Arie Capital Technology EIS Fund

The Arie Capital Technology EIS Fund specialises in investing in Israeli technology companies.

Highlights

  • Early-stage technology companies
  • Target return of 2x investment after a five-year period, not guaranteed
  • Minimum investment of £10,000
  • Exposure to a market not typically available to UK investors

Important: The information on this website is for experienced investors. It is not advice nor a research or personal recommendation to invest. If you’re unsure, please seek advice. Investments are for the long term. They are high risk and illiquid and can fall as well as rise in value, so you could get back less than you invest.

Read important documents and apply

The offer

Arie Capital sources the majority of its deals from Israel. However, they will consider opportunities from elsewhere as long as it holds a license for the UK. 

Regardless of where the deal originated, Arie Capital consistently looks for three main qualities in their investee companies:

  1. A strong and scalable IP
  2. An established proof of concept
  3. A commercially minded management team

Investors will typically hold three to four portfolio companies, depending on the amount raised. Arie Capital will target investee companies operating in the following sectors:

  • Fintech and other web-based technologies
  • Smartphone applications
  • Big data and the internet of things
  • Medical technologies
  • Consumer and industrial electrics

Portfolio company example

Redux

As demand grows for thinner and lighter technology, devices like smartphones and tablets are running out of space. Think back to when Apple removed the headphone jack from the new iPhones. While a controversial design choice, it eliminated a bulky component and freed up essential space. As this trend persists, big tech companies are searching for their next solution. This is where Redux fits in. Simply put, Redux has removed the need for speakers all together. Its invention can turn screens into speakers with haptic functionality (where the surface responds to physical actions like taps and swipes).

Arie Capital invested around £2.2 million in 2013 when the company was little more than a collection of patents. By 2017, the company had received significant interest from the industry and was eventually bought for an undisclosed fee by tech giant, Google. 

Risks - important

This, like all investments available through Wealth Club, is only for experienced investors happy to make their own investment decisions without advice.

EIS investments are high-risk so should only form part of a balanced portfolio and you should not invest money you cannot afford to lose. They also tend to be illiquid and hard to sell and value. Before you invest, please carefully read the Risks and Commitments and the offer documents to ensure you fully understand the risks. 

Tax rules can change and benefits depend on circumstances.

This EIS fund invests in early-stage businesses which are more likely to fail than larger ones. So you should expect a number of failures in the portfolio.

Fees and charges

Full initial charge 2.5%
Arrangement fee 5%
Annual charge See details
Performance fee 20%

More detail on the charges

Read important documents and apply

Wealth Club aims to make it easier for experienced investors to find information on – and apply for – tax-efficient investments. You should base your investment decision on the provider's documents and ensure you have read and fully understand them before investing. This review is a marketing communication. It is not advice or a personal or research recommendation to buy the investment mentioned. It does not satisfy legal requirements promoting investment research independence and is thus not subject to prohibitions on dealing ahead of its dissemination.

The details

Type
Fund
Sector
Technology
Target return
2x
Funds raised / sought
£1.4 million / £10.0 million
Minimum investment
£10,000
Deadline
Allotting in 2019/20
Last updated: 6 April 2019

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