Why is fund closed to new investors?

I was looking at opening an IRA with Fidelity and one stock that caught my eye was FDIVX. However, according to the information page for the stock it is closed to new investors:

formatting link
Does this mean only when investing through Fidelity or all investors period?

Why would a fund be closed to new investors?

Reply to
SSim
Loading thread data ...

Normally, a closed fund is closed to new investors, but if you already own shares, you can often buy more.

A fund closes because the manager thinks that he or she cannot do as well with more money. The theory is that a small fund can find opportunities to beat the market, whereas a large fund gets so big that it essentially becomes an index fund.

-john-

Reply to
John A. Weeks III

It can't find anything to buy and ends up with so much money in cash that it can't keep up its present growth percentage with cd's or t bills

======================================= MODERATOR'S COMMENT: Please trim the post to which you are responding. "Trim" means that except for a FEW lines to add context, the previous post is deleted.

Reply to
W. Wells

BeanSmart website is not affiliated with any of the manufacturers or service providers discussed here. All logos and trade names are the property of their respective owners.