FCPI AGF Innovation 8
Objectives
This investment offers tax exemption in the year of subscription and the prospect of long-term gain through access to the capital of innovative unlisted companies with high growth potential.
The closing date for subscriptions is 31 December 2006.
If you have any questions, do not hesitate to contact us by e-mail.
Fund presentation
Following the success of its first 9 FCPIs, or tax-incentived high-tech venture capital funds, AGF Private Equity has launched AGF Innovation 8, giving you an opportunity to diversify your investments.
Created in 1997, FCPIs aim to encourage individuals to invest in innovative companies.
According to the regulations governing their composition, FCPIs must be invested as follows:
at least 60% in innovative companies:
The innovative nature of a company is judged according to its spending on research and development, or whether it has been approved by Oseo-ANVAR (the French research and innovation association).
The company must also satisfy a number of criteria:
- fewer than 2000 employees
- majority of capital held by individual investors or investment funds
the remainder (up to 40%) is invested at the discretion of the management company.
For AGF Innovation 8, the remainder is invested in money market and bond mutual funds and, in a favourable context, in share and diversified mutual funds.
FCPIs are subject to very specific regulations, with particular regard to limits on the holding of assets and the distribution of risk within portfolios.
FCPIs are subject to approval and auditing by the AMF (the French financial markets authority).
Attractive tax benefits:
In addition to its potential for long-term growth, AGF Innovation 8 entitles you to a tax reduction equal to 25% of your initial payment (subscription + fees) up to a limit of 12,000 euros for a single person and 24,000 euros for a couple taxed jointly.
AGF Innovation 8 thus allows you to deduct up to 6,000 euros for a couple and 3,000 euros for a single person.
This tax reduction is complemented by tax exemption on gains (except social security and other state deductions) after five years' shareholding.
AGF Innovation 8 in brief:
| ISIN code of A share | FR0010317750 | | Original value | 2,280 euros | | Entry | 5% | | Management fee | 3% per year of net assets | | Minimum investment | 2 shares, or 4,788 euros (including entry fee). | | Subscription possible via | - AGF general agents
- W Finance asset managers
- AGF FinanceConseil advisors. | | Term of the fund | 31/12/2013
The initial duration of 8 years may be extended 3 times in successive periods of one year by decision of the Management Company. | | Redemption | Possible from 01/01/2014.
Subscribers may not request the redemption of their share before 01/01/2014, except in the cases provided for by the law: invalidity, death, dismissal or retirement of the holder or partner in the case of a couple taxed jointly. | | Exit fee | No fee at term. 3% between 01/01/2014 and 31/12/2014 | | Transfers | Shares may be transferred freely but only by mutual agreement. | | Tax reduction | Tax reduction in the first year equal to 25% of the investment (including entry fee) up to a limit of 12,000 euros for a single person and 24,000 euros for a couple taxed jointly. | | Gains exempted from tax | Tax exemption (except social security deductions) on gains realised after five years |
This document does not constitute the regulatory specifications required by the AMF |
