For RAB, listed on Aim, shutting its flagship will be a last-ditch option. Mr Richards has already stepped down as chief executive to focus on improving the performance of the fund and the company is now asking investors – including billionaire Lakshmi Mittal – to vote to block withdrawals until 2011.

If they do not, the fund will close, a move analysts say could prompt further losses as it becomes a forced seller in a market with few buyers.

Source: http://www.ft.com/cms/s/0/8605b114-7...

//We don't know half of what's going on in the financial market. I just read this morning that Belgian-Dutch bank Fortis shut down three hedge funds after it took over ABN Amro. This was in the news today, but the hedge funds were actually shut down in 2007. I believe that much of the misery that we're seeing in the mining sector now is due to forced selling of hedge funds. Banks are doing everything they can to raise cash and many of these banks have been hit hard by the commodity bust. Especially the illiquid funds are hard to sell, but even blue chip miners such as Yamana have been completely hammered. Fundamentals don't play any role here!

The only one that will get better out of this commodity bust is Goldman Sachs as through their link with US Government (Paulson & George Herbert Walker IV are former GS) I'm sure they're kept informed of any intervention plans.