Suspended life-settlements fund readies for re-opening

Dealing in the £600m fund was suspended in November 2011 after EEA reported "unprecedented redemptions" following Financial Services Authority (FSA) draft guidance condemning life settlement funds as "Ponzi-like" and "death bonds", as well as being unsuitable for retail investors. Under proposals outlined last March, investors will be offered three options: to continue to hold existing shares in the fund; to opt for a run-off share class; or the ability to dispose of shares outright to institutional investors at a discount. In a letter to shareholders, chairman Mark Colton said the bo...