UPDATE ON PACIFIC BALANCED FUND
- John Kevau
- Nov 21, 2023
- 2 min read
Updated: Mar 6
November 21, 2023
WEATHERMEN CAPITAL ADVISORS LTD (“WCAL”) IN TRUST FOR PACIFIC BALANCED FUND (“PBF”) PROVIDES PROGRESSIVE UPDATE TO ITS UNITHOLDERS AND ALL STAKEHOLDERS
Weathermen Capital Advisors extends its deepest appreciation to the unit holders of the Pacific Balanced Fund for their patience during the ongoing transition of trusteeship. The transition from former trustee to Weathermen Capital Advisors has been a challenging process, but we want to assure unit holders that we are carefully managing this transition, which is expected to be completed shortly.
As part of our commitment to transparency and accountability, we would like to provide an update on the progress we have made since our appointment:
Trust Deed Review
We are in discussions with a leading global law firm to conduct a thorough review of the trust deed. The existing trust deed, deemed outdated, is currently under review for a more modern version. Unlike the previous deed, which favored the trustee and fund manager roles, the new trust deed is designed to prioritize the interests of unit holders. Notably, we have ensured the separation of trustee and fund manager functions, aligning with industry best practices.
Fund Audit
WCAL has engaged a professional accounting firm to conduct a comprehensive audit of the PBF. Our preliminary findings have uncovered instances of improper conduct by the former trustee, and we have promptly reported these to the relevant authorities. This audit is a crucial step in establishing a fair valuation of the fund and ensuring its integrity.
Unitholder Query Management
WCAL has not been able to assist Unit holder queries as efficiently as possible with delays in transferring the unit registry. WCAL have received several queries dating back to 2020 with no response from the former trustee. We are liaising with the registry system vendor to novate the agreements to WCAL, for us to address unitholder queries and concerns. We expect to have access to the unitholder register by end of November.
Redemptions and Trading
The Board and management of WCAL have agreed to suspend trading and redemptions until further notice. We intend to open trading by December 2023, however, this is contingent on WCAL having access to the Unit holder Registry and the quarterly valuations are complete.
Unitholder Meeting
WCAL shall call a Meeting of Unitholders in December 2023. This will be the first Unitholder meeting after 15 years.
Future Growth and Accessibility
Weathermen Capital Advisors is actively working towards the prospect of listing the Pacific Balanced Fund on the Papua New Guinea Stock Exchange. Our objective is to make the fund accessible to all Papua New Guineans, providing opportunities for growth and ensuring broader participation in the financial markets. This can only be achieved after a comprehensive review of the Fund and its operations.
We want to reassure unit holders that we are diligently working to ensure the Fund's proper state and appreciate their continued support during this transition. Weathermen Capital Advisors remains committed to transparency, accountability, and acting in the best interests of unit holders.
Approved for Release