David Poppe and his team at Ruane, Cunniff & Goldfarb [profile] are partially reopening their beleaguered to flagship mutual fund to new investors. The catch is that you have to invest in the fund directly.

David Poppe Ruane, Cunniff & Goldfarb President

On Friday RCF confirmed that its giant Sequoia Fund (two-star, bronze-rated, with $5.2 billion in AUM) is now open once again to new investors who buy the fund directly via its transfer agent, DST. Yet, as Bloomberg points out, the deep value fund "remains closed to those seeking to buy through intermediaries," like financial advisors.

Per the fund's main website, its board "decided at its meeting on April 19, 2016 to reopen the new fund to new investors effective April 29, 2016."

The move comes after a rough first four months of the year for RCF and its fund. It's been plagued by much-publicized performance woes, thanks largely to a huge stake in stumbling pharmaceutical company Valeant. And longtime chief Bob Goldfarb retired at the end of March, passing the reins to Poppe. 

Edited by: Neil Anderson, Managing Editor


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