Nov. 23, 2004 — Integrity Mutual Funds (IMFD) said on Tuesday that it has agreed to acquire the management rights to two IPS mutual funds that have about $70 million in assets.
Following the completion of the deal, the IPS Millennium Fund (IPSMX) and the IPS New Frontier Fund (IPSFX) would be merged into a new fund tentatively called the Integrity Millennium Fund, which would be managed by Robert Loest, who currently runs the two IPS funds.
Shedding the funds will allow IPS Advisory Inc., the IPS funds’ investment advisor, to “fully focus” on investment management, “while leaving the increasingly complex aspects of mutual fund compliance and distribution to a larger partner,” IPS president Greg D’Amico said in a statement.
The IPS Millennium Fund returned 4.1% through October this year, and lost 10.8%, on average, for the five years ended last month. The IPS New Frontier Fund gained 5.8% and lost an average annualized 19.4% during those periods. By comparison, the funds’ mid-cap growth fund peers returned 2.5%, and lost an average annualized 1.6% in those spans. Both funds are ranked 2 Stars by Standard & Poor’s.
The acquisition is expected to be completed in February, subject to shareholder and regulatory approval.
In addition to offering mutual funds, Integrity provides financial services through subsidiaries.
Contact Bob Keane with questions or comments at: [email protected].