Calculus Capital are one of the most well-known EIS providers in the industry. Having launched their first EIS in 1999, they are currently raising funds for the Calculus Capital Fund 16. The fund is comprised of three tranches, allocated throughout the year depending on the point of investment. Each tranche will invest in a minimum of six EIS qualifying companies, although the historical average is 8-10 investments per tranche.
The Calculus Capital EIS Fund range are classified as generalist EIS, focusing on private equity investment, and targeting capital appreciation and risk management. While capital conservation is central to the investment philosophy, the main objective is to produce capital appreciation by providing growth capital to established businesses, with experienced and capable management teams.
More specifically, the EIS has a target return of £2.50 per £1 invested, with individual underlying company exits made as soon as commercially feasible after the minimum three year holding period required. In practice, Calculus will aim to realise investments over the following 12-24 months.
The investment process is focused on investing in companies with real, tangible products, rather than artificially generated companies. The EIS is sector agnostic and within the mandate states that no more than 20% can be invested in one sector, increasing the diversification benefits.