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I was surprised to find that our shares of TICFX became JTIGX in our IRAs. The change irks me because I didn't see it coming and because I don't own funds from load shops. Here's the announcement:
It's fairly unusual that a load family acquires a noload fund without grandfathering in the old investors (at least allowing them to purchase shares without a load, possibly offering them exchange privileges). But that's what seems to have happened here. You may wind up shopping for a new fund.
That said, changes like this cannot occur without notifying shareholders well in advance (and even soliciting their approval). Here are some documents you should have received:
On September 7, 2012, the Board of Trustees (the “Board”) of the Turner Funds approved the reorganization of Turner International Growth Fund (the “International Growth Fund”) into the John Hancock International Growth Equity Fund, a series of John Hancock Funds II with the same investment objectives and policies. The Board’s decision to reorganize the International Growth Fund is subject to shareholder approval. If you are a shareholder of record of the International Growth Fund as of a record date (the “Record Date”) expected to be established in October 2012, you will be eligible to vote at a Special Meeting of Shareholders. ... This Special Meeting is expected to take place during the first quarter of 2013.
On September 7, 2012, the Board of Trustees of the Turner Funds approved the reorganization of Turner International Growth Fund into the John Hancock International Growth Equity Fund, a series of John Hancock Funds II with the same investment objectives and policies. In anticipation of the reorganization, the Board has determined to close the International Growth Fund to new investors effective October 12, 2012.
Notice of Special Meeting of Shareholders Scheduled for January 2, 2013 (filed Oct 31, 2012):
A proposal to approve an Agreement and Plan of Reorganization between your fund and John Hancock International Growth Equity Fund, a series of John Hancock Funds II (the “Acquiring Fund”).
This latter document has all the terms of the acquisition, including the fact that you'll be stuck paying loads for new investments.
Thanks for all this info. To the best of my recollection, TD Ameritrade did not provide such notices although I will have to review my e-mails to confirm if I missed something. I pay pretty close attention to this stuff.
I reviewed my e-mails from TD Ameritrade. I did receive the annual report on Dec 6; hidden at the end of the manager's discussion of the year's performance is the paragraph you cited above about reorganization. Other than that, nada. I e-mailed Turner a couple of days ago and have no response. December is busy anyway and lots of funds send out stuff year-end, so I did not read the Turner annual report all the way to page 20. I might hold my (environmentalist's) nose and go back to receiving paper mailings from all my accounts.
Comments
That said, changes like this cannot occur without notifying shareholders well in advance (and even soliciting their approval). Here are some documents you should have received:
Prospectus Supplement, Sept 21, 2012: Annual Report September 30, 2012: Notice of Special Meeting of Shareholders Scheduled for January 2, 2013 (filed Oct 31, 2012): This latter document has all the terms of the acquisition, including the fact that you'll be stuck paying loads for new investments.