Woodford IM could face legal challenges with Equity Income investments set to 'plummet'

Warning from legal expert

Mike Sheen
clock • 2 min read

A legal expert has warned "investors will see the value of their investment plummet" as a result of the Woodford Equity Income fund's suspension of dealing, leaving Woodford Investment Management open to legal challenges from clients.

Woodford Equity Income confirmed it suspended dealing on Monday (3 June) as a result of high levels of redemptions, but Investment Week can confirm it has not suspended the valuation of the fund's assets. The moment of truth: What next for Woodford after Equity Income fund suspension? A spokesperson for Woodford Investment Management confirmed that the suspension only applies to "buying and selling", while "daily pricing continues and income payments made in normal way". Partner at law firm Howard Kennedy James Kaufmann said this decision means "investors will see the value of thei...

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