Yes fair enough I think my point was wrong there about them having outperformed in the long term. I agree their should be some clause in there for a rolling period.
ALF would have banked performance fees in the early days so it is wrong that they could get performance fees again after their poor run in the last 5 years.
The ownership is quite open so if the discount blows out to 20% plus hopefully an activist can get a 5% stake and change some of these things, or simply wind it up.
Their base fee at least isn't as bad as some. Also if they buy back a lot of shares well below NTA via the buyback that saves shareholders some money. The fund is still large enough for scale and liquidity.
It's why I rarely own these LICs with long/short mandates as they simply charge too much.
ALF Price at posting:
$1.07 Sentiment: Hold Disclosure: Held
