Is the Zweig Total Return Fund about to open up? According to a filing from last week, the fund's board of directors has called a special meeting of shareholders, to be held on October 27 in New York, about whether to convert the fund from a closed-ender to an open-ended mutual fund.

As required by the fund's articles of incorporation, a shareholders meeting must occur if the fund under-performs, which it has done for the last two quarters. The fund sold at a discount of more than 10% during the second and third quarters of this year. After a vote on May 5th, 2009, shareholders agreed to leave the fund as it was, paralleling the desires of the board of directors, a company representative told the MFWire.

Although a different outcome seems unlikely, the company, as per regulations, must hold another meeting this October to determine the fund's fate.

A subsidiary of Virtus Investment Partners, Zweig manages two funds, the Zweig Fund and the Zwieg Total Return Fund, both of which have remained closed-end funds since their launches in 1986 and 1988, respectively. 

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