I had a small holding in CHRY for a while. I sold out in disgust at the antics of the manager. They still have not addressed the performance fee issue that saw the manager walk away with millions while investors lost big time. Touch with a bargepole I would not.
I agree both the antics and the fee charges were poor. However they have addressed the performance fee issue (RNS 30/11/22):- it's much more aligned to other VC investment trusts now.
· Overall performance fee level reduced from 20% to 12.5% of the amount by which the adjusted net asset value exceeds the higher of the high-water mark and the hurdle rate
· Performance fee to be satisfied in shares (excluding tax and other liabilities attributable to receipt of the performance fee which will be satisfied in cash), with a deemed issue price set at the higher of NAV and share price as at the year-end in respect of which the fee accrues
· The shares allotted under the performance fee will be allocated by Jupiter solely to the members of the management team to ensure alignment of the team with Chrysalis shareholders
· Current "high-water mark" set in September 2021 is maintained at the same level
· Introduction of a deferred settlement structure; 25% of the shares due in any performance fee payment will be immediately issued with the remaining 75% of payment deferred by Chrysalis for between 3 and 5 years, subject to share price tests
· A cap on the performance fee payable in any one year based on the performance fee payment not resulting in the Company's total expense ratio (TER) exceeding 3.75% in that year
I had a small holding in CHRY for a while. I sold out in disgust at the antics of the manager. They still have not addressed the performance fee issue that saw the manager walk away with millions while investors lost big time. Touch with a bargepole I would not.
I agree both the antics and the fee charges were poor. However they have addressed the performance fee issue (RNS 30/11/22):- it's much more aligned to other VC investment trusts now.
· Overall performance fee level reduced from 20% to 12.5% of the amount by which the adjusted net asset value exceeds the higher of the high-water mark and the hurdle rate
· Performance fee to be satisfied in shares (excluding tax and other liabilities attributable to receipt of the performance fee which will be satisfied in cash), with a deemed issue price set at the higher of NAV and share price as at the year-end in respect of which the fee accrues
· The shares allotted under the performance fee will be allocated by Jupiter solely to the members of the management team to ensure alignment of the team with Chrysalis shareholders
· Current "high-water mark" set in September 2021 is maintained at the same level
· Introduction of a deferred settlement structure; 25% of the shares due in any performance fee payment will be immediately issued with the remaining 75% of payment deferred by Chrysalis for between 3 and 5 years, subject to share price tests
· A cap on the performance fee payable in any one year based on the performance fee payment not resulting in the Company's total expense ratio (TER) exceeding 3.75% in that year
I’m with phl on this one - can’t trust da management and reflected badly on Jupiter. Tainted for me. Your TENT article was a revelation though ...