Herro’s Fund Closed to Some Investors as Assets Swell
David Herro’s Oakmark International Fund (OAKIX), which has more than doubled in size this year, will close to some new investors to preserve returns at the top-performing stock fund.
The change will immediately affect new investors at most third-party intermediaries, Chicago-based Harris Associates LP, adviser to the Oakmark Funds, said today in an e-mailed statement. Existing shareholders and participants in retirement plans will still be able to add money to their accounts.
Herro, who in 2010 was named international stock-fund manager of the decade by Morningstar Inc. (MORN), attracted $8.2 billion to his fund in the first eight months of 2013, according to data from the Chicago-based research firm. The $24.5 billion Oakmark International Fund beat 94 percent of peers this year and 96 percent over the past five years, according to data compiled by Bloomberg. The fund had about $11 billion in assets at the end of 2012, the data show.
Harris Associates manages $106 billion, including $64 billion in Oakmark Funds. Oakmark is known for its value-oriented style, which means its portfolio managers seek to buy underpriced securities.
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