Choosing growth and high-yield AIM stocks for tax planning

IGTV catches up with Chris Boxall of Fundamental Asset Management to discuss his portfolios of inheritance tax relief-compatible stocks from the AIM market.

The value of investments can fall as well as rise, and you may get back less than you invested. Past performance is no guarantee of future results

Investing with inheritance tax (IHT) planning at the centre of a strategy can be tricky. Chris Boxall, a specialist in this area, says that despite a drop in the overall Alternative Investment Market (AIM) market in the last quarter, in line with other benchmark stock indices, London’s junior market remains an excellent place for investors to be in. He says many stocks are ‘seeing some excellent progress’ in terms of earnings, which underlines the opportunities that are available. 

Boxall’s firm, Fundamental Asset Management, is a portfolio management company that specialises in inheritance tax planning and his work focuses on the stocks that qualify. Boxall reminds us that not all AIM stocks fit the criteria and investors have to be careful when choosing some stocks. 

Watch Chris Boxall discussing how to assess IHT compatibility

Boxall discusses two portfolios that he has put together: a growth AIM IHT portfolio and a high-yield AIM portfolio of IHT qualifying stocks. In his growth portfolio, Boxall has dropped document storage company, Restore, and replaced it with Focusrite, a studio equipment provider.

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The high-yield portfolio has been a bit more volatile, and Boxall says he fully expected more ‘violence’ in stock movements. Doors and window specialist, Safestyle, was replaced by touch technology business Zytronic. 

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