Partner Daniel Spendlove comments in relation to Woodford Investment Management in Investment Week.
Daniel’s comments were published in Investment Week, 10 June 2019. Daniel’s comments have also been published in the online version of this article, 14 June 2019. This article can be read here. This article was also syndicated for publication in Investment Week’s sister publication, Professional Adviser, 14 June 2019. Read this article and Daniel’s comments here.
The Financial Conduct Authority (FCA) may need to review existing rules governing fund management, amid warnings that “investors will see the value of their investment plummet” as a result of the Woodford Equity Income fund’s suspension of dealing, legal experts have said.
Daniel Spendlove, Partner at Signature Litigation, commented: “Trading in the fund’s shares and redemptions have been suspended while the asset manager repositions the portfolio – something which fund managers are typically entitled to do under the subscription agreement, provided certain conditions have been met. Until trading resumes it will be difficult to ascertain with any degree of clarity whether investors have suffered losses, and if so how much. It is therefore a case of “wait and see”.”