|Expense Ratio (net)||0.69%|
|Last Cap Gain||0.00|
|Morningstar Risk Rating||Above Average|
|Beta (3Y Monthly)||1.10|
|5y Average Return||N/A|
|Average for Category||N/A|
|Inception Date||May 2, 1963|
Prominent U.S. investor Jeffrey Vinik is promising potential clients a cut in fees and said that it had been tougher to raise money than he initially thought, as he prepares to relaunch Vinik Asset Management after six years on the sidelines. Vinik, who once ran Fidelity's Magellan mutual fund and then oversaw $10 billion at his own hedge fund, had hoped to raise as much as $3 billion in the hedge fund relaunch. "We will offer investors a 50-basis point discount on management fees in our 1/30 and 2/20 tranches," the fund manager wrote in a letter seen by Reuters.
It may be time for investors to take a look at mutual funds that invest in convertible securities. As a group, funds dedicated to convertibles have steadily declined in popularity with investors in recent years. Most convertibles are bonds that can be converted into a company’s stock at a preset price, which is set above the stock’s market price at the time the convertible is issued.
"If a statue is ever erected to honor the person who has done the most for American investors, the hands down choice should be Jack Bogle." - Warren Buffett
One of the biggest draws of closed-end mutual funds is the fact that they can offer investors a chance to buy a basket of stocks or bonds at what's called a "discount to net asset value." That's where you purchase shares of a closed-end mutual fund and get, say, a dollar's worth of underlying securities for just 90 cents a share. "If you are thoughtful about when you buy and what you buy and you have patience, good things can happen," says Maury Fertig, co-founder of Relative Value Partners in Northbrook, Ill. Roughly 80% of closed-end mutual funds trade at a discount to NAV due to the unique way that these funds operate.