The $104 million closed-end Mexico Equity and Income Fund's board of directors has given approval for the fund to liquidate its holdings. The fund invests primarily in equities, convertible debt securities and bonds issued by Mexican companies. The fund is co-managed by Advantage Advisers of New York, a subsidiary of CIBC World Markets and Acci Worldwide of Mexico.
Fund shareholders will have the opportunity to vote on the board's liquidation proposal at a shareholder meeting expected to take place in July.
Earlier this year, fund shareholders elected closed-end fund activist Philip Goldstein, principal of Opportunity Partners of Pleasantville, N.Y., to the fund's board of directors. Fund shareholders also approved a proposal initiated by Goldstein that withheld the fund board trustees' monetary compensation, including Goldstein's, until the board came up with a plan that enabled fund investors to realize net asset value for their shares. Fund shares have recently sold at a discount to net asset value.