In the Margins

BDC halts redemptions

April 12, 2016

By The Wall Street Journal

Business Development Corporation of America, a $2.5 billion fund, said in a securities filing last month that it is halting redemptions for the quarter after the fund’s pre-established limit was hit. Non-traded business development companies, or BDCs, typically only allow investors to cash out every three months; this appears to be the first time one has bumped up against internal restrictions that limit the amount of shares a fund is able to redeem at one time. Read the original story from The Wall Street Journal.

 

 

Most Read

Top of the Agenda - Governance
Q&A: Converting open-end funds to ETFs

Guinness Atkinson Funds made history last year when it completed the industry’s first conversions from open-end mutual fund to exchange-traded fund. Since then, a number of ...