American Century International Discovery Closes
Small-cap-focused American Century International Discovery announces that it will close today.
American Century International Discovery Fund (TWEGX) closed its doors to new investors today. The small-cap foreign-stock fund, which filed a prospectus amendment yesterday, has attracted plenty of money in recent months. As of January 27, its net assets stood at $2.4 billion, up from just $1.6 billion at the end of November.
According to American Century, the fund closed to help managers Henrik Strabo, Mark Kopinski, and Brian Brady maintain its small-cap focus. When assets of small-cap funds grow too large, managers face some difficulties. It can be hard to put large amounts of shareholder money to work without affecting stock prices or violating SEC rules that limit funds from holding more than a certain percentage of any given company.
Bridget B. Hughes does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.