Launched in 2005, investors have been trapped in the ill-fated EEA fund since 2011 when it experienced a rush of redemptions after the Financial Services Authority (FSA) warned retail investors not to invest in what it controversially described as “death bonds”.
The fund resumed trading in 2014 after the Guernsey Financial Services Commission approved a restructure that divided shares into continuing shares for those wishing to remain in the fund and run-off shares for those wanting out.
Around 40% of the shareholders in the fund hold continuing shares, while the rest have run off shares.
In September 2015, EEA paid investors £56.1m last September after it sold 188 US life insurance policies to an undisclosed buyer for £83.3m.
