Managers warn of bubble territory for favourite holdings in AIM IHT portfolios

Innovations in IHT planning have contributed to the popularity of certain stocks on AIM over the past 12 months, but could managers be entering bubble territory without realising?

In 2013, the government moved to allow investors to invest into AIM shares via an ISA. This paved the way for the launch of a number of AIM IHT portfolio services, which focus on companies qualifying for business property relief (BPR). However, the popularity of these stocks in IHT portfolios recently has seen many valuations rise to a much higher level than they were previously. Chris Hutchinson, senior investment manager at Unicorn Asset Management, points out the weight of money going into AIM IHT products in recent years poses the risk of valuations for the more popular stocks pot...