Investors in two frozen ING funds are being told a payout offer of $400 million by the insurance group is fair and reasonable.
ING has mailed an information pack to investors, including an independent report by Grant Samuel appraising a revised bid.
Investors are being offered 60 cents per unit for ING's Diversified Yield Fund, and 62c per unit for its Regular Income Fund, or they can transfer their money to a special on-call ANZ account, paying 8.3% over five years.
If the offer is accepted, ING insists that investors must waive or end any legal action.
Grant Samuel says it is difficult to assess the value of the funds because they include complex packaged debt products.
But it has calculated that the Diversified Yield Fund is worth 24c per unit and the Regular Income Fund is worth 21c per unit - well below ING's offer.
While noting that investors have to make up their own mind about the offer, Grant Samuel warns that it is unlikely the assets in the funds will regain their face value and investors potentially face substantial losses.
It says it does not have the expertise to assess the likely success of investors taking legal action.