Highland Global Business Valuations Announces the Release of the 3rd Quarter 2006 Update to 'Discount Statistics of Closed-End Funds'

Selecting an appropriate discount applicable to minority interests in family limited partnerships is a challenge for financial analysts and business appraisers. Each quarter, Barron's reports statistics on publicly traded closed-end funds. The statistics reported include the discount (or premium) of the market price from the fund's net asset value (NAV), the 52-week average discount or premium, the fund's objective, and various return measurements, etc. Highland Global Business Valuations analyzes the data on closed-end funds as compiled by Barron's each quarter to provide research that may be useful in developing reference points for discounts applicable to minority interests in family limited partnerships or privately held entities that hold a diversified portfolio of financial assets analogous to closed-end funds.

Myrtle Beach, SC; Miami, FL (PRWEB) November 14, 2006 -- Highland Global, LLC is pleased to announce the release of its 3rd Quarter 2006 Update to its quarterly research on "Discount Statistics of Closed-End Funds."

Each quarter, Barron's Online (www.barrons.com) reports statistics on publicly traded closed-end funds. The statistics reported include the discount (or premium) of the market price from the fund's net asset value (NAV), the 52-week average discount or premium, the fund's objective, and various return measurements, etc. For the third quarter ending September 30, 2006, Barron's reported that 439 closed-end funds traded at discounts to their NAV for the quarter. The average discount to NAV was 7.1% with a median of 6.9% and a standard deviation of 4.3%. For the second quarter ending June 30, 2006, the average discount to NAV was 8.3% with a median of 7.9% and a standard deviation of 4.4%. For the first quarter, the average discount to NAV was 7.4% with a median of 6.9% and a standard deviation of 4.6%.    
    
Selecting an appropriate discount applicable to minority interests in family limited partnerships is a challenge for financial analysts and business appraisers. The assumptions that the analyst makes are particularly important and may come under intense scrutiny. Given that the selection of the appropriate discount is based on the reasoned, informed judgment of the analyst, supporting the discount with appropriate data is prudent. As a reference point for selecting the applicable discount for a minority interest in a family limited partnership, the analyst may consider discounts associated with shares in publicly traded closed-end funds as well as the relationship between the volatility of the fund (the fund's beta), the focus/objective of the fund, and the characteristics of the interest being valued.

Business appraisers, attorneys, professors, students, or accountants may find Highland Global's research in this area useful in developing reference points for discounts applicable to minority interests in family limited partnerships or privately held entities that hold a diversified portfolio of financial assets analogous to closed-end funds.

About Highland Global
Highland Global, LLC is a leading strategic advisory and financial analysis firm for domestic and international privately held and family owned businesses. Some of Highland Global's services include assisting clients with mergers and acquisitions, sales and divestitures, recapitalizations, management buyouts, and privatizations. Highland Global also provides a full range of valuation services including formal valuations, limited scope valuations, fairness opinions, and expert witness/consulting services. Highland Global performs independent business appraisals and valuations for a wide range of purposes including family limited partnerships, succession planning, gift taxes/planning, estates taxes/planning, mergers & acquisitions, employee stock ownership plans (ESOPs), financing/capital raising, divorce, shareholder issues, and litigation.

About Mr. Clinger
Robert M. Clinger III, founder of Highland Global, LLC, has strong experience in the fields of business valuation and financial analysis. Mr. Clinger has written numerous articles regarding economics, business valuation, and merger & acquisition issues. Mr. Clinger earned a Bachelor of Science degree in Business Administration/Finance, summa cum laude, from Coastal Carolina University and received the distinguished President's award. Mr. Clinger has also earned the Accredited Valuation Analyst (AVA) designation from the National Association of Certified Valuation Analysts (NACVA) and is currently pursuing the Certified Business Appraiser (CBA) designation from the Institute of Business Appraisers.

In 2006, Mr. Clinger was a Republican candidate for the Horry County Council District #2 seat (South Carolina). Mr. Clinger is also the authors of two books, The Seven Deadly Sins of Business Valuation and The Seven Deadly Sins of Business Valuation: Closely Held & Family Controlled Companies. His two part article, "Direct Market Data Method: Value Disparity Issues," was recently published in the National Associaiton of Certified Valuation Analysts' journal, The Value Examiner.

Press Contact:
Highland Global, LLC
Telephone: 843-278-5437

Additional contact Information:
Telephone: 888-537-5380
Fax: 760-457-2545

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