FAQs

 

These are some of the questions we are asked most frequently.

  1. How do I start?

    Speak to one of our friendly staff who will talk to you clearly about how to get started. Our telephone number is 0121 609 7095.
     
  2. Why should I consider investing in 'alternative' asset classes?

    Viceroy Invest searches long and hard to find quality investments which give our clients an above-average return with the prospect of reasonable capital growth in the future. Not all alternative assets are suitable for the private investor: for every one deal we recommend there are many which we have looked at and rejected. The important investment principle is to balance your portfolio - to minimise risk by spreading your available funds across a range of schemes and markets.
     
  3. Can I sell my investment at any time?

    Most investments should be viewed as medium- to long-term, particularly if they are pension-based: anything else is speculation. Having said that, there are many reasons why people might want to change course and sell their investments. Wherever possible, we recommend schemes which have a simple exit strategy or which can be traded on Greendaq, the green industry’s commodities exchange. The key factor here is simplicity.
     
  4. Will I have to pay tax if I make a profit?

    In principle, yes! Though your accountant may be able to help you reduce, or at least defer, your bill. Within a SIPP, however, all gains, profits and income roll up tax-free.
     
  5. How do you calculate investment returns?

    There are a number of ways to do this: there is no single agreed standard. The two most popular are shown below.

    If you invest £10,000 at a quoted return of 10% a year -

    10% 'Cash on cash' gives you a return of £1,000 a year, i.e. 10% of £10,000 each year. Over a 10-year period your £10,000 therefore doubles to £20,000, i.e. your initial £10,000 investment plus 10 lots of £1,000

    10% 'Compound' gives you more. In your first year you get £1,000 (i.e. 10% of £10,000). In the second year, because you now have £11,000 (i.e. your initial £10,000 plus the £1,000 return from the first year) you receive 10% of £11,000 i.e. £1,100. After 10 years, a compound return of 10% a year grows your £10,000 into £25,937 compared with £20,000 on a cash on cash calculation basis.
     
  6. Re-investing your annual proceeds

    Subject to availability, you can re-invest your annual returns. Within a SIPP, you can re-invest your annual returns tax-free, meaning you can get the benefit of compounding by doing it yourself.
     
  7. How Secure is my Investment?

    The only certainties in life are death and taxes, but other things can still be pretty reliable. It is sometimes said that higher percentage returns go with higher risk, but that's not necessarily true. Risk tends to be associated with lack of knowledge, so the more you can find out about a particular asset class before you invest in it, the safer your investment should be. This is the value in dealing with an experienced company like Viceroy Invest who have the knowledge and resources to evaluate projects before offering them to the public.
     

 


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