MFOHome About Commentary Discussions Funds The Best Resources Support Us!

Howdy, Stranger!

It looks like you're new here. If you want to get involved, click one of these buttons!

Sign In Register

Categories

In this Discussion

Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.

    Support MFO

  • Donate through PayPal

Looks like Rivernorth / Oaktree High Income Fund Ready to Launch

mnzdedwardsmnzdedwards
edited November 2012 in Fund Discussions
Hi all. I recently searched the SEC.gov website and came across a recently filed (11-20-12) prospectus for the new Rivernorth / Oaktree High Income Fund.

The expenses for the Investor shares are 1.77% (Capped @ 1.60% through Jan 2014), while the Institutional shares are 1.52% (Capped @ 1.35%).

The fund should be launching very shortly (perhaps Dec 1st?).

Thanks David for bringing this new fund to our attention. Your great work is greatly appreciated by many, especially me.

Mike_E

http://www.sec.gov/Archives/edgar/data/1370177/000119312512477299/d442163d485bpos.htm

Comments

  • David_Snowball
    No problem, Mike. When I visited with RiverNorth in mid-November, they were in the middle of the "silent period". I got the strong impression though that the fund would be live by early December at the latest.

    I'll do a quick review via a Launch Alert in the December issue if they are indeed going to be online by Monday, December 3.

    David
  • BillieBoy
    David,

    Do you have any new news on when this fund is going to be launched? Also, will it be available at the various supermarkets? Thanks.

    Bill
  • David_Snowball
    The unofficial word is "late December."

    RNCOX seems to be available on dozens of platforms though, at least according to Morningstar, not Schwab.

    As ever,

    David
  • MarkMark
    I don't know, this is radically different from the RiverNorth Manning & Napier Dividend Income fund RNMNX how? Just seems to me that the guys at RiverNorth are applying the same hopeful CEF anomaly strategy in combination with other fund firms income strategy business (e.g. Gundlach and bonds at Doubleline, Manning & Napier and dividends, etc.). Whats really different other than where the income comes from?
  • TedTed
    Reply to @Mark: I hope these boys don't get their drinking water from Chicago River. None of the three strategies, tactical CEF strategy, high/yield, or senior loan are new. I'll look at this fund in three years
    Regards,
    Ted
  • claimui
    edited December 2012
    Reply to @Mark: Basically RiverNorth has a CEF strategy that they feel pairs well with several asset classes. These funds are designed for people who exposure to the underlying asset class plus RiverNorth's added value (and expenses -- had to mention that).

    So yes, solely in terms of RiverNorth's contribution, these funds are not that different. You get RiverNorth's core expertise (CEF investing and rebalancing) with all of these options. However some investors might want dividend paying equities and others might want high yield bonds, and so forth. So RiverNorth is just giving investors more options, and it looks like they are also doing a good job by partnering with the best in the business; i.e. if you want RiverNorth's strategy for your bond allocation, you get it with Gundlach instead of a no-name bond submanager. And there was an earlier post saying that Oaktree is a highly successful (and exclusive) manager in this space (although I am having trouble finding public evidence of the successful part).

    For something really different from RiverNorth's current offerings, look at the new RiverNorth Dynamic Buy-Write Fund: http://www.mutualfundobserver.com/2012/12/rivernorth-dynamic-buy-write-fund-rnbwx-december-2012/
  • rmt
    edited December 2012
    The RiverNorth/Oaktree fund is open for trading tomorrow (Dec 28th)
    I think this might be a way for retail to access Oaktree. The only other fund available is VCVSX
  • David_Snowball
    Reply to @rmt: Yep. Chip and I interviewed the RiverNorth folks at their offices in mid-November, in preparation for a "Launch Alert." They were constrained in what they could say, but did offer some interesting tidbits. I'll pass them along in the January issue, which I'm writing now.

    David
  • operation_twist
    how much of this is oaktree? how much will their value be to the fund? thanks.
  • rmt
    Reply to @David_Snowball: Thanks David.Looking forward to your write up. Just placed an order to buy the initial min in my Roth.Will buy more based on your writeup.
  • andrei
    Reply to @rmt: VCVSX has expense ratio 0.59%, which is about 1% below Rivernorth / Oaktree High Income Fund. Hopefully they will find a way to compensate for this difference.
Sign In or Register to comment.