Arc Fund Management, the asset management firm appointed to run the Arc Growth Company VCT, has resigned from its role at the company. From now on the VCT will be managed by its current board, led by chairman Richard Hargreaves.

Arc Fund Management, the asset management firm appointed to run the Arc Growth Company VCT, has resigned from its role at the company. From now on the VCT will be managed by its current board, led by chairman Richard Hargreaves.

The decision not to appoint a new investment manager was made because the current board has the expertise to run the £1.8 million VCT by themselves, according to a statement from the company. Woodside Secretaries will continue to provide administrative and accounting support.

This development follows an unsuccessful attempt to generate £7.5 million through the issue of ‘C’ shares, which resulted in only £300,000 being raised despite the offer period being extended into the current tax year.

The trust’s performance has also been affected by disappointing showings from a number of its portfolio companies, including Famous Retail (which has gone into administration) and womenswear designer Sarah Arnett.

Arc Fund Management continues to oversee a number of funds under the Enterprise Investment Scheme, as well as a European property fund. The company had managed Arc Growth Company VCT since its launch in 2005.