Close suspends dealing in property portfolio

Close Investments announced last week that it was suspending dealing in its Property Investment Portfolio (Closepip).

The firm has also temporarily suspended trading in one of its sub-funds, Active Commercial Estates.

Close Investments says it took the decision to ensure that the high level of redemptions did not force the sale of property. The suspension is expected to last for six months but the firms’ board of directors says this may change depending on market conditions.

The move follows similar action taken by Scottish Widows Investment Partnership and Aegon Scottish Equitable in their property funds.

Close Brothers Group, the parent group of Close Investments, was the subject of takeover talks and recently ended negotiations with Cenkos Securities, a boutique advisory firm. Discussions are continuing with other interested parties.