Our Merger Fund seeks to provide attractive risk-adjusted returns in virtually all market environments while preserving investor capital and minimizing volatility based risk.
Daily NAV as of 4/13/2021
|Inception Date||Ticker||CUSIP||NAV||Change ($)||YTD Return (%)|
Investment ObjectiveThe Fund seeks to provide attractive risk-adjusted returns in virtually all market environments while preserving investor capital and minimizing volatility based risk.
Investment StrategyThe Fund typically attempts to profit from the "spread" between the purchase value and the value of a stock at the completion of a merger, takeover or other reorganization. We seek to accomplish this by investing primarily in companies involved in publicly announced mergers, takeovers, tender offers, leveraged buyouts, spin-offs, liquidations and other corporate reorganizations. Because the Fund seeks to profit from the "spread" rather the performance of the market overall or any one issuer, the Adviser believes that it has the potential to provide performance with low correlation to stock market performance.
Advantages of Investing in The Merger Fund®
- Returns have historically had low correlation (beta) with those of the stock or bond market
- Returns have historically been less volatile than equity markets as represented by our standard deviation
- Merger arbitrage strategies have historically been positively correlated with interest rates, or the cost of capital; therefore if interest rates rise, the Fund may provide a hedge to the decreased value of bonds.
|At a Glance|
|Inception Date:||January 31, 1989||August 1, 2013|
|Net Expenses(1), (2)||1.99%||1.70%|
|Total Operating Expense:(1)||2.01%||1.72%|
|Total Fund Assets as of 2/28/2021:||$3.8 B||$3.8 B|
|Total Strategy Assets as of 2/28/2021:||$4.1 B||$4.1 B|
(1)As of prospectus dated 4/29/2020.
(2)Expense ratios are as of the April 29, 2020 prospectus. The total annual operating expense ratio of the Fund’s Investor Class shares and Institutional Class shares are 2.01% and 1.72%, respectively. The Advisor has contractually agreed to waive a portion of its management fee until April 30, 2021 if the fund’s assets exceed certain thresholds, beginning at $2 billion. Net Annual Operating Expenses of the Fund’s Investor and Institutional class shares of 1.99% and 1.70%, respectively, were applicable to investors. Net annual operating expenses of the Fund’s Investor and Institutional Class shares not including Investment Related Expenses (acquired fund fees and expenses of 0.08% and short interest and dividend expenses of 0.43%), were 1.48% and 1.19%, respectively.