Elevation Fund lowered
Elevation Capital Management is closing one of its two unit trusts due to waning investor interest.
The Fund it is closing is a fund-of-funds product where Elevation selects and oversees a globally recognised third party manager.
While the fund has had “satisfactory”performance investors are choosing either Elevation’s Value Fund or separately managed accounts.
“This has been reflected in low growth in the fund, meaning that the expenses on a per unit basis required to manage the fund, which are a cost to investors, are relatively high," managing director Christopher Swasbrook says in a unitholder letter.
"We have determined that it is not in the best interests of investors that the fund continue.”
The fund will close on March 25 and investors will receive an interim distribution of around 55% of net asset value soon afterwards as the fund has a large cash balance.
