Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you are unlikely to be protected if something goes wrong. Take 2 mins to learn more
Up-to-date news coverage, about the o2h Human Health EIS Fund and o2h ventures.
09 Dec 2020
Knowledge intensive investing… a new investment era
Due to the potential for losses, the Financial Conduct Authority (FCA) considers this investment to be high risk
What are the key risks?
1 – You could lose all the money you invest
• If the business you invest in fails, you are likely to lose 100% of the money you invest. Most start-up businesses fail.
2 – You are unlikely to be protected if something goes wrong
• Protection from the Financial Services Compensation Scheme (FSCS), in relation to claims against failed regulated firms, does not cover poor investment performance. Try the FSCS investment protection checker here. (https://www.fscs.org.uk/check/investment-protection-checker)
• Protection from the Financial Ombudsman Service (FOS) does not cover poor investment performance. If you have a complaint against an FCA-regulated firm, FOS may be able to consider it. Learn more about FOS protection here. (https://www.financial-ombudsman.org.uk/consumers)
3 – You won’t get your money back quickly
• Even if the business you invest in is successful, it may take several years to get your money back. You are unlikely to be able to sell your investment early.
• The most likely way to get your money back is if the business is bought by another business or lists its shares on an exchange such as the London Stock Exchange. These events are not common.
• If you are investing in a start-up business, you should not expect to get your money back through dividends. Start-up businesses rarely pay these.
4 – Don’t put all your eggs in one basket
• Putting all your money into a single business or type of investment for example, is risky. Spreading your money across different investments makes you less dependent on any one to do well.
• The percentage of the business that you own will decrease if the business issues more shares. This could mean that the value of your investment reduces, depending on how much the business grows. Most start-up businesses issue multiple rounds of shares.
• These new shares could have addition rights that your shares don’t have, such as the right to receive a fixed dividend, which could further reduce your chances of getting a return on your investment.
o2h Ventures Investment Spotlight – Revolutionising Prostate Cancer Treatment
30 January, 2025
Pioneering innovation in biotech investments via o2h Ventures’ human health S/EIS funds
20 February, 2024
Fuelling academic innovation and fostering entrepreneurship
08 January, 2024
Powering Regional Growth: the Cambridge Cluster
05 September, 2023
June23 updates – o2h Ventures award finalists, portfolio company news and more…
21 June, 2023
Longevity investment: ‘Good companies will continue to get funded’
18 April, 2023
o2h Ventures Portfolio Companies Update
26 September, 2022
o2h Ventures qualifies as a FINALIST in the Growth Investor Awards 2022
06 September, 2022
