Dealing in the M&G Feeder of Property Portfolio Fund has been suspended with effect from 4 December 2019.
In recent months, continued political uncertainty and ongoing structural shifts in the UK retail sector have prompted unusually high outflows from M&G’s retail property fund. Given that these circumstances and deteriorating market conditions have significantly impacted the manager’s ability to sell commercial property, the manager has temporarily suspended dealing in the M&G Property Portfolio in the interests of protecting customers who are invested in these funds.
The suspension will allow the manager to raise cash levels and preserve value for investors by selling assets in a controlled manner.
At the moment, the suspended fund will still be priced each day, and the value of your units in the M&G fund will be included in the overall value of your investments you will see online and in statements. As it is not possible to buy or sell units in a suspended fund, you will be unable to top-up (either via regular direct debit or on an adhoc basis), switch into or out of the fund or make new withdrawals out of the fund.
In recognition of customers’ temporary inability to access their investment, M&G is waiving 30% of its annual charge, which will end when the funds resume dealing.
The fund suspension will remain in place until we are notified that the suspension instruction has been lifted. Based on the information we have received so far, the suspension could be in place for a number of months.
The global outbreak of coronavirus is impacting property funds. From 16 March 2020 a number of funds have been suspended by the fund management groups.
