What’s happening?
The fund has been suspended since 3 June 2019. Link Fund
Solutions Limited (“Link”), the authorised corporate director of the Fund,
proposed a settlement scheme which will offer to settle any potential claims
which any Scheme Creditors (i.e., relevant investors in the Fund) may have in
connection with the Fund’s suspension.
What is the Scheme?
The Scheme is a
Scheme of Arrangement which is an agreement between a company and some or all
of its creditors. For the Scheme of Arrangement to become established and
effective it had to be approved by the creditors affected and the court.
If established, the Scheme will be used to make payments to
relevant investors that hold units in the fund.
You can find more information about the scheme on their
dedicated website.
Do I need to do anything if I’m invested in this fund?
You don’t need to take any action. As the beneficial
owner of the LF Equity Income Fund assets, we voted on behalf of our
insured fund members in favour of establishing the scheme as the recognised
scheme creditor.
In their communication about the redress
scheme issued on the 15th November the FCA continues to consider
that the Scheme offers investors the quickest and best chance to obtain a
better outcome than might be achieved by any other means.
You can read the full FCA communication.
What is the current timetable?
Link are expecting the Scheme to become fully effective on
or around 9 February 2024. If the Scheme becomes effective, the first payment
is expected to be made in the first quarter of 2024.
You can find more information on the full timetable on the
Scheme’s FAQ webpage
Where can I get more information?
You can find out more information about the scheme on their
dedicated website. The site will be
updated with relevant announcements and documents as the Scheme progresses.