RESPONSE TO BID

It took the board and manager years to work out the structure and strategy was a failure so it may take a decade for them to formulate a response.

It “might” go something like this: WAM has a different strategy and higher MER. If you wish to exit, we will allow you to do so at cash backing plus franking credits (via an off market buyback) subject to the Fund retaining a minimum size of xxxx. If the minimum size of xxxx is not met, then a complete windup. But we are not giving it to WAM.

The fact is management failed and the board failed. The strategy was doomed to failure from day one.