The Investec Africa & Middle East (AME) fund was closed to investors on several platforms after its move to non-daily dealing.
Skandia has closed the fund to new business while Fidelity’s FundsNetwork has removed the fund from the platform entirely.
Investec Asset Management says it decided to make Fridays a non-dealing day on its AME and Middle East & North Africa (Mena) funds following recent stock exchange announcements in the region that markets would be closed on Fridays and Islamic holidays.
On March 22, Nasdaq Dubai extended its trading hours on Sundays by three hours but said the exchange will no longer trade on Fridays after consulting with members.
Therefore, Investec funds, which are domiciled in Britain, only trade from Monday to Thursday. Friday has been a non-dealing day for these funds since the end of May.
However, Skandia and FundsNetwork say they are unable to support funds which are not dealt on a daily basis.
A spokesman for Skandia says: “There are a number of considerations we make when we put funds onto the platform and one of these is whether it is daily-priced. Investec’s AME fund used to be daily priced before switching to just four days, so we have closed it to new business.
“This is not a widespread issue and although we are constantly looking at how the funds on the platform are evolving, we have no immediate plans to change this rule.”
He adds the only other fund investing in the Middle Eastern region on the platform, Fidelity Emerging Europe, Middle East and Africa fund was not affected as it continues to deal daily.
FundsNetwork says that it communicated with investors on May 28 that the Investec AME and Mena funds would be removed from the platform as a result of the change in pricing. Existing investors are being offered a free switch into another funds or their capital back should they wish to invest directly.
Investec says it has not affected the Cofunds and Vantage platforms.
The group launched its Mena funds to the British market a year ago. At the end of April, the Mena fund had 9.3% invested in the United Arab Emirates.