below issue price in feb 2005, page-7

##You can't blame the board for the discount to the NTA. Similar sized listed funds have been hit hard in the same way##
The current 40% discount to NTA is much more than most LIC with FUM the size of LRF. Do you really believe they do not have a responsibility in this regard? Even the board would say they do - and one of the reasons for the discount is the market's dis-satisfaction with the recent events.

##These funds have too little liquidity depth##
Yes, this would have contributed somewhat.

##If your investing for the long term then it shouldn't matter too much##
I agree.

##The problem is that management has little incentive to reduce the discount##
Totally wrong. They receive fees based on performance as well as FUM. The performance fees have potential to be substantial if they (a) keep making the good returns they fund has, and (b) the unit price keeps pace with FUM.

I also sold before the vote, however have just recently re-entered (and purchased another small handful today actually). IMO the discount to NTA is so large it's ridiculous, combined with the fact that yield at current price will be close to 10%.

MJS