Elders MIS goes to market without bank finance
The challenges facing the agricultural managed investment scheme (MIS) sector have been brought further into focus, with Elders announcing it will not be able to facilitate bank finance to investors in Elders Forestry’s 2010 MIS project.
The company announced to the Australian Securities Exchange that finalisation of a firm agreement with the Rural Bank had not been possible.
“As a result, Elders Forestry will not be in a position to introduce bank finance to investors in its 2010 product offering,” the company said.
It said Elders Forestry would continue to offer limited internally funded finance to approved investors as it had in previous years.
The company said Elders Forestry had typically funded 12-month grower finance of between $5 million and $15 million in recent years and, subject to demand, anticipated providing finance of up to $15 million to investors in the 2010 project.
It said market indications were that this might well be sufficient to what now appeared to be reduced demand levels.
AUTHOR
Mike Taylor
Recommended for you
The Financial Advice Association Australia has implored advisers to reevaluate their exposure to AML/CTF obligations ahead of new reforms that will expand their compliance requirements significantly.
With UBS Asset Management chief executive, Alison Telfer, set to join Schroders, the firm has appointed a company veteran as her interim successor.
Compared to four years ago when the divide between boutique and large licensees were largely equal, adviser movements have seen this trend shift in light of new licensees commencing.
As ongoing market uncertainty sees advisers look beyond traditional equity exposure, Fidante has found adviser interest in small caps and emerging markets for portfolio returns has almost doubled since April.
