MEDIA RELEASE
12 September 2001
SUSPENSION OF TRADING IN UNLISTED MANAGED
INVESTMENTS
The Investment Savings and Insurance Association today advised
investors in public unit trusts and superannuation funds of moves to suspend trading in
unlisted managed investments.
ISI is the industry association for New Zealand’s fund
managers and life insurance companies.
Vance Arkinstall ISI CEO, said: "In light of the terrible
events of last night several ISI member fund managers have today suspended purchases and
redemptions of the units in managed funds as a result of the impact on financial markets
and the uncertainty resulting from the closure of the US markets."
"Obviously, the decision is the decision of each company and
would be based on the terms of the relevant trust deed for each fund, and the extent to
which each particular fund has been affected by the consequences of events in the
US."
"Decisions to suspend trading in unlisted managed
investments will be the result of the inability of fund managers to accurately value the
investments of assets held by the fund in markets where trading has been suspended, ie US,
and will also be taken to protect the interests of all investors."
"Managed fund investors should not be unnecessarily
concerned by any suspension as fund managers will be closely monitoring progress in
financial markets and it can be expected that any suspension will be lifted as soon as
reasonable and realistic valuations are possible.
Ends
Vance Arkinstall
Chief Executive
ISI
