| Target dividend: | Unspecified |
|---|---|
| Wealth Club initial saving: | 3% |
| Net initial charge: | 2.5% |
| Annual rebate: | 0.10% |
| Funds raised / sought: | £14.2m / £20m |
| Minimum investment: | £3,000 |
| Next deadline: | 2 Apr 2026 (noon) for 2025/26 |
Important documents
| Target dividend: | Unspecified |
|---|---|
| Wealth Club initial saving: | 3% |
| Net initial charge: | 2.5% |
| Annual rebate: | 0.10% |
| Funds raised / sought: | £14.2m / £20m |
| Minimum investment: | £3,000 |
| Next deadline: | 2 Apr 2026 (noon) for 2025/26 |
Important documents
Unicorn AIM VCT is the largest AIM VCT, with net assets of £228.2 million (December 2025).
It invests predominantly in AIM stocks: a blend of more mature cash-generative companies and earlier-stage businesses across a variety of sectors. The VCT also occasionally invests in unquoted companies.
Managed by highly regarded smaller-company investor Chris Hutchinson, the VCT has an established track record and a recent history of paying generous dividends funded by successful exits. Over the last five years, the VCT has paid 89.2p per share in dividends – 43.6% of starting net assets – boosted by special dividends after significant realisations. The latest example is the special dividend of 23p per share (due to be paid in March 2026 to existing investors only) following the partial realisation of Hasgrove, the VCT’s largest holding. Dividends are variable and not guaranteed.
In the 10 years to December 2025 Unicorn AIM VCT has delivered a total return of 51.3% including dividends, making it the best-performing AIM VCT in the period – past performance is not a guide to the future.
- Seeking to raise up to £20 million with an overallotment facility of £15 million
- The VCT does not specify a dividend target – dividends are variable and not guaranteed
- Available in the 2025/26 and 2026/27 tax years
- Minimum investment £3,000
- Deadline: 2 April 2026 (noon) for final allotment in the 2025/26 tax year – not guaranteed
Important: The information on this website is for experienced investors. It is not a 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: you could lose all the money you invest.
The manager
Unicorn Asset Management Ltd (“Unicorn”) is a specialist fund manager with a bias towards smaller companies. Lead fund manager Chris Hutchinson joined Unicorn in 2005 and has more than 25 years’ experience covering UK small and mid-sized equities. Alongside this VCT, he is also the lead manager of Unicorn Outstanding British Companies Fund (an OEIC). Chris is supported by an investment team of seven, who together are responsible for managing Unicorn’s suite of investment funds and AIM IHT service.
Unicorn is independently owned and managed. Over 50% of the company’s equity is owned by the directors, managers and family members. It has over £660 million under management (December 2025), with over £250 million invested in AIM-quoted companies. The wider fund group allows the manager to continue supporting businesses when they are no longer VCT eligible, potentially making Unicorn AIM VCT attractive as a partner to investee companies.
Meet the managers
Watch our interview with Simon Moon and Fraser Mackersie
Investment strategy
Unicorn AIM VCT seeks to invest in largely AIM-quoted companies with the following characteristics:
- Experienced and well motivated management teams
- Products and services supplying growing markets
- Sound operational and financial controls
- Potential for good cash generation
In the past, the manager has also invested a smaller proportion of the fund in unquoted smaller companies.
Chris Hutchinson favours companies where the management owns a significant stake in the business and with a demonstrable track record of making money for shareholders. He is a firm believer that if the management has a big stake, they will be focused on the dividends as they are beneficiaries themselves.
Unicorn has a cautious, “bottom-up” stock-picking approach, which favours spending time with investee companies and fully understanding them before investing for the long term.
Mr Hutchinson has in the past said: “Over 20 years, what I’ve learnt more than anything is that it’s not so much getting the ones that go up tenfold, but more about avoiding the ones that will blow up. You can only do that if you take a cautious approach, buying proper businesses with profit and cash flow.”
The non-qualifying portion of the portfolio is invested in a mixture of cash, OEICs, non-qualifying AIM-quoted companies, and blue-chip shares listed on the main market.
Portfolio overview
Unicorn AIM VCT has a portfolio of around 90 companies. The 10 largest holdings account for approximately 35% of net assets (December 2025).
The largest holding, accounting for 8.5% of net assets, is Maia TopCo Limited, Hasgrove's holding company, incorporated as part of the recent transaction involving the partial disposal of the holding – see below.
Recent investment activity remains subdued with the number of companies raising money on AIM still at historically low levels. In the year to September 2025, the VCT invested £9.1 million into seven new opportunities and £6.6 million across 10 existing companies.
The current portfolio has a bias software & computing (25.4%).
Asset allocation (%)
Source: Unicorn Asset Management, as a percentage of net assets as at December 2025.
*Note, this allocation is currently above historical levels following the recent Hasgrove exit (below). This position will reduce if proceeds are either redeployed or paid out.
Top 10 sector breakdown (%)
Source: Unicorn Asset Management, as a percentage of the portfolio as at December 2025.
Portfolio example: largest quoted holding
Cohort
Cohort is a collection of seven businesses operating in the defence and security markets.
The group was formed in 2006 and was admitted to AIM in the same year. Its strategy focuses on acquiring niche technical businesses in the defence sector that could benefit from being part of a wider group. Currently, the Group’s capabilities cover everything from sonar and surveillance technology to cybersecurity and digital forensics.
In the six months to October 2025, the Group reported revenues of £128.8 million, a 9% increase over the prior year. This growth was underpinned by the integration of EM Solutions, the Group’s largest acquisition to date, and solid results across the wider portfolio. Although profit margins dipped slightly to 7.5% (down from 8.6% in 2024) following a shift in project mix, the Group expects a recovery in the second half of the year – not guaranteed.
The position is now the VCT’s largest holding, accounting for 4.4% of net assets (December 2025).
Portfolio example: recent investment
Quantum Base
Counterfeiting is estimated to cost businesses and tax authorities over $2.8 trillion each year.
Quantum Base (“Quantum”), a spinout from Lancaster University, aims to tackle this by commercialising the quantum physics research of co-founder Professor Robert Young.
The company’s Quantum Identities (Q-IDs) use atomic-level imperfections to create near-unbreakable, non-replicable authenticity tags. Unlike standard QR codes, Q-IDs snapshot nanoscale interactions that the company believes cannot be forged.
Currently in its early commercial phase, Quantum has secured agreements with two printing partners for government tax stamps and security documents. There are plans to expand into the currency, pharmaceuticals, and luxury goods sectors once the technology is established.
The Unicorn AIM VCT invested £750,000 in the company as part of its IPO in April 2025.
Exit track record
Shares quoted on AIM are bought and sold more easily than is the case with private (unquoted) companies. Realisations – particularly partial ones – are common with AIM VCTs, for instance, to rebalance the portfolio. We do not believe they are indicative of a manager’s performance and for this reason we don’t focus on them.
However, the Unicorn AIM VCT also invests a smaller proportion of the fund in unquoted companies. One recent exit from the VCT’s unquoted portfolio is Hasgrove (detailed below).
Previous unquoted exit example
Hasgrove
Hasgrove is a group of digital and communication services businesses focused on developing and licensing intranet software as a service. An intranet is a private network used within an organisation to securely share internal information and resources.
Its principal subsidiary, Interact, offers a suite of services, from planning and launching a custom network through to training and technical consultation. It is the only vendor to be named a leader by Gartner, IDC and Clearbox and has more than four million global users. Clients include the NHS, video game developer Activision Blizzard, and Levi’s.
Unicorn first backed Hasgrove when it was admitted to AIM in 2006 and remained an investor after it delisted in 2013. The company eventually became the VCT’s largest holding, representing 24% of net assets (September 2025) .
In November 2025, Hasgrove was acquired by European Private Equity firm Castik Capital, generating proceeds of £88 million for the VCT on a cost of £1.3 million. Of this, £22 million was rolled into Maia TopCo, the new parent company which now accounts for 8.5% of NAV, while £50 million of the cash balance was used to fund a 23p special dividend, expected to be paid in March 2026. Note, new investors in the offer will not be eligible for this dividend. Past performance is not a guide to the future and dividends are variable and not guaranteed.
Example of previous failure
British Honey Company
As can be expected, not all investments work out: British Honey Company (BHC) is an example.
Founded in 2014, BHC was originally a producer of local honey. It later expanded into the craft spirits market, creating honey-infused gin, bourbon, and whiskey.
The business ran into difficulties in 2022, as a result of poor trading conditions, supply chain disruption, and high raw material costs. The company’s attempts to find a buyer and secure long-term funding eventually fell through and it entered administration in April 2023.
Unicorn AIM VCT invested £3.1 million in 2020, the holding was written down to nil and the company dissolved in July 2025.
Performance and dividends
The VCT has delivered a NAV total return (including dividends) of 51.3% over 10 years (December 2025). Over five years this falls to -2.8% with recent performance reflecting the challenging times that AIM as a whole has faced since 2020. Past performance is not a guide to the future.
There is no specific dividend target. Over the last five years, the VCT has paid out cumulative dividends equivalent to 43.6% of the starting NAV. During this period, the VCT paid out 89.2p in dividends, boosted by special dividends after exiting some of its largest holdings, including Interactive Investor and Abcam. Dividends are variable and not guaranteed.
Following the sale of Hasgrove (the VCT’s largest holding at the time) in November 2025, a further 23p special dividend is expected to be paid in March 2026. New investors in this offer will not be eligible to receive this.
Note, we show VCT returns over a five-year period as a minimum, where possible. Where a VCT has followed the same investment strategy for longer, we also show returns over 10 years.
NAV and cumulative dividends per share over five years (p)
Source: Morningstar. Past performance is not a guide to the future. Dividends are variable and not guaranteed. The bar chart shows dividends per share paid in the period 31/12/2020 – 31/12/2025.
Dividends paid per calendar year
Source: Morningstar. Past performance is not a guide to the future. Dividends are variable and not guaranteed. Dividends paid per calendar year to 31/12/2025.
Dividend yield history (% of starting NAV)
| Calendar year | Dividend as % of NAV |
|---|---|
| 2021 | 3.2% |
| 2022 | 19% |
| 2023 | 4.8% |
| 2024 | 14.7% |
| 2025 | 12.4% |
Source: Morningstar. Dividend yields are based on the dividends paid over the period divided by the starting NAV of the VCT in each period. Past performance is no guide to the future.
Dividend Reinvestment Scheme
A dividend reinvestment scheme is available if shareholders wish to reinvest dividend payments by way of subscription for new shares. As these are new shares they should be eligible for tax relief (you will need to claim this on your tax return or directly with HMRC) and the shares will count towards the VCT annual subscription limit.
Share buyback policy
The board intends to buy back shares at a discount, set at the discretion of the board, to the prevailing net asset value. In the year to September 2024, £4.9 million of shares were bought back, with discounts ranging from 10.8% to 11.8%.
This policy is unlike other VCTs (which typically target a discount between 5-10%) and could mean that investors are unable to sell their shares at a similar discount to other VCTs. However, the share buybacks have the potential to add to the performance of the VCT and benefit remaining shareholders. Please see the offer documents for details.
Discount history
VCT shares are traded on the London Stock Exchange. Similar to investment trusts, the share price can fluctuate and can be different from the VCT’s net asset value (NAV), i.e. the value of the VCT’s underlying investments. The difference between the share price of a VCT, and its net asset value per share, is called a discount.
Based on data from Morningstar, the discount to NAV as at 31 December 2025 was -12.3%. Over the previous five years the average discount to NAV was -12.8%.
The discount history is based on the closing share price of the VCT at the end of each month, divided by the latest net asset value at the time. Past performance is not a guide to the future. Investors looking to sell their VCT shares may get a better price using the VCT’s share buyback facilities, although this is not guaranteed.
Risks: important
This, like all investments available through Wealth Club, is only for experienced investors happy to make their own investment decisions without advice.
VCTs 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.
To retain the tax benefits, VCTs should be held for at least five years. If you sell VCT shares and reinvest in new shares of the same VCT (including any mergers) within six months, tax relief can be restricted. Tax rules can change and benefits depend on circumstances.
The quantity and quality of investment opportunities available to AIM VCTs is dependent on sufficient VCT-qualifying fundraising activity on the AIM market, which will fluctuate.
AIM shares can be very volatile and could suffer extreme volatility if the market falls sharply. The difference between the buying and selling price of AIM-listed companies is often wider than those listed on the main market.
Charges and savings
A summary of the main charges and savings is shown below. The net initial charge shown includes the Wealth Club saving and any early bird discount. The investment may have additional charges and expenses: please see the provider documents including the Key Information Document for more details, offer price and share allotment calculation methodology.
Please note, capacity – for the offer or any early bird savings – can be reached early, and we may not be notified of this by the VCT in real time.
| Full initial charge | 5.5% |
| Early bird discount | — |
| Wealth Club initial saving | 3% |
| Existing shareholder discount | — |
| Net initial charge through Wealth Club (new investors) | 2.5% |
| Net initial charge through Wealth Club (existing shareholders) | 2.5% |
| Annual management charge | See documents |
| Annual administration charge | See documents |
| Performance fee | — |
| Annual rebate from Wealth Club (for three years) | 0.10% |
More detail on the charges
The full initial charge shown in the table above is before any savings and discounts; the net initial charge is after available savings and discounts. When you invest through us, Wealth Club will receive commission equivalent to 0.41% a year. Commission is paid by the product provider so there is no additional charge to you.
Please see the provider's documents, including the key information document, for more details on the total fees and charges.
Annual rebate when you invest through Wealth Club
The VCT includes an annual rebate for Wealth Club investors, payable for the first three years. This is a rebate of our renewal commission and should be equivalent to a percentage (shown in the table above) of the Net Asset Value of the Offer Shares issued to you when you invest. Terms and conditions apply.
Deadlines
- First allotment: in or around 6 March 2026
- Deadline for 2025/26 tax year allotment: 2 April 2026 (noon)
- Deadline for 2026/27 tax year allotment: 31 July 2026 (5:30pm)
Our view
Unicorn is a highly regarded fund manager that specialises in UK smaller companies. Chris Hutchinson has been the lead manager of Unicorn AIM VCT since 2005 and is supported by an experienced team. They are responsible for several other UK investment mandates, including the £150 million Unicorn UK Income Fund.
The investment team’s long-term interests are also aligned with those of investors through equity participation in Unicorn Asset Management.
While difficult market conditions have affected AIM stocks’ performance over the last few years, the VCT has achieved several notable exits. This has helped fund special dividends of 79.7p per share, including the recent sale of Hasgrove. Past performance is not a guide to the future and dividends are variable and not guaranteed.
In our view, Unicorn AIM VCT is a high-quality offering for experienced investors to consider. The investment strategy is clearly defined, and the fund management team has a strong long-term track record. In addition, as a significant AIM investor, Unicorn should be well positioned to access the deal flow needed to support deployment.
Investors should note the VCT lacks a strict share buyback policy and can trade at a large discount to its net asset value.
This financial promotion has been communicated and approved by Wealth Club Ltd on 26 January 2026
Wealth Club aims to make it easier for experienced investors to find information on – and apply for – investments. You should base your investment decision on the offer documents and ensure you have read and fully understand them before investing. The information on this webpage is a marketing communication. It is not advice or a personal or research recommendation to buy any of the investments mentioned, nor does it include any opinion as to the present or future value or price of these investments. It does not satisfy legal requirements promoting investment research independence and is thus not subject to prohibitions on dealing ahead of its dissemination.