Ten years after launching its first retail mutual fund, Ohio National Investments, the asset management division of Ohio National Life Insurance Co. of Cincinnati has chosen to close all eight of its floundering retail funds. The cause of death? Lack of fund sales, dismal performance coupled with a prolonged bear market, and the inability to achieve economies of scale across the fund group, according to a recent proxy filing with the Securities and Exchange Commission.
Ohio National will officially pull the plug on the retail funds later this fall. The board of directors approved the liquidation Aug. 28 and ordered the funds to stop selling shares two days later. Shareholders blessed the funds' liquidation at a meeting earlier this month. Shareholders must now bless the funds' liquidation at a meeting scheduled for Oct. 31.