In December 2007, the DPF was valued at $2.4bn and DPFI valued at $2.0bn (Centro presentation 17/12/07). Both funds were closed to redemptions on 17/12/07. Until this point, investors were free to move funds in an out as they see fit.
31/12/07 unit prices:
DPF 1.4151 DPFI 0.9568
30/7/08 unit prices (latest data available):
DPF 1.2915 DPFI 0.8495
The DPF unit price has dropped 8.73% and DPFI dropped 11.59%.
This equates to a drop in the total DPF value of $209m and the DPFI of $232m.
The total drop across both funds since they were closed to redeptions is $441m. Where did the $725m 'wiped off their investment' come from?
The question here is who are 'they'? An uninformed reader might think 'they' are mums and dads investors. Well, CNP owns 51% of DPF and 67% of DPFI (Centro presentation 17/12/07). DPF owns 27% of DPFI.
So, external investors have lost $102.4m in DPF and $14m in DPFI, or $116.4m in total.
The investors who have lost out most are CNP shareholders through their indirect stakes in the two funds. Even so, this amounts to $324.6m and let's be frank: we kinda knew things weren't going so well at Centro for a while now.
But I guess the fact that CNP shareholders have lost out is old news and wouldn't make a good headline.
CNP Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
