Rothschild to wind up Five Arrows
Rothschild Australia Asset Management’s listed investment company The Five Ar-rows Australia Fund Ltd (FAAFL) is set to be wound up as Ralph related tax changes have made it less attractive to investors.
Rothschild Australia Asset Management’s listed investment company The Five Ar-rows Australia Fund Ltd (FAAFL) is set to be wound up as Ralph related tax changes have made it less attractive to investors.
Rothschild says the fund, which invests primarily in Australian shares, legislated changes to the capital gains tax regime stemming from the Ralph Report have reduced its tax effectiveness.
"Based on tax advice, the board has formed the view that an investment in FAAFL is not an attractive method for investors to access the Australian share market," Roth-schild says.
A general meeting of shareholders would be called to vote on a special resolution to place FAAFL into members' voluntary liquidation.
"Under the present environment the board believes that this discount is unlikely to narrow in the forseeable future," says chairman Peter Griffin.
"Accordingly, the board believes that many shareholders might prefer to liquidate the company and realise the company's net tangible asset backing."
The shareholder meeting would be held on May 16.
Recommended for you
Financial advisers are demonstrating growing interest in crypto ETFs, with momentum pushing assets in these products past $800 million.
AMP CEO Alexis George has said addressing Australians’ retirement concerns should be "front and centre for policymakers” after its research revealed only half of Australians are confident about their retirement.
LGT Crestone has announced a rebrand, marking a “decisive milestone” following its acquisition of Commonwealth Bank’s high-net-worth financial advisory business in June.
The launch of a low-cost menu for BT Panorama will allow advisers to service a wider range of clients from one platform and potentially run a more profitable business, according to specialist Recep Peker.
