Firsthand Funds of San Jose, Calif. plans to close its Firsthand Technology Innovators Fund when the fund reaches $450 million, the company has announced. The fund currently has $370 million in assets.
The fund's objective is long-term growth of capital through investments in small- to medium-sized companies that are developing technology for developing new products, the company said.
Firsthand wants to close the fund to new investors when it reaches $450 million in assets because having a large fund makes it difficult to invest in the small companies in which the fund would most like to invest, said Kevin Landis, the fund's portfolio manager.
"The next great technology innovation can come from a tiny company," said Landis. "It's difficult for a large fund to take a position in such a company and benefit significantly from the opportunity."