Quantcast
The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Babson Reopens the Doors to Enterprise Not Rated 3.0 Email Routing List Email & Route  Print Print
Thursday, July 29, 1999

Babson Reopens the Doors to Enterprise

Reported by Hayley Green

After quarters of struggling small-cap stocks and heavy outflows, Jones and Babson are reopening theThe Babson Enterprise Fund, a small-cap value fund, to new investors for the first time in seven years.

Related Links
  • Jones and Babson
  • On MFWire.com
  • Jones & Babson Appoints New Director of Institutional Sales
  • Babson Manager Retires
  • The decision to open the stock was "based on the opportunities in small-cap investing -- we no longer think we will have a problem putting the money to work," Carter Newbold, associate portfolio manager said.

    The Enterprise Fund was originally launched in December 1983 and closed to new investment in January 1992 due to limited capacity. As of June 30, 1999 the fund had over $155 million in assets under management.

    The fund was hit hard with losses in the fourth quarter of last year and the first quarter of this year, Newbold said. In the first half of 1999 ending June 30, the fund was down 13.18% and $24 million flowed out of the fund following $15 million in outflows in 1998 and $29 million in outflows in 1999.

    The fund's performance has since picked up strongly. Since March 31 the fund is up 18.9% while the Russell 2000 is up 12% and the S&P 500 is up 6%, Newbold said.

    "We really feel good about the companies we own. If you look at their earnings growth they are up at an average of 19%," Newbold said. "In the past 90 days, five out of our 75 holdings were taken out because of acquisition activity."

    The managers are taking advantage of this acquisition activity and looking to replace them with companies with good growth valuations, Newbold said.

    He also said that the fund would consider re-closing if it reached $275 million. "Hopefully we will have larger amounts of inflows but I am not worried about drowning in money right now."

    Now the challenge will be attracting new investors. The fund is going to rely heavily on public relations, Claire Panzero, marketing communications manager said. The marketing will focus on the advisory side of the market. Babson funds will also be represented at the IAFP Conference (International Association for Financial Planning).

    Advertising decisions still have not been made, Panzero said.

     

    Stay ahead of the news ... Sign up for our email alerts now
    CLICK HERE

    3.0
     Do You Recommend This Story?



    GO TO: MFWire
    Return to Top
     News Archives
    2020: Q3Q2Q1
    2019: Q4Q3Q2Q1
    2018: Q4Q3Q2Q1
    2017: Q4Q3Q2Q1
    2016: Q4Q3Q2Q1
    2015: Q4Q3Q2Q1
    2014: Q4Q3Q2Q1
    2013: Q4Q3Q2Q1
    2012: Q4Q3Q2Q1
    2011: Q4Q3Q2Q1
    2010: Q4Q3Q2Q1
    2009: Q4Q3Q2Q1
    2008: Q4Q3Q2Q1
    2007: Q4Q3Q2Q1
    2006: Q4Q3Q2Q1
    2005: Q4Q3Q2Q1
    2004: Q4Q3Q2Q1
    2003: Q4Q3Q2Q1
    2002: Q4Q3Q2Q1
     Subscribe via RSS:
    Raw XML
    Add to My Yahoo!
    follow us in feedly




    ©All rights reserved to InvestmentWires, Inc. 1997-2020
    14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
    Privacy Policy :: Terms of Use