The FSA, Capital Financial Managers, BNY Mellon Trust & Depositary and HSBC have today confirmed the voluntary establishment of the package, which the FSA called “a fair and reasonable outcome, which is in the best interests of investors”.
Investors who accept payments will do so in the knowledge that they represent a “full and final settlement of any claims or remedies” they would otherwise have had against the firms, according to the FSA.
“When added to the distributions already paid to investors and the value of the remaining assets of the Arch cru Funds, the payment scheme should mean that investors will receive a total sum which represents a significant proportion of their investment,” the FSA said in a statement.
“This is currently estimated to be on average about 70% of the published net asset value of the Arch cru Funds as at the suspension of dealings on 13 March 2009.”
The regulator says it is considering the role of other parties in relation to the Arch cru funds. Full details of how payments will be issued are yet to be finalised.
Dealings in the £255.5m Arch cru Investment Fund and the £107.8m Arch cru Diversified Fund, which have two and four sub-funds respectively, were suspended on 13 March 2009 on liquidity grounds. The funds, both non-Ucits retail schemes, have since paid out partial distributions totalling £54m.
