Dealing in the LF Woodford Equity Income Fund was suspended by the fund’s Authorised Corporate Director (ACD) on 3 June 2019. At the end of July, an update from the ACD anticipated that suspension of dealings would remain in place until early December to give the fund manager further time to re-position the fund's portfolio of assets to ensure that there is adequate liquidity whilst preserving or realising the value of the assets.
The re-opening of the fund is conditional upon achieving that repositioning.
The ACD is required to conduct a review of the Fund at least every 28 days and we will keep you informed of any significant issues arising that could affect your investment.
Why was the fund suspended?
The fund was suspended due to an increased level of withdrawals from the fund by investors. The suspension is intended to protect investors who wish to remain in the fund by allowing Woodford time to reposition the element of the fund’s portfolio invested in unquoted and less liquid stocks and shares, in to more liquid investments that will be easier to trade.
What does it mean for investors?
This means that, until the suspension is lifted, you will not be able to put any money into, or send us new requests to take money out of, the fund.
Existing investors will continue to own units in the fund and once the suspension is lifted they will be free to buy or sell their units.
We have written to customers invested in the fund through Old Mutual Wealth to tell them about the extended suspension and what it means for their investments.
The Questions and Answers below also provide details of what you can and can’t do if you are invested in the fund.