The Association of Investment Companies has welcomed the FCA's confirmation that Venture Capital Trusts and offshore investment companies will not be subject to the UCIS ban.
The marketing restrictions announced by the FCA today will ban the promotion of UCIS and similar funds to ordinary retail investors in the UK, allowing only HNW or very sophisticated investors to purchase them.

Ian Sayers, director general of the Association of Investment Companies, said: "We very much appreciate confirmation of the FCA's policy intention to exclude VCTs and offshore investment companies from the marketing restrictions.

"This is important for the investment company sector and allows ordinary retail investors to continue to access the benefits of VCTs and offshore investment companies. We look forward to working with the FCA to make sure the rules deliver this policy intention."

The Association of Investment Companies was founded in 1932 to represent the interests of the investment trust industry. The AIC has 335 members and the industry has total assets of approximately £105 billion.

Other commentators have voiced their views on the sweeping ban.

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Rebecca Prestage, head of policy, The Consulting Consortium, said: "The market has failed to respond to years of regulatory updates and good practice guidance and even a series of enforcement cases has not deterred poor practice.
"As a result the FCA is taking their objective of consumer protection seriously and is drawing a line to ensure that ordinary retail investors are protected from further detriment.
"To reduce the risk of arbitrage the restriction now applies to a wider range of products. Firms will need to familiarise themselves with what is in and out of scope. It's worth bearing in mind that the FCA is keen to ensure that existing UCIS investors are not left without access to ongoing advice - although marketing restrictions will apply, firms can continue to give advice in this area, so they will need to make sure that their advisers remain competent and maintain their knowledge."
"Rules come into force on 1 January 2014, but firms should start implementing rules now, therefore firms should:
1. Familiarise themselves with what's in and out of scope, re the new definition of non- mainstream pooled investments (NMPIs)
2. Have a robust process in place to identify and certify investors as sophisticated and/or high net worth
3. Make use of the FCA's flow chart (Annex 4) to apply the marketing restrictions of NMPIs
4. Ensure advisers remain competent and maintain their knowledge, in order to provide on-going advice to existing customers, including 'ordinary retail customers'
5. Ensure that full suitability assessments are conducted when providing advice to new customers"

Old Burlington Investments, the alternative investments business, welcomed the Financial Conduct Authority's) declaration that Enterprise Investment Schemes (EISs) would be excluded from the ban on the distribution of unregulated collective investment schemes (UCIS) to retail investors.

Brett Williams, managing partner at Old Burlington Investments, said: "This decision provides clarity for advisers on the treatment of unregulated collective investment schemes (UCIS) and means they will have to consider EIS for their wealthier clients.