21 September 2017
UK MORTGAGES LIMITED
(A closed-ended investment company incorporated in Guernsey with
registration number 60440)
Revised Portfolio Management Fee
The Board of UK Mortgages Limited (“UKML”) announces that it has
reached agreement with TwentyFour Asset Management LLP
(“TwentyFour”) for a reduced portfolio management fee.
With effect from the financial year beginning 1 July 2017 the annual portfolio management fee
payable by UKML to TwentyFour will reduce to 0.60% of the lower of
the NAV and the market capitalisation. It is currently expected
that, subject to a review by the Board and its agreement at that
time, the fee will revert to the original level of 0.75% after four
years.
TwentyFour has agreed to this reduced fee basis as a
contribution to reduce UKML's costs while it seeks to move to a
position where the dividend is covered by current income, and in
recognition of the longer time that was taken to invest UKML’s
initial capital.
As an update to the presentation released on 26 June 2017, a revised yield projection has
today been posted on the UKML webpage. This projection takes
account of the fee reduction set out above and of TwentyFour's
current assumptions regarding potential returns from the existing
assets and the deployment of current and future cash resources.
A copy of the presentation is available at:
https://twentyfouram.com/funds/uk-mortgages-fund/fund-literature
(1).
UKML's annual report for the year to 30
June 2017 is expected to be published by the end of October
2017.
For further information, please contact:
TwentyFour Asset Management LLP
John Magrath
Alistair Wilson
Tel. 020 7015 8900
Numis Securities Limited, Corporate Broker
Hugh Jonathan
Nathan Brown
Tel. 020 7260 1000
(1) The projection illustrated ?in the presentation
is based on modelled scenarios and there can be no guarantee or
assurance that the performance will be achieved.