Give Managers More Flexibility

Shareholders of mutual funds managed by Lindner Asset Management have approved a smattering of changes aimed at revising investment objectives, improving marketability and providing more flexibility to fund managers in rewarding, hiring and firing sub-advisors.

Shareholders agreed to allow Lindner's fund managers to contract with new sub-advisors of specific funds, fire sub-advisors if performance tanks and establish 'competitive advisory fees' to attract top-level managers, according to a company statement. However, such action would be subject to the approval of the funds' board of trustees, the statement said.

In addition, two funds will revise investment objectives and be renamed. The Lindner Asset Allocation Fund will adopt a strategy of 'long-term capital appreciation' and 'production of current income.' It will now be known as the Lindner Growth and Income Fund. The Lindner Utility Fund will be renamed Lindner Communications Fund and will also adopt a strategy of long-term capital appreciation.

Shareholders of the company's Large-Cap and the Small-Cap funds approved the appointment of CastleArk Management as a sub-advisor for the two products. The names of those funds have been changed to the Lindner Large-Cap Growth and Lindner Small-Cap Growth funds.

A sub-advisory agreement between Lindner and U.S. Bancorp Piper Jaffray Asset Management was also approved by shareholders of the Lindner Government Money Market Fund.

Lastly, in a separate vote, shareholders approved the liquidation of the company's Opportunities Fund, which held assets of roughly $1 million.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.