Friedberg Mercantile Group, Ltd (FMGL)

November 08, 2007 15:12 ET

Friedberg Mercantile Group Ltd.: Press Release

TORONTO, ONTARIO--(Marketwire - Nov. 8, 2007) - Friedberg Mercantile Group Ltd., the manager of FCMI Precious Metals Fund Inc. (the "Fund") announced today that it has liquidated the portfolio investments of the Fund and intends to distribute shortly all of the Fund's net assets.

The Fund, previously known as the Guardian-Morton Shulman Precious Metals Fund, Inc. began as a closed-ended fund listed on the Toronto Stock Exchange. Its previous management de-listed the Fund and opened it for redemptions. Since affiliates of the Manager acquired management of the Fund in 1990, the Fund continued to be open for redemptions with no new subscriptions. As a result, the assets of the Fund have been reducing substantially over the years while management strived to maintain its expenses fairly constant. The ongoing operating expenses of the Fund consist mainly of accounting and auditing fees, legal fees in connection with annual meetings and director's fees.
The resulting ever increasing management expense ratio has reached the point where it has become very difficult to achieve a positive increase in net asset value per share.

Accordingly, it has been determined to be in the best interests of the Fund's shareholders that an orderly wind-up of the Fund take place.

Contact Information

  • Friedberg Mercantile Group Ltd.
    Henry Fenig
    (416) 350-2890
    (416) 364-0572 (FAX)