Templeton Emerging Markets looks to appease investors
Investment trust Templeton Emerging Markets (TEM), which currently trades at a 10% discount to net asset value (NAV), says it will hold a tender offer in five years’ time if the performance over the period falls short of the benchmark.
This would allow shares to be sold back to the trust at NAV minus 2%. The offer is subject to both 2019’s and 2024’s continuation votes being approved. Largest shareholder City of London has committed to voting in favour of continuation in July.