The £300m Electric & General Investment trust, which opened in 1890, is winding-up after failing to shrink its persistent discount.
Shareholders can either accept cash or put their investment into an open-ended fund managed by Taube Hodson Stonex Partners. The trust has been trading on an average discount of 15.4%, but today this fell to 4.2% according to data from Numis Securities. Simon Elliott, head of research at Winterflood Securities, told the Financial Times this indicates short-term traders have cashed in their holdings already. Electric & General said further details of the proposals will be published in due course.
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
