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The collapse of the $13 billion Woodford investment fund is a taste of what a private equity liquidity crisis will look like

neil woodford

  • Woodford’s Equity Income Fund has declined from about £10 billion ($13 billion) to about £3.7 billion after a rash of investors pulled their money.
  • The fund has frozen redemptions because it is not liquid enough to meet its clients’ demands for their cash.
  • Woodford invested in too many illiquid, private, unlisted stock offerings.
  • The so-called “secondary” market for private equity isn’t as liquid on the way down as it is on the way up, sources tell Business Insider.

The collapse of Neil Woodford’s £10 billion ($13 billion) investment fund has given us a glimpse of what the market might look like if — read more >>>

Source:: BusinessInsider.Com