Investors Trapped In Woodford Fund Set To Receive Second Payments

It has been confirmed this week that investors with finances stuck in the closed Woodford Fund will receive their second payments later this month (expected to be around Wednesday 25^th March).

Link Fund Solutions, the administrators of the Fund, contacted investors yesterday to inform them of the news. The letter received by investors stated that the second instalment of repayments have been generated as a result of selling assets of the Woodford Fund, which currently totals £141.7 million.

However, the letter also mentioned that investors are unlikely to receive any further payments in the near future:

“At this stage, we are unable to advise you of the exact timing and amount of these future capital distributions as this is dependent upon the sale of the fund’s assets. Investors should be aware that the assets that remain to be sold are the less liquid assets of the fund and disposing of these assets may take longer than was the case for the sales to date.”

The assets have been managed and sold by BlackRock, who have sold the liquid part of the Fund, and PJT Park Hill, who have dealt with the less liquid assets of the portfolio.

As we previously reported, the sale of liquid assets of the Woodford Fund was predominantly completed in January, when investors were also informed how much they would receive back (between 46.3p and 58.9p per share) of their overall investments.

Since October 2019, when the Fund was closed down, Link Fund Solutions have been able to return to investors £2.3 billion in total (this amount includes the second payments).

Investors have also received back payments as a result of dividends which have been paid by the organisation’s with which the Woodford Fund was invested.