Link has told investors trapped in Woodford Income Focus that a decision on the future of the fund is imminent with an update due before the end of 2019.
The authorised corporate director of the fund told investors it was in the “final stages” of assessing options for either a replacement manager on the fund or a merger with another Ucits product, in its regular letter to unitholders, which is sent out every 28 days.
Investors would receive an update on 30 December at the latest.
In November, Link said it was having meetings with managers who had been shortlisted to replace Neil Woodford on the fund, with Blackrock and Schroders speculated to be among the front runners to take on the £245m mandate.
Woodford Income Focus suspended on 15 October as Link worried about a wave of redemptions in the aftermath of Woodford Investment Management announcing it was resigning as investment manager and shutting up shop.
The fund has fallen 1.99% in the period since suspension compared to a 0.21% gain in the FTSE All Share over the same period, according to Link figures. It said Woodford continued to be cooperative and was managing the fund in line with its objectives.
Link has said its preference is to avoid a wind-up of the fund, as it has done with Woodford Equity Income, but the option remains on the table.
Director Karl Midl told investors Link needs to be “sufficiently assured about the long-term viability of the fund and that any costs associated with the re-opening are fair and proportionate”.
Suspension of Income Focus would lift “as soon as possible” after Link determines which course of action it will take with the fund.
