Without going into the benefits or otherwise of INE, something I...

Without going into the benefits or otherwise of INE, something I don't mind about INE is it actually does have low fees (0.5%, which is very low given the size of this fund).

Further, I don't mind the performance fee in this case or it being reset. A few points:

* It is reset as they are employing the services of a new manager (note they are external to INE, so any performance fee is not for the directors);
* Performance fee is for performance over 20% return pa. If the fund made 25% the performance fee is 0.5% if I understand correctly. Hardly substantial given they need to make up lost ground.

Regarding discount to NTA, who cares? Well, you shouldn't unless you bought in on listing anyway. Why does a discount mean no increase in SP rakki?? Let's say the difference averages 20% over the long term. If over the same long term NTA doubles, so would the share price! Sure, the discount over that period might change between 50% and zero giving greater volatility, but SP will still move. Me, I don't mind LICs for this very reason. At present a reasonable portion of my portfolio is BKI, another LIC, purchased at a historically large discount to NTA. Part of my return from this over the past 6 months has been a reduction in discount.

Volatility can be good if u accept it.