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Om-IP Redemption

Discussion in 'Managed Funds & Index Funds' started by Dissed, 3rd Nov, 2008.

  1. Dissed

    Dissed Active Member

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    Location:
    Sydney, NSW
    Has any one redeemed any Om-IP before their maturity during last 6 months? What were the returns like? Was it close to the price they published on their website?

    I have a few which mature in 2-5 years, therefore the bank guarantee does not apply. I understand that to redeem you have to apply in the first week of the month to get paid end of next month.

    Thanks in advance for any information.
     
  2. ashwright

    ashwright Well-Known Member

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    Location:
    Brisbane, Qld
    Hi Dissed,

    Just wondering what your reasons are for redeeming? I also have OM-IP funds, but have not redeemed them before. They do seem to be holding up alright in the current climate.

    Ash.
     
  3. Young Gun

    Young Gun Guest

    The OM-IP fund should have had a good month, as the underlying investment "Man AHL Diversified" is up 16% for the month and almost up 28% for the year ending oct 08.
     
  4. Dissed

    Dissed Active Member

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    Location:
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    I am close to retirement. All the -ve talk about hedge funds prompts me to be ready to bail out to cash.
     
  5. Dissed

    Dissed Active Member

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    I assume that they (OM-IP funds pre-maturity) are not in any liquidity problem. I dont see them on the hedge fund impledemeter site (that site is perhaps US focussed).
     
  6. Young Gun

    Young Gun Guest

    I'm seeing the BDM from Man Investments on Wednesday, If you give me any questions you have I can ask them for you. I'll be hitting him up about the effects on the banning of short selling.
     
  7. Dissed

    Dissed Active Member

    Joined:
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    Location:
    Sydney, NSW
    My questions are: 1. If I looked up a unit price for a fund on their website today and applied for full redemption, how close the real price will be to the published, most current price?
    2. Have they experienced abnormal level (defined as 50% higher than average redempetion in previous 12-18 months) of redemptions in the last 3 months?
    3. Is there any fund in OM-IP series which has lost more than 30% of customers/accounts in the last 3 months?
    4. Under what conditions, can they stop redemption or have unit price below $1?
     
  8. Young Gun

    Young Gun Guest

    Had a meeting with Man's BDM, answers to your questions are as follows:

    you'll get the redemption value as at the end of the month which could be +/- ?%

    No, but slightly higher than normal as with all managed funds.

    No, All funds performing well and have out performed the market by a great deal. They had a bad september quarter as they back a few bad trends. But have had an expectionally good october.

    There are few circumstances where they could stop redemptions, but the fund is highly liquid and is no where near needing to stop redemptions (its not a mortgage fund). The unit price can fall below $1 at any time up until maturity. A few of the funds started last year have Unit prices less than a dollar.

    OM-IP have a really good track record and perform well during market downturns. Every client I've reviewed recently with OM-IP funds have been very happy and have wished they invested more.

    Short selling ban hasn't affected them, and in current market conditions it's where I'd want my money to be.
     
  9. Dissed

    Dissed Active Member

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    Location:
    Sydney, NSW
    This is very helpful and has reduced my panic greatly. Thank you very much.