CVC Income and Growth trust waives 15% performance fee

Effective from 1 January 2023

CVC Credit Partners, manager of the CVC Income and Growth (CVCE) investment trust, has waived its right to a performance fee.

Alongside an ongoing charge of 1.59%, which includes an annual vehicle management fee of 0.9% of net asset value, the £217m trust charged an extra 15% performance fee of the excess total return, if any. In a London Stock Exchange announcement today (17 February), the board of CVCE, which invests in sub-investment grade European corporate debt instruments, said no performance fee has been collected for the 2022 calendar year. According to interactive investor, almost 30% of investment trusts have performance fees despite criticism that they reward for failure or for very short-term per...