You have to remember that it pays out the majority of all its...

You have to remember that it pays out the majority of all its profit in dividends. That's why the share price hovers around the same price.

Its built for yield and retirees looking for a steady flow of income.

Looking merely at the share price will not explain its return over the years.

In saying that, when you take away the fees and the clever switching between NTA growth or share price growth depending on the premium... the returns over the years are far less amazing than people profess.

I would be hesitant to buy any closed fund at a premium. Especially WAM funds that are at the mercy of retirees holding tight - and by virtue sending the premium through the roof.

Take WAX as an example - over 40% premium to NTA. Can you imagine what would occur in the event of a negative period (which inevitably occur), coupled with exits from retirees. You would easily kiss goodbye to over half your investment in a flash.

I can understand the appeal of Wilson funds to retirees, but whenever you buy a closed fund at a premium you take on so much additional downside risk.

There is also the fact, which irks me to tears, that Wilson investors treat GW as a modern day god. The bottom line is many of their practices are out of touch - performance before fees - delayed notification of NTA - switching between NTA growth or share price growth contingent on premiums/discounts.

That is not to say they don't perform well. But it does amuse me how many people haven't done the maths - and realised that on a net basis - that most of their funds perform in line simply with the relevant index (on a NTA basis).