The furore over the LF Woodford Equity Income Fund and the ‘gating’ thereof should reinforce and stimulate the need for a private platform service that allows dealing in shares and units during suspension periods. Thousands of holders are now locked into their investments and can only sit back and watch their value erode until the suspension is lifted and dealings re-open at lower levels.
Vulture funds, contrarian investors and professional distressed asset funds will demand substantial discounts if they decide to be buyers during the ‘gating period’. But liquidity always has a price!!!
J P Jenkins has been providing liquidity solutions and unlocking the unlisted’ since 1991 and traces its roots back to the original USM (Unlisted Securities Market) part of the London Stock Exchange. J P Jenkins offers a matched bargain trading facility and is used by a number of private companies and their shareholders.
Share Registrars and the Fund Managers like Link who administer the Woodford Funds and have been hit by this temporary storm should engage more with unlisted securities dealing platforms like J P Jenkins.