Fund suspension update April 2018 - EEA Life Settlements Fund

Details of Redemption Postponement 

During the quarter to the end of March 2018, the level of maturities was below the overall premium costs. 

As a result, there has not been a further build up of available cash after the redemption payments made in respect of the 2 January 2018 Redemption Day and the aggregate Redemption Values of redemption requests has therefore exceeded the level of available cash held as at 29 March 2018 for 11 of the 13 Continuing Cells. 

As a result, the Fund’s board of directors has exercised its power to restrict redemptions of Shares in each of those 11 relevant Continuing Cells to the amount of available cash attributable to each such Continuing Cell. In calculating the level of available cash for each Cell at 29 March 2018, the directors exercised their discretion to exclude an amount consisting of cash and receivables to pay the premia on Current Underlying Investments for one year which means that, in aggregate, USD $37.77m was excluded across all Cells when determining the level of available cash. 

In consequence, there have been no redemptions of shares in any of those 11 Continuing Cells and outstanding redemption requests in those 11 Continuing Cells have been postponed until the next Redemption Day (i.e. until the 2 July 2018 Redemption Day), subject to further postponement if, on that day, a Cell’s outstanding redemption requests have an aggregate Redemption Value which exceeds the available cash held by the Cell as at such Redemption Day. Any such deferred redemptions will generally have priority over subsequent redemption requests, in accordance with the terms of the Fund’s Articles of Incorporation. The Fund has redeemed approximately SEK 0.57 million of shares in the Swedish Krona Fund Class X in respect of the 3 April 2018 Redemption Day. 

A table of the outstanding redemption requests for each Continuing Cell can be found on the notification opposite. 

_______________________________________________________________________ 

For more information about the fund visit www.eeafmg.gg/eea-life-settlements-fund