Cazenove is to close the absolute UK dynamic fund, run by Paul Marriage, for the second time once it reaches £225m.
It says that while the fund is approximately £130m in size, the firm has taken the decision to agree the capacity now due to anticipated investments in the next few weeks.
A spokeswoman says: “We will be amending the limited issue on the Cazenove absolute dynamic fund from 130m shares to 225m shares. We will send the amended prospectus to the FSA this week and inform shareholders of the decision to extend the limit. The FSA does not need to approve this, they just need to be notified and the prospectus needs to be filed.”
Cazenove closed the fund which initially launched on September 7, 2009 within a week of opening as it reached capacity, attracting £123 million in subscriptions. The fund reopened in January 2011 with £60m capacity across the Cazenove Absolute UK dynamic fund and equivalent offshore hedge fund, both managed by Paul Marriage.
It reopened following a period of solid fund performance and the appointment of John Warren to the UK equity team.
Chelsea Financial Services managing director Darius McDermott says: “They have set amount of money they want to raise and I’m not surprised it is set to met capacity. It’s extremely impressive the job that the small-cap team has done on the fund. It’s sensible to inform investors to give them good notice.”