DEALING SUSPENSION UPDATE
Janus Henderson UK Property PAIF (the Fund) and its Feeder Fund remain suspended for dealing – 10 September 2020
Since the formal dealing suspension review update posted last week, we have continued our regular discussions with CBRE, the appointed independent valuer of the Janus Henderson UK Property PAIF. CBRE has advised us that the material uncertainty clause will be removed from all properties held by the fund and that the valuation report issued at the end of September will therefore be free from material valuation uncertainty.
The Board of Henderson Investment Funds Limited, which is the authorised corporate director (ACD) for the fund, has again formally reviewed the dealing suspension in light of this news. However, despite the removal of the material uncertainty clause, the Board has agreed with the fund’s depositary that the Janus Henderson UK Property PAIF (and its Feeder Fund) should remain suspended to allow for the raising of additional liquidity to ensure the fund is able to meet both known redemption requests on reopening and to have sufficient liquidity to substantially reduce the risk of re-suspension in the short term. The investment team have been able to complete property sales during the period of suspension, but the property market remains challenging compared to prior to the pandemic. Further property sales are underway, and we are continuing to monitor their progress closely to ensure the broad balance of the portfolio and the fund credentials remain. The investment team are working hard to ensure they achieve the best price possible on behalf of investors. A further update will be provided within the next 28 days, or sooner should the situation change again.
We thank you for your continued patience in the face of further potential inconvenience arising from the continued dealing suspension.
The Fund aims to provide a high and increasing level of income as well as capital growth over the long term (5 years or more). The Fund is a dedicated Feeder Fund to the Janus Henderson UK Property PAIF.
The Fund provides exposure to UK commercial real estate by investing (in normal circumstances) solely in the Janus Henderson UK Property PAIF (the Master Fund). The investment returns of the Fund will be very similar to those of the Master Fund, though could differ because the funds are treated differently for tax purposes and because the Fund may not be wholly invested in the Master Fund at all times due to the need to hold cash for administrative purposes (e.g. the payment of fees and distributions).
The Fund may also hold cash.
The investment manager may use derivatives (complex financial instruments) to reduce risk or to manage the Fund more efficiently.
The Fund is actively managed with reference to the IA UK Direct Property sector average, which is based on a peer group of broadly similar funds, as this can provide a useful comparator for assessing the Fund’s performance.
About the feeder fund
The Janus Henderson UK Property PAIF Feeder Fund is a unit trust for those investors who cannot, or do not wish to, invest directly in the Janus Henderson UK Property PAIF. The Feeder Fund solely invests in shares in the PAIF and should therefore broadly perform in line with the PAIF. Further information on the PAIF, fund literature and manager updates can be found on the main UK Property PAIF fund page.