has launched a new GNMA Fund. The new fixed income fund is managed by Charles Schwab Investment Management and underlines a slow shift by Schwab from offering only index funds to branching into actively-managed funds that it advises itself.
Kim Daifotis, vice president and senior portfolio at Charles Schwab Investment Management, will act as portfolio manager on the fund. Daifotis is the fund manager on four additional Schwab bond funds and joined Schwab in 1997.
The new fund comes in two share classes. Investors shares have a minimum initial investment of $2,500 and Select shares require an investment of $50,000. Schwab says the higher investment minimum on the Select shares allow that class to carry a lower expense ration (55 basis points) than that on the Investor shares (74 basis points).
The subscription period on the fund ends February 28, 2003 and its first day of operations is March 3, 2003.
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