Rathbones has decided to move to a single pricing structure on seven of its dual-priced funds in an effort to reduce the effects of 'dilution' on shareholders.
Both purchases and redemption of units in these funds will be based on this single price, with the change coming into effect on 21 January 2019. The group intends to operate a 'swinging single price' mechanism for each fund, which is aimed at ensuring fair treatment of all investors in the vehicle by minimising the effects of 'dilution', the group said. Rathbones expands Coombs' multi-asset team with new hire Under this mechanism, the price of each fund will swing in response to certain circumstances; once the single price on a fund is determined, a 'dilution adjustment' will be ap...
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