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Switzerland's GAM to liquidate suspended ARBF funds


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ZURICH, Aug 10 (Reuters) - GAM Holding will liquidate nine funds whose trading it halted last month after suspending the investment director who ran them, the Swiss group told investors on Friday.

"We believe that the liquidation approach will allow investors the opportunity to receive proceeds in a more timely manner and ensure equal treatment," Zurich-based GAM said in a letter published on its website.

GAM had already said it was considering liquidating the funds, which represented 7.3 billion Swiss francs ($7.33 billion) in assets under management at the end of July.

The suspension and trading halt has weighed heavily on GAM shares, which fell a further 4.3 percent on Friday.

GAM said in the letter it expected fund shareholders to get their proportionate interest in cash as it becomes available throughout the liquidation process.

"GAM is working with each of the fund boards to maximise liquidity and value for investors. In addition, we are working on establishing alternative structures for fund shareholders who want to remain invested with the ARBF team," it said.

($1 = 0.9954 Swiss francs)




This article appears in: Politics , World Markets , Stocks



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