Investors trapped in the stricken EEA Life Settlements fund received a $48.5 million (£39.6 million) payout in October.
In a letter to shareholders seen by Wealth Manager, the £366 million EEA fund redeemed approximately $16 million worth of shares for investors holding continuing shares as of 20 October.
The fund also distributed approximately $32.5 million to holders of run-off shares, issued following a restructure vote in January 2014.
Following this, run-off shareholders, who own 60% of the fund’s assets, have now been able to redeem around 53% of their original stakes.
EEA is projecting a five-year time frame to return the remaining 47%.
EEA said it was able to make the payments after a ‘significant’ number of underlying policies matured in August and September.
The firm added that unfulfilled requests will be automatically carried over to the next redemption day on 3 January 2017.
The fund was suspended in November 2011 following a wave of redemptions after the then FSA managing director Margaret Cole branded life settlements ‘toxic’ products.
EEA was unavailable for comment.