Aegon Scottish Equitable is set to lift restrictions imposed on certain transactions out of its commercial property funds.
The firm says it has raised enough liquidity in the Aegon Scottish Equitable Property fund to review the redemption notice periods introduced at the start of the year, which also affected its Select Reserve and Select Distribution funds.
Aegon says its first priority is with customers that have already requested to withdraw money from the fund but adds it hopes it will be able to lift total withdrawal restrictions.
Aegon was one of several firms, including Scottish Widows and Friends Provident, that suspended withdrawals from its property funds in January following a significant downturn in the market. Scottish Widows has also announced it will lift restrictions, on 18 August.
“We are now in a position where we have raised enough liquidity in the Aegon Scottish Equitable property fund to review the redemption notice periods introduced at the start of the year,” says Aegon spokesman Mark Locke.
“Our first priority is to our customers who have requested to withdraw money from the fund. We are processing these instructions as quickly as possible and hope to have this exercise completed within a couple of months.
“After we have processed all instructions, we will then be able to look at the notice periods. At that time, if we consider market conditions are stable enough and if it's in the best interests of all our customers, we will review lifting the redemption notice periods.”
At the time of the suspension, which Aegon said could be anything up to 12 months, the firm said withdrawals from the funds had exceeded cash inflows, depleting its liquid assets, which stood at 4%.
The deferrals did not affect payments already being made, retirements, death claims, or court directed pension sharing orders.
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