Hyperlink Fund Options to pay as much as £235mn to Woodford buyers

Hyperlink Fund Options has agreed with the UK monetary regulator to pay as much as £235mn to buyers who suffered from the collapse of Neil Woodford’s Fairness Revenue fund.

The Monetary Conduct Authority stated the redress package deal will cowl the losses of greater than 300,000 buyers who had cash within the fund when it was frozen in 2019.

Hyperlink Fund Options, Woodford’s fund administrator, will present the compensation with “a fabric contribution” from its guardian group, Australian firm Hyperlink Group.

The settlement is topic to the completion of a sale of Hyperlink Fund Options to rival firm Waystone Group.

“The FCA’s investigation raised severe considerations about Hyperlink Fund Options’ administration of the liquidity of the Woodford Fairness Revenue Fund,” stated Therese Chambers, govt director of enforcement and market oversight on the FCA. “LFS’s actions seem to have brought on vital losses for these buyers who remained within the fund when it was suspended.”