A DCM or discount control mechanism is a policy put in place by a Board in an effort to control the discount on an investment company. Discount control mechanisms come in different forms. Many are promises to buy back shares if the discount exceeds a certain level in normal market conditions. Some measure the discount over a period and if the average discount exceeds a certain level this may trigger a tender offer, a continuation vote or even a liquidation vote.
Please review our cookie, privacy & data protection and terms and conditions policies and, if you accept, please select your place of residence and whether you are a private or professional investor.
Due to data protection policies, USA residents can not access our data.
Your content has been curated