Hansa emigrates

[UncleEbenezer]

Hansa is to relocate to Bermuda, 'cos of fears over political nonsense:

The Board has historically deemed it appropriate for Hansa Trust to be domiciled in the UK, benefiting from UK Investment Trust status. However, the Board has become increasingly concerned about the recent political climate in the UK and the instability and uncertainty this creates for Hansa Trust. The Board has given consideration as to how best protect Hansa Trust's business from the risks of unfavourable political developments in the UK and concluded that Hansa Trust should redomicile to an alternative jurisdiction.

Also a five-for-one split.

Is Bermuda one of those jurisdictions that's particularly friendly to gangster-money? Should a Hansa investor for whom tax is a non-issue be concerned or delighted about the move?

[Dod101]

I have no idea about the answer to your questions but I held Hansa for a long while at one point but it was doing nothing for me so I sold it. I cannot believe that it will be a great loss for the UK market unless for those wanting exposure to Brazil. I do not understand UE's reference to 'gangster money'. Alex Hammond Chambers has always seemed to me to be an honest enough fellow and he has been in the job long enough to know all about the Salomons who he will know control about 50% of Hansa.

Dod

[SalvorHardin]

According to the RNS Hansa will still be quoted in London.

https://www.londonstockexchange.com/exc ... 37409.html

Hansa's largest shareholding, Ocean Wilsons Holdings (28.6% of the portfolio), is a Bermuda company. There are a lot of connections between Hansa and Ocean Wilsons through the Salomon family (and through Wilson, Sons which represents about 60% of Ocean Wilson Holdings' NAV).

Bermuda doesn't levy withholding tax on dividends.

I sold my Hansa shares years ago and put the proceeds into Ocean Wilsons. It's a cheap way to get into Brazilian shipping, port operation and logistics (Ocean Wilsons owns 58.25% of Wilson, Sons) with a 5.5% yield.

[LittleDorrit]

Earlier this year my shares in Utilico Emerging Markets (UEM) were repatriated from Bermuda to the UK, apparently to increase liquidity and to promote the possibility of decreasing the stubborn discount to N.A.V.

Historically a wide discount to N.A.V. has not troubled the majority shareholder's in Hansa, so presumably the reverse process holds no fear for them.
Instead they cite political concerns. A Corbyn government perhaps, referred to in the recent annual report as near communist and not mentioned but perceived as anti semitic. If this is the case they appear to be the first trust to take positive action in response to this unknown.

Personally I will just have another line to fill in on my overseas earnings page of the annual tax return.

Not mentioned on these pages has been the radical overhaul of the trust holdings, excluding Ocean Wilsons, over the last two years. The trust now has a much greater emphasis on wealth preservation. UK small caps and their manager John Alexander (the man best remembered for driving Henderson Smaller Co's onto the rocks) have been ditched for a delegated global portfolio. If nothing else the trust's bi-annual Shareholder presentations are now a worthwhile read.

[Dod101]

Earlier this year my shares in Utilico Emerging Markets (UEM) were repatriated from Bermuda to the UK, apparently to increase liquidity and to promote the possibility of decreasing the stubborn discount to N.A.V.

Historically a wide discount to N.A.V. has not troubled the majority shareholder's in Hansa, so presumably the reverse process holds no fear for them.
Instead they cite political concerns. A Corbyn government perhaps, referred to in the recent annual report as near communist and not mentioned but perceived as anti semitic. If this is the case they appear to be the first trust to take positive action in response to this unknown.

Personally I will just have another line to fill in on my overseas earnings page of the annual tax return.

Not mentioned on these pages has been the radical overhaul of the trust holdings, excluding Ocean Wilsons, over the last two years. The trust now has a much greater emphasis on wealth preservation. UK small caps and their manager John Alexander (the man best remembered for driving Henderson Smaller Co's onto the rocks) have been ditched for a delegated global portfolio. If nothing else the trust's bi-annual Shareholder presentations are now a worthwhile read.

Thanks LittleDorrit, I will take a more detailed look.

Dod