04 November 2011

Effective 1 October 2011, the Cromwell Phoenix Property Securities Fund (“PSF”) will retain all interest received in the PSF applications account. 

When an investor applies for units in the PSF, their application money is deposited into the applications account until the application is accepted.  The applications account is interest bearing.  However, since money in the account is not PSF property the PSF does not have an automatic right to the interest.

In a majority of circumstances applications are accepted and units issued on the same day the application is received, therefore the amount of interest is very low.  However, on occasion, there can be a delay in processing the application due to a number of factors out of CPS’s control, including incomplete investor applications and banking delays.  In those circumstances the applications account will accrue interest.

CPS will continue to process applications as soon as possible, in accordance with the most recent Product Disclosure Statement.