The Arbitrage Fund, which plays by the mergers and acquisitions risk arbitrage strategy, will close its doors to new investors beginning Jan. 30. And as of Feb. 27, its sister fund will also close.

Walter Island Capital of New York, which advises the funds, said that those people who have already invested in the funds will be allowed to stay on, but that the decision to close now will help keep returns up. Currently, the fund manages $270 million in assets.

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