Acorn Income fund

[BrummieDave]

Anyone seeking income from an IT may be interested in these two articles, one published last week and one yesterday:

https://www.itinvestor.co.uk/2019/04/ac ... ome-twist/

https://www.edisongroup.com/wp-content/ ... ential.pdf

Acorn was previously one of John Baron's Income Portfolio ITs, but has fallen in SP over the past 12 months.

I have owned it for some time, and topped up earlier this week.

[midgesgalore]

Hi BrummieDave
Thanks for the links, I noticed Acorn Income Fund is another trust with a continuation vote every now and again, in this case every 5 years due in 2021.

I have to say this freaks me out for some reason as if the vote eventually becomes discontinue then I would think I would be last man to learn of it and maybe lose out as a consequence.

Whereas Acorn are not alone in this does a continuation vote on an IT ever play negatively on your mind?

midgesgalore

[Parky]

Hi BrummieDave
Thanks for the links, I noticed Acorn Income Fund is another trust with a continuation vote every now and again, in this case every 5 years due in 2021.

I have to say this freaks me out for some reason as if the vote eventually becomes discontinue then I would think I would be last man to learn of it and maybe lose out as a consequence.

Whereas Acorn are not alone in this does a continuation vote on an IT ever play negatively on your mind?

midgesgalore

In theory, if the company is wound up while the shares are at a discount to NAV, as in this case, you should gain from it, although the liquidity of the assets and maybe other factors may affect that.

[BrummieDave]

Hi BrummieDave
Thanks for the links, I noticed Acorn Income Fund is another trust with a continuation vote every now and again, in this case every 5 years due in 2021.

I have to say this freaks me out for some reason as if the vote eventually becomes discontinue then I would think I would be last man to learn of it and maybe lose out as a consequence.

Whereas Acorn are not alone in this does a continuation vote on an IT ever play negatively on your mind?

midgesgalore

No, not significantly, and it only represents just under 3% of a LTBH IT Portfolio.