Merger Fund VL - Merger Fd VL USD Cls I
Name
As of 11/20/2024Price
Aum/Mkt Cap
YIELD
Annualized forward dividend yield. Multiplies the most recent dividend payout amount by its frequency and divides by the previous close price.
Exp Ratio
Expense ratio is the fund’s total annual operating expenses, including management fees, distribution fees, and other expenses, expressed as a percentage of average net assets.
Watchlist
Vitals
YTD Return
2.1%
1 yr return
3.2%
3 Yr Avg Return
2.6%
5 Yr Avg Return
3.3%
Net Assets
$10.5 M
Holdings in Top 10
40.9%
52 WEEK LOW AND HIGH
$11.4
N/A
N/A
Expenses
OPERATING FEES
Expense Ratio 1.97%
SALES FEES
Front Load N/A
Deferred Load N/A
TRADING FEES
Turnover 164.00%
Redemption Fee N/A
Min Investment
Standard (Taxable)
$0
IRA
N/A
Fund Classification
Fund Type
Open End Mutual Fund
Name
As of 11/20/2024Price
Aum/Mkt Cap
YIELD
Annualized forward dividend yield. Multiplies the most recent dividend payout amount by its frequency and divides by the previous close price.
Exp Ratio
Expense ratio is the fund’s total annual operating expenses, including management fees, distribution fees, and other expenses, expressed as a percentage of average net assets.
Watchlist
MERVX - Profile
Distributions
- YTD Total Return 2.1%
- 3 Yr Annualized Total Return 2.6%
- 5 Yr Annualized Total Return 3.3%
- Capital Gain Distribution Frequency Annually
- Net Income Ratio -0.57%
- Dividend Yield 1.8%
- Dividend Distribution Frequency Annual
Fund Details
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Legal NameMerger Fund VL - Merger Fd VL USD Cls I
-
Fund Family NameVirtus Funds
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Inception DateJul 07, 2004
-
Shares OutstandingN/A
-
Share ClassOther
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CurrencyUSD
-
Domiciled CountryUS
-
ManagerRoy Behren
Fund Description
Under normal market conditions, the Fund invests at least 80% of its total assets principally in equity securities of companies which are involved in publicly announced mergers, takeovers, tender offers, leveraged buyouts, spin-offs, liquidations and other corporate reorganizations. Merger arbitrage is a highly specialized investment approach generally designed to profit from the successful completion of such transactions. Although a variety of strategies may be employed depending upon the nature of the reorganizations selected for investment, the simplest form of merger-arbitrage activity involves purchasing the shares of an announced acquisition target at a discount to their expected value upon completion of the acquisition. The size of this discount, known as the arbitrage “spread,” may represent the Fund’s potential profit on such an investment. Because Westchester Capital Management, LLC, the Fund’s investment subadviser (the “Subadviser”), typically seeks to profit from the “spread” described above upon the completion of a merger, takeover or other reorganization rather than the performance of the market overall or any one issuer, the Subadviser believes the merger-arbitrage strategy is designed to provide performance that normally has relatively low correlation with the performance of stock markets.
The Fund may employ a variety of hedging strategies to seek to protect against issuer-related risk or other risks, including selling short the securities of the company that proposes to acquire the acquisition target and/or the purchase and sale of put and call options. (To sell a security short, the Fund may borrow the security from a broker or other counterparty and sell it to a third party. The Fund is obligated to return the same number of securities it borrowed from the broker back to the broker at a later date to close out the short position, at which point in time those securities may have a value that is greater or lesser than the price at which the short sale was established.) In addition, the Fund may enter into derivative transactions and purchase or sell other instruments of any kind for similar or other hedging purposes, duration management or volatility management purposes, or otherwise to gain, or reduce, long or short exposure to one or more asset classes or issuers. For example, the Subadviser may seek to hedge the Fund’s portfolio against a decline in the values of its portfolio securities or a decline in the market generally by purchasing put options or other derivative investments.
The Fund may invest significantly in the common stock of and other interests (e.g., warrants) in special purpose acquisition companies or similar special purpose entities that pool funds to seek potential acquisition opportunities (collectively, “SPACs”). A SPAC investment typically represents an investment in a special purpose vehicle that seeks to identify and effect an acquisition of, or merger with, an operating company in a particular industry or sector. During the period when management of the SPAC seeks to identify a potential acquisition or merger target, typically most of the capital raised for that purpose (less a portion retained to cover expenses) is invested in income-producing investments. The Fund may invest in SPACs for a variety of investment purposes, including to achieve income. Some SPACs provide the opportunity for common shareholders to have some or all of their shares redeemed by the SPAC at or around the time a proposed merger or acquisition is expected to occur. The Fund may sell its investments in SPACs at any time, including before, at or after the time of a merger or acquisition.
The Fund may also invest in various types of corporate debt obligations, including defaulted securities and obligations of distressed issuers, as part of its merger-arbitrage strategy or for other investment purposes.
In pursuing the Fund’s investment objective and strategies, the Fund may invest in U.S. and foreign securities without limit and may invest in companies of any market capitalization. The Fund engages in active trading and may invest a portion of its assets to seek short-term capital appreciation.
The Fund may invest in other investment companies, including exchange-traded funds (“ETFs”), closed-end funds and open-end mutual funds, among others. To the extent that the Fund invests in shares of another investment company or ETF, the Fund bears its proportionate share of the expenses of the underlying investment company or ETF and is subject to the risks of the underlying investment company’s or ETF’s investments.
In making merger-arbitrage investments for the Fund, the Subadviser is generally guided by the following considerations:
securities are purchased only after a reorganization is announced or when one or more publicly disclosed events point toward the possibility of some type of merger or other significant corporate event within a reasonable period of time;
before an initial position is established, a preliminary analysis is made of the expected transaction to determine the probability and timing of a successful completion;
in deciding whether or to what extent to invest, the Subadviser evaluates, among other things, the credibility, strategic motivation and financial resources of the participants, and the liquidity of the securities involved in the transaction;
the risk-reward characteristics of each arbitrage position are assessed on an ongoing basis, and the Fund’s holdings may be adjusted at any time; and
the Subadviser may invest the Fund’s assets in both negotiated, or “friendly,” reorganizations and non-negotiated, or “hostile,” takeover attempts, but in either case the Subadviser’s primary considerations include the Subadviser’s assessments of the likelihood that the transaction will be successfully completed and the investment’s risk-adjusted profile.
The Subadviser may sell securities at any time, including if the Subadviser’s evaluation of the risk/reward ratio is no longer favorable. The Fund may hold a significant portion of its assets in cash, money market investments, money market funds or other similar short-term investments for defensive purposes, to preserve the Fund’s ability to capitalize quickly on new market opportunities or for other reasons, such as because the Subadviser has determined to obtain investment exposure through derivative instruments instead of direct cash investments. The Fund may also hold a significant
amount of cash or short-term investments immediately after the closing of a number of transactions in which it has invested; this could occur at any time, including at calendar quarter or year ends. During periods when the Fund is so invested, its investment returns may be lower than if it were not so invested, and the Fund may not achieve its investment objective.
MERVX - Performance
Return Ranking - Trailing
| Period | MERVX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| YTD | 2.1% | 3.4% | 3.4% | 100.00% |
| 1 Yr | 3.2% | -15.6% | 12.6% | 20.00% |
| 3 Yr | 2.6%* | 6.8% | 6.8% | 100.00% |
| 5 Yr | 3.3%* | 5.4% | 5.4% | 100.00% |
| 10 Yr | 3.3%* | 3.2% | 3.2% | 100.00% |
* Annualized
Return Ranking - Calendar
| Period | MERVX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| 2023 | -4.5% | -15.5% | 7.1% | 20.00% |
| 2022 | -0.7% | -0.1% | 1.2% | 60.00% |
| 2021 | -3.6% | 5.2% | 5.2% | 100.00% |
| 2020 | 7.1% | 2.6% | 2.6% | 100.00% |
| 2019 | 0.4% | 0.6% | 0.6% | 100.00% |
Total Return Ranking - Trailing
| Period | MERVX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| YTD | 2.1% | 3.4% | 3.4% | 100.00% |
| 1 Yr | 3.2% | -19.8% | 12.6% | 20.00% |
| 3 Yr | 2.6%* | 6.8% | 6.8% | 100.00% |
| 5 Yr | 3.3%* | 5.4% | 5.4% | 100.00% |
| 10 Yr | 3.3%* | 3.2% | 3.2% | 100.00% |
* Annualized
Total Return Ranking - Calendar
| Period | MERVX Return | Category Return Low | Category Return High | Rank in Category (%) |
|---|---|---|---|---|
| 2023 | 4.3% | -15.5% | 7.1% | 20.00% |
| 2022 | 0.9% | -0.1% | 1.2% | 60.00% |
| 2021 | 1.1% | 7.1% | 7.1% | 100.00% |
| 2020 | 7.4% | 2.6% | 2.6% | 100.00% |
| 2019 | 6.2% | 2.4% | 2.4% | 100.00% |
NAV & Total Return History
MERVX - Holdings
Concentration Analysis
| MERVX | Category Low | Category High | MERVX % Rank | |
|---|---|---|---|---|
| Net Assets | 10.5 M | 105 K | 52.6 M | 20.00% |
| Number of Holdings | 508 | 5 | 278 | 20.00% |
| Net Assets in Top 10 | 13.7 M | 1.97 M | 12.8 M | 20.00% |
| Weighting of Top 10 | 40.95% | 48.8% | 48.8% | 100.00% |
Top 10 Holdings
- Hess Corp 8.53%
- Goldman Sachs Financial Square Funds - Treasury Instruments Fund 7.31%
- Endeavor Group Holdings Inc 4.69%
- Westrock Co 4.19%
- United States Steel Corp 3.24%
- Amedisys Inc 3.05%
- Axonics Inc 2.63%
- Altaba Inc Escrow 2.62%
- Equitrans Midstream Corp 2.44%
- Southwestern Energy Co 2.23%
Asset Allocation
| Weighting | Return Low | Return High | MERVX % Rank | |
|---|---|---|---|---|
| Stocks | 70.69% | -1.39% | 325.56% | 60.00% |
| Cash | 19.04% | -225.56% | 102.75% | 60.00% |
| Bonds | 10.12% | 0.00% | 7.62% | 20.00% |
| Other | 0.16% | -9.69% | 0.00% | 100.00% |
| Preferred Stocks | 0.00% | 0.00% | 0.10% | 20.00% |
| Convertible Bonds | 0.00% | 0.00% | 0.23% | 20.00% |
Stock Sector Breakdown
| Weighting | Return Low | Return High | MERVX % Rank | |
|---|---|---|---|---|
| Financial Services | 38.93% | 38.76% | 38.76% | 100.00% |
| Technology | 23.38% | 22.50% | 22.50% | 100.00% |
| Communication Services | 14.33% | 6.88% | 6.88% | 100.00% |
| Healthcare | 9.76% | 11.12% | 11.12% | 100.00% |
| Industrials | 4.61% | 8.98% | 8.98% | 100.00% |
| Real Estate | 3.47% | 0.08% | 0.08% | 100.00% |
| Consumer Cyclical | 3.15% | 8.23% | 8.23% | 100.00% |
| Consumer Defense | 1.02% | 0.20% | 0.20% | 100.00% |
| Basic Materials | 0.93% | 0.41% | 0.41% | 100.00% |
| Energy | 0.42% | 2.85% | 2.85% | 100.00% |
| Utilities | 0.00% | 0.00% | 0.00% | 100.00% |
Stock Geographic Breakdown
| Weighting | Return Low | Return High | MERVX % Rank | |
|---|---|---|---|---|
| US | 70.69% | -1.39% | 325.56% | 60.00% |
| Non US | 0.00% | 0.00% | 8.67% | 20.00% |
Bond Sector Breakdown
| Weighting | Return Low | Return High | MERVX % Rank | |
|---|---|---|---|---|
| Corporate | 15.94% | 0.00% | 100.00% | 60.00% |
| Cash & Equivalents | 9.05% | 0.00% | 100.00% | 60.00% |
| Derivative | 0.16% | 0.00% | 27.89% | 20.00% |
| Securitized | 0.00% | 0.00% | 0.00% | 20.00% |
| Municipal | 0.00% | 0.00% | 0.00% | 20.00% |
| Government | 0.00% | 0.00% | 0.00% | 20.00% |
Bond Geographic Breakdown
| Weighting | Return Low | Return High | MERVX % Rank | |
|---|---|---|---|---|
| US | 10.12% | 0.00% | 7.36% | 20.00% |
| Non US | 0.00% | 0.00% | 0.26% | 20.00% |
MERVX - Expenses
Operational Fees
| MERVX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Expense Ratio | 1.97% | 1.91% | 9.52% | 100.00% |
| Management Fee | 1.25% | 1.20% | 1.25% | 100.00% |
| 12b-1 Fee | N/A | 0.00% | 0.25% | N/A |
| Administrative Fee | 0.10% | N/A | N/A | N/A |
Sales Fees
| MERVX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Front Load | N/A | 5.75% | 5.75% | N/A |
| Deferred Load | N/A | N/A | N/A | N/A |
Trading Fees
| MERVX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Max Redemption Fee | N/A | N/A | N/A | N/A |
Related Fees
Turnover provides investors a proxy for the trading fees incurred by mutual fund managers who frequently adjust position allocations. Higher turnover means higher trading fees.
| MERVX Fees (% of AUM) | Category Return Low | Category Return High | Rank in Category (%) | |
|---|---|---|---|---|
| Turnover | 164.00% | 189.00% | 189.00% | 100.00% |
MERVX - Distributions
Dividend Yield Analysis
| MERVX | Category Low | Category High | MERVX % Rank | |
|---|---|---|---|---|
| Dividend Yield | 1.84% | 0.00% | 0.00% | 20.00% |
Dividend Distribution Analysis
| MERVX | Category Low | Category High | Category Mod | |
|---|---|---|---|---|
| Dividend Distribution Frequency | Annual | Annually | Annually | Annually |
Net Income Ratio Analysis
| MERVX | Category Low | Category High | MERVX % Rank | |
|---|---|---|---|---|
| Net Income Ratio | -0.57% | -0.19% | 2.00% | 100.00% |
Capital Gain Distribution Analysis
| MERVX | Category Low | Category High | Capital Mode | |
|---|---|---|---|---|
| Capital Gain Distribution Frequency | Annually | Annually | Annually | Annually |
Distributions History
| Date | Amount | Type |
|---|---|---|
| Dec 07, 2023 | $0.209 | OrdinaryDividend |
| Dec 07, 2023 | $0.759 | CapitalGainShortTerm |
| Dec 07, 2023 | $0.058 | CapitalGainLongTerm |
| Dec 07, 2022 | $0.183 | OrdinaryDividend |
| Dec 29, 2021 | $0.443 | CapitalGainShortTerm |
| Dec 29, 2021 | $0.129 | CapitalGainLongTerm |
| Dec 29, 2020 | $0.031 | CapitalGainLongTerm |
| Dec 27, 2019 | $0.122 | OrdinaryDividend |
| Dec 27, 2019 | $0.340 | CapitalGainShortTerm |
| Dec 27, 2019 | $0.199 | CapitalGainLongTerm |
| Dec 28, 2018 | $0.127 | CapitalGainShortTerm |
| Dec 28, 2018 | $0.079 | OrdinaryDividend |
| Dec 29, 2016 | $0.095 | CapitalGainShortTerm |
| Dec 29, 2016 | $0.024 | CapitalGainLongTerm |
| Dec 29, 2016 | $0.077 | OrdinaryDividend |
| Dec 28, 2015 | $0.023 | CapitalGainShortTerm |
| Dec 28, 2015 | $0.049 | CapitalGainLongTerm |
| Dec 28, 2015 | $0.230 | OrdinaryDividend |
| Dec 30, 2014 | $0.057 | CapitalGainShortTerm |
| Dec 30, 2014 | $0.143 | OrdinaryDividend |
| Dec 27, 2013 | $0.029 | OrdinaryDividend |
| Dec 28, 2012 | $0.163 | CapitalGainShortTerm |
| Dec 29, 2011 | $0.686 | OrdinaryDividend |
| Dec 29, 2010 | $0.226 | CapitalGainShortTerm |
| Dec 29, 2009 | $0.348 | OrdinaryDividend |
| Dec 29, 2009 | $0.008 | CapitalGainLongTerm |
| Dec 30, 2008 | $0.035 | CapitalGainShortTerm |
| Dec 30, 2008 | $0.418 | CapitalGainLongTerm |
| Dec 28, 2007 | $1.785 | CapitalGainShortTerm |
| Dec 28, 2007 | $0.048 | CapitalGainLongTerm |
| Dec 28, 2006 | $1.210 | CapitalGainShortTerm |
| Dec 28, 2006 | $0.004 | CapitalGainLongTerm |
| Dec 29, 2005 | $0.120 | CapitalGainShortTerm |
MERVX - Fund Manager Analysis
Managers
Roy Behren
Start Date
Tenure
Tenure Rank
Jan 31, 2007
15.34
15.3%
Mr. Roy Behren serves as Managing Partner, Member of Investment Committee, Managing Member and Portfolio Manager at Westchester Capital Funds. He was also their Chief Compliance Officer from September 2002 through June 2010. After earning a B.S. in Economics at The Wharton School, he received a J.D. degree from the University of Miami Law School and an LL.M. degree in corporate law from the New York University School of Law. In 1987, he joined the U.S. Securities and Exchange Commission's New York Regional Office, where he worked as an enforcement attorney for seven years prior to starting his investment career at WCM. From 2004 through 2006, Roy served as a member of Redback Networks' Board of Directors and its Audit Committee.
Michael Shannon
Start Date
Tenure
Tenure Rank
Jan 31, 2007
15.34
15.3%
Mr. Shannon has served as Co-President of Westchester Capital Management, LLC since 2011 and also serves as Co-President and a Trustee of the Fund. Mr. Shannon served as Westchester’s Director of Research from May 1996 until April 2005. From April 2005 to April 2006, Mr. Shannon was Senior Vice President in charge of the Special Situations and Mergers Group of D.E. Shaw & Co. Mr. Shannon returned to Westchester in May 2006 as a research analyst and portfolio strategist and has served as a portfolio manager for the Fund since January 2007. He worked for two major Canadian technology firms for three years before joining Burns Fry Ltd in 1986 as a research analyst. Mr. Shannon is also a Director of GBC Asset Management Inc. Mr. Shannon is a Partner of Pembroke where he is also a Portfolio Manager. He graduated from McGill University in 1980 in Electrical Engineering and from the Richard Ivey School of Business at The University of Western Ontario in 1983 with a Masters in Business Administration degree. He received his Chartered Financial Analyst designation in 1990.
Tenure Analysis
| Category Low | Category High | Category Average | Category Mode |
|---|---|---|---|
| 14.17 | 14.17 | 14.17 | 14.17 |