Ellerston de-lists fund
Glen Poswell
Ellerston Capital will de-list its Ellerston GEMS Fund from the Australian Securities Exchange (ASX) as a result of its disappointing trading price.
The net asset value (NAV) of the fund stood at $2.33 per unit on July 31, compared to its ASX closing price of $1.78.
Ellerston chief executive of Glenn Poswell said the board believed the ASX listing did not reflect the true value of the units in the fund.
“The board believes it is in the best interests of all unit holders to de-list the fund from the ASX and to introduce a series of redemption facilities to provide unit holders in the fund with liquidity, should they desire it, once the fund is de-listed.”
The board of Ellerston has considered ways to narrow the gap between the price of the fund’s units and its NAV for some time, but has failed to find an alternative. It will call a meeting of unit holders in September to examine de-listing the fund.
“We are confident that the proposal provides a value enhancing solution for our unit holders. It balances the interests of unit holders who wish to redeem from the fund in the short term, while preserving the integrity of the underlying investment strategy for unit holders who have invested for the long term,” Poswell said.
Recommended for you
With an advice M&A deal taking around six months to enact, two experts have shared their tips on how buyers and sellers can avoid “deal fatigue” and prevent potential deals from collapsing.
Several financial advisers have been shortlisted in the ninth annual Women in Finance Awards 2025, to be held on 14 November.
Digital advice tools are on the rise, but licensees will need to ensure they still meet adviser obligations or potentially risk a class action if clients lose money from a rogue algorithm.
Shaw and Partners has merged with Sydney wealth manager Kennedy Partners Wealth, while Ord Minnett has hired a private wealth adviser from Morgan Stanley.
