Manager internalisation isn’t the solution to Stoneweg Europe Stapled Trust’s problem
It should focus on ensuring its portfolio pivot boosts its DPS instead of wading into a potentially contentious overhaul
[SINGAPORE] The announcement last week that Stoneweg Europe Stapled Trust (Sert) may internalise its managers did not grab much attention in the market.
One reason may have been that the statement was not definitive. Before the market opened on Thursday (Aug 13), the managers of Sert said that they were in discussions with the trust’s sponsor about a range of “strategic, governance and organisational initiatives” aimed at enhancing long-term value for holders of its stapled securities.
They went on to say that these initiatives may include changes to management arrangements, fee incentive frameworks and the internalisation of the managers.
