Management ChangeMay 12, 2026, 05:36 PM
MFS Government Markets Income Trust to vote on new adviser abrdn, new board
AI Summary
MFS Government Markets Income Trust will hold a Special Meeting on June 18, 2026, for shareholders to vote on approving a new investment advisory agreement with abrdn Inc. and electing five new Trustees. This follows MFS's decision to transfer its investment management business for the Trust to abrdn, after a previous reorganization proposal failed to gain shareholder approval. The Board of Trustees unanimously recommends voting in favor of both proposals, which would result in a new fee structure, a slightly lower expense limitation, and a change in the Trust's name to "Aberdeen Government Markets Income Fund."
Key Highlights
- Special Meeting on June 18, 2026, to approve new investment adviser and Trustees.
- New investment advisory agreement with abrdn Inc. to replace MFS.
- Five new Trustees (Christian Pittard, Nancy Yao, C. William Maher, Gordon Baird, Todd Reit) to be elected.
- New management fee: 0.65% on first $150M, tiered down to 0.50% over $450M Managed Assets.
- Aberdeen Expense Limitation: 0.79% of average daily Managed Assets for at least two years.
- Current total expenses including limitation: 0.80%; Pro forma with Aberdeen: 0.79%.
- Trust's name to change to "Aberdeen Government Markets Income Fund".
- Board size to be reduced from 11 to 5 Trustees.