The IA comments on fund suspension

The Investment Association, commenting on suspension and illiquidity in open-ended funds, said that it is necessary sometimes to suspend funds in the best interests of their investors – be they investors who want to stay in or those who want to exit. It said FCA has made it clear that it will not seek to avoid suspension if it is in the fund investors’ best interests.  Also, there are reasons that funds will invest in asset classes that are relatively hard to buy and sell immediately – but any fund investing in illiquid assets should be open and transparent about its approach.