. - Long-Term Growth Potential: Property values in distressed communities designated as QOZs may rise substantially with development and investment, offering the potential for significant returns as well as Positive Social Impact. Please feel free to forward this info to others; and contact us at info@sierrapfa.com if you have any questions on these QOZ private investment opportunities.

You may remember that we previously provided an update on changes to the high net worth individual and self-certified investor exemptions, which came into effect on 31 January 2024. However, in a surprise u-turn detailed in the recent Spring budget, it was announced that only months after the new changes had come into force, the government has decided to reverse a number of the changes that it had just made. On 6 March 2024, following the Chancellor’s budget statement, the Financial Services and Markets Act 2000 (Financial Promotion) (Amendment and Transitional Provision) Order 2024 (SI 2024/301) (the March Amendment) was published on legislation.gov.uk. This effectively reverses the changes to the thresholds to meet the high net worth individual and self-certified sophisticated investor exemptions to the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the FPO), which came into force on 31 January 2024, as covered previously. The reversal comes following industry criticism of the new thresholds, which were seen as having a significant impact on the funding of start-up companies and early-stage venture capital funds, which disproportionately affected women and ethnic minority investors. What does this mean for you? and which of the January amendment’s have been Reversed? The March Amendments reinstate the previous thresholds to be considered a high net worth individual of… Income of at least £100,000 in the last financial year (down from £170,000 in the January Amendments) Net assets of at least £250,000 throughout the last financial year (down from £430,000 in the January Amendments) In relation to the self-certified sophisticated investor exemption… They have reintroduced the criterion of having made more than one investment in an unlisted company in the previous two years. They have reduced the company turnover required to satisfy the “company director” criterion to £1 million (down from £1.6m in the January Amendments) Other changes introduced in the January Amendments remain in effect. For example: Businesses offering Financial Promotions are still required to provide details of themselves (including the company address, contact information, and registration details) in any communications made using the exemptions The new title of “high net worth individual” will remain, reflecting the 2005 update to the FPO removing the requirement to be certified by a third party The wording of the new high-net-worth individual and self-certified sophisticated investor statements will remain, albeit with the revised thresholds reflected. The 2024 Order comes into effect on 27 March 2024. Investor statements that comply with the 2023 Order will remain valid until 30 January 2025. This means that those who have recently completed and signed statements complying with the 2023 Order do not need to complete and sign an updated investor statement until 31 January 2025 to fall within the exemptions. #hnwi

In a somewhat surprising move, the UK government has reversed recent changes to the high net worth individual and self-certified investor exemptions. The Financial Services and Markets Act 2000 (Financial Promotion) (Amendment and Transitional Provision) Order 2024 has effectively rolled back the changes to the thresholds to meet these exemptions. The new thresholds had been met with industry criticism, with concerns that they would negatively impact the funding of start-up companies and early-stage venture capital funds, and disproportionately affect women and ethnic minority investors. This reversal is a positive development for these groups, as it will help to ensure continued access to funding opportunities.

In a surprise move, the UK government has reversed a number of the changes to high net worth individual and self-certified investor exemptions, which had only recently come into effect. The Financial Services and Markets Act 2000 (Financial Promotion) (Amendment and Transitional Provision) Order 2024 (SI 2024/301) was published on legislation.gov.uk on 6 March 2024, reversing the changes to the thresholds to meet the exemptions. The move follows industry criticism that the new thresholds would have a significant impact on the funding of start-up companies and early-stage venture capital funds, disproportionately affecting women and ethnic minority investors.

Joseph Bakish, Portfolio Manager, Investment Advisor at Richardson Wealth, discusses his approach with incorporated clients following the federal government’s proposed changes to the capital gains inclusion rate. “We’re doing an entire evaluation of all our clients to see if an asset can be crystallized, and on what date, and then ask what the implications are overall for them (prior to June 25)." https://lnkd.in/e2RJ6rdj #RichardsonWealth #WealthManagement #Budget2024

Investing in a Unit Trust ISA can be a great way to benefit from a stock market investment while avoiding Income or Capital Gains Tax. With the potential for medium to long term capital growth and income, they are often used as part of a tax-planning strategy. By combining Unit Trusts with a Trust, you can even invest on behalf of children or grandchildren. Remember to seek advice regarding the tax implications though. Learn more about Unit Trusts: https://bit.ly/4699AFO #FinancialAssets #WealthManagement #UnitTrusts

The Ultimate Guide to Tax-efficient Investing: A 6000-Word Analysis

I support the measure to be permanent regardless of the limit. The uncertainty surrounding the instant asset write-off issue affects our ability to advise clients confidently, which will impact their investment decisions. #business #investment #finance, #instantwriteoff

An interesting article in Citywire this morning by Henry Cobbe, CFA (see below). https://lnkd.in/einXyGNY It would be remiss of me not to make the following points: 1) Public markets 'discount' (take into account) known recurring expenses. Take two listed closed-ended investment companies ('investment trusts'): A and B. Both Boards employ investment advisers who invest the trust's capital in identical cash deposits bearing 0% interest. Let's assume a 5 year management contract. A's adviser charges 1%, B's 2%. Will the share prices be the same? Of course not. B's share price, all other things equal, will be c. 5% lower to account for higher fees over the life of the management contract. Investors invest in the share price NOT the NAV. Expenses are a drag on the NAV NOT the share price. It has to be so otherwise there would be a risk-free arbitrage to short B and long A. It is inappropriate to treat these expenses in the same way we do the ongoing charges of open-ended funds and aggregate them in total cost figures (whether that's a fund of funds or a wealth management portfolio). Platforms should also not disclosure the figure to retail investors in this misleading way. Look what happened when BH Macro upped fees by 1% - the shares fell by c. 10% to discount the increased drag on NAV. I went into more detail on these issues in the below blog, and show why it is appropriate to aggregate ongoing charges of open-ended funds, but not expenses of investment trusts: https://lnkd.in/eSiyEMn5 2) Mr Cobbe has deployed a straw man. I am not aware of anyone campaigning for no disclosure. First, there is and always has been, as much disclosure for investment trusts as there is for other listed corporate entities via UK Listing rules (the reports and accounts). Second, we have been campaigning for additional disclosure via our "Statement of Operating Expenses". This would surface operating expenses in an appropriate way, express them as a percentage of NAV (for use alongside other relevant information such as premium / discount) to enable cross-comparison with open-ended funds and other investment trusts. We recognise that investment trusts share characteristics with open-ended funds, and we need disclosures that recognise that. But some trusts resemble operating companies (and compete with them) more than collective investment schemes. Crucially, the listing on a public market is a key differentiating feature and matters hugely for how expenses are disclosed. Disclose. Don't Double Count.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high risk investment, and you are unlikely to be protected if something goes wrong. Take 2 mins to learn more. 👉 https://lnkd.in/ePqWQ3cr Are you an investor that would like to learn more about the Enterprise Investment Scheme (EIS), one of the most successful UK government backed investment initiatives since its launch in 1994!? 👇  The scheme’s attractive tax benefits have driven £32bn into 56,000 companies to date. Whilst some investors are completely unaware of the scheme others may not totally understand how to make the most out of the benefits. This is why we feel it is important to shed light on the schemes nuances which could make a big difference for you and your loved ones. 📈 Join Faye Williams and Kit Blakiston Houston on the 21 and 28 June for a two part webinar series showcasing the benefits of EIS investing, how to access Venture Capital through EIS and ways investors can make the most out of EIS tax incentives. If you are an exited or established entrepreneur, High Net Worth Individual (HNWI), angel investor, thinking of retiring, managing buy-to-let property, selling assets that could attract capital gains tax or just want to reduce your tax bill and over multiple years, join the webinar. We will cover: 1️⃣ Part one: Introduction to Venture Capital, EIS and tax efficient investing (45mins) 👉 The Venture Capital backdrop 👉 EIS tax reliefs and comparing EIS with other tax efficient products such as VCT and SEIS 👉 How to access EIS investments and what we offer at Love Ventures 2️⃣ Part two: Harnessing EIS in practice (45mins). Join if you are: 👉 A business owner looking for ways to reduce your income tax bill  👉 Selling assets and looking for ways to defer your Capital Gains Tax Bill 👉 Thinking of passing down wealth to the next generation efficiently and quickly Sign up to the series via this link: 👉 https://lnkd.in/ebSeu2GC This is not Tax Advice. Tax treatment depends on individual circumstances and is subject to change. Investors should seek their own independent tax advice.