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Wasatch closing three funds to third party financial intermediaries
The funds will still be open via direct investments. So if one should later decide to start a position and hold them through a third party (e.g. a brokerage), one should be able to buy shares directly and then transfer the position.
I did this years ago, though I don't recall with which fund. I have also seen verbiage to the effect that a newly opened position cannot be transferred to an intermediary for six months. This Wasatch prospectus change doesn't impose any restrictions on transferring shares.
Though it is always a gamble as to whether the fund distributor will honor the terms in (or absent from) a prospectus.
@msf, thanks, you always provide practical, wise, and helpful info.
In my case, I'm trying to make all new investments in a solo 401K that has a different tax ID than my personal SS, so the process you describe might not work. They're no load / no fee at Schwab, where I have my solo 401K, so a $100 stake makes sense for me.
Thanks for heads up @TheShadow. Looking on Morningstar it says that International opportunities is limited which typically means closed. Does anyone know if this is not the case? Its a top performing intl fund
On its web page (at Wasatch) the Availability line reads: Closed to most new investors through third party intermediaries
So it ought to be the same as these three other funds - available through direct purchase but not through third parties. Except that the restriction on WAIOX is already effective.
To open a new account directly with Wasatch Funds or to purchase shares for an existing account, go online atwasatchglobal.com. For a new account, complete and electronically submit the online application.Accounts for third parties,trusts, corporations, partnerships and other entities may not be opened online and are not eligible for online transactions.
Comments
I did this years ago, though I don't recall with which fund. I have also seen verbiage to the effect that a newly opened position cannot be transferred to an intermediary for six months. This Wasatch prospectus change doesn't impose any restrictions on transferring shares.
Though it is always a gamble as to whether the fund distributor will honor the terms in (or absent from) a prospectus.
In my case, I'm trying to make all new investments in a solo 401K that has a different tax ID than my personal SS, so the process you describe might not work. They're no load / no fee at Schwab, where I have my solo 401K, so a $100 stake makes sense for me.
Closed to most new investors through third party intermediaries
So it ought to be the same as these three other funds - available through direct purchase but not through third parties. Except that the restriction on WAIOX is already effective.
The summary prospectus reads (emphasis in original):