Convergence Investment Partners has launched a new mutual fund, the Convergence Opportunities Fund, which focuses on investing in small- to mid-cap stocks.
The fund is the second mutual fund offered by Convergence Investment Partners.
The firm's other fund, the Convergence Core Plus Fund, is rated 5-Stars by Morningstar in the Large Blend category versus 1,372 funds (as of 30 September). The Overall Morningstar Rating for the fund is derived from a weighted average of the fund's three-, five- and ten-year risk-adjusted return measure, if applicable.
Driven by Convergence's quantitative approach, the Convergence Opportunities Fund mirrors the strategy, approach and process of the Core Plus Fund and seeks to generate returns for investors by identifying not only value, but also what the market is valuing. By incorporating the ability to short, the fund strives to provide additional alpha above similar long-only strategies.
"We have been managing this strategy as a separate account for some time now, and we are very excited for the launch of this mutual fund," says David W Schulz, president of Convergence Investment Partners. "In this format, we are able to open our strategy up to a much wider range of investors. I believe this fund is unique in the small- to mid-cap space, and I look forward to introducing it to the advisors and investors we work with."
The fund was launched in collaboration with Montage Investments, Convergence Investment Partner's parent company.