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Many more frozen funds

24 October 2008 10:20AM
More mortgage funds and cash plus type collective investment vehicles imposed a freeze on redemptions yesterday.  Perpetual froze redemptions on eight mortgage and income funds with around $2 billion under management.The manager said in a media release that there was "a sudden spike in redemptions in the past few days" triggered by the shift of funds from collective investment vehicles to guaranteed bank liabilities.Axa Asia Pacific said it was "deferring redemptions" for up to six months on its Australian Monthly Income Fund.Everest Babcock & Brown said it halted redemptions from the Everest Babcock & Brown Income Fund that has around $180 million under management. EBB said it was considering closing the fund.Australian Unity also froze redemptions on a mortgage fund, The Age reported.

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