Resonance South West SITR Fund Social Impact Report 2018/19
What you need to know to invest in this Fund
Our South West Social Investment Tax Relief Fund is the first of a number of funds, which are investing in social enterprises in specific city regions around the country. Resonance plans to launch more over the next few years.
Social Investment Tax Relief (SITR) offers tax breaks to investors who invest in Charities, Community Interest Companies or Community Benefit Societies. It simultaneously drives down the cost of capital for social enterprises that need funding in order to scale up the impact of their projects, while reducing the risk for investors as they receive a 30% return up front through the tax relief.
Wealth Manager UBS sponsored the development of the Resonance South West SITR Fund, which launched in February 2016 (originally called the Resonance Bristol SITR Fund) to invest in local social enterprises that work to dismantle poverty in the city. This Fund has made a number of investments and remains open for new investors to join.
Resonance believes there is a real opportunity for these investment funds to address the problems of inequality in our cities, where deprivation and wealth exist in close proximity.
Some of the leading wealth managers and IFAs, whose clients have invested in the Resonance SITR Funds, are listed below.
INVESTMENT PROPOSITION KEY FACTS:
- WHO YOU LOAN TO: PORTFOLIO OF SOUTH WEST SOCIAL ENTERPRISES
- IMPACT: DISMANTLING POVERTY IN THE SOUTH WEST
- TARGET FUND SIZE: £5M (CURRENT FUND SIZE £2.8M)
- EXPECTED RETURNS: 7-8% POST TAX RELIEF (12% GROSS EQUIVALENT)
- TERM: 6-8 YEARS
- ASSETS: UNSECURED LOANS TO SOCIAL ENTERPRISES
- OPEN FOR INVESTMENT: YES