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

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

Rating:Not Closing Yet Not Rated 0.0 Email Routing List Email & Route  Print Print
Wednesday, July 24, 2002

Not Closing Yet

by: Tony Pennino

What a difference a couple of months makes. In May, Gabelli Asset Management had decided to close down its small cap growth fund (GABSX) starting in October. Now, the firm has reversed that decision and decided to keep the fund open to new investors, Bruce Alpert, chief operating officer with the firm, told the MutualFundWire.com.

"The market conditions in May were such that monies were moving into small cap. We felt at that time that over the summer that trend would continue. It would have been difficult for us to maintain the discipline of the fund if that trend had continued," he reported.

"However, cash flows throughout the industry have slowed considerably in the past few weeks. There is also a far greater supply of small cap companies at quality prices than there were in May," he continued.

The firm is undecided as to whether or not it will initiate new marketing or ad campaigns for the fund.

Gabelli's situation may point to an interesting development -- and, therefore, opportunity -- for some mutual fund firms. If assets in certain funds are down due to market conditions, then firms are in a position to reopen potentially popular funds that have been closed to new investments. This means players in the industry have the opportunity to push "new" products without the expense of actually having to set up new products. Investors are definitely skittish right now, but a well-known product with a strong earnings history might just entice a few back into the fold. 

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

0.0
 Do You Recommend This Story?



GO TO: MFWire
Return to Top
 News Archives
2024: Q4Q3Q2Q1
2023: Q4Q3Q2Q1
2022: Q4Q3Q2Q1
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
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. 1997-2024
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use