Good article about Wealth Managers and their feelings towards the current state of Life Settlement Funds. Here is an excerpt that is pretty interesting.
But Brewin Dolphin fund analyst Ben Gutteridge remains unconvinced. He told Citywire Wealth Manager that despite the good performance boasted by some of these funds, he still has some concerns about valuation and liquidity.
He said: ‘The product providers we have met so far have each boasted a conservative approach to valuation. However, these methods are all mark-to-model rather than mark-to-market. This raises the issue of stale pricing, and whether a forced sale of a life policy would realise the price at which it sits in the portfolio. Despite the size of the life policy market in the US, as a tradeable asset class, they are illiquid and can take weeks to sell.
You can read and a get a link to complete article here:
Wealth Managers remain sceptical about Life Settlement Funds
Also visit:
Life Settlement Funds
Source: Citywire.co.uk

