Magellan’s announcement on Monday that it was considering converting its $2.65 billion closed-end fund – the Magellan Global Fund – into an open-ended exchange-traded fund was hardly a surprise.

In fact, its precisely what large holders have pushed for. The embattled fund manager made a similar move with its high conviction trust back in 2021 and dropped hints that this was the likely course of action to deal with the double-digit discount to net asset value.