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Oppenheimer Enterprise Reopens a Changed Fund

The fund has a new skipper and has broadened beyond small-caps.

(OENAX)

Oppenheimer Enterprise reopened to new investors last Friday, but it's not the same fund that closed 14 months ago.

When the $1 billion, broker-sold fund closed to new investors in July last year, it focused primarily on small-cap stocks and Jay Tracey held the reins. Small-cap funds typically close at around $1 billion because it can be tough for a larger fund to trade nimbly in the thinly traded small-cap market without moving stock prices and reducing returns.

In June, Tracey left to become chief investment officer at

Berger Funds

and David Hyun, formerly of

Alger Management

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, took over. Like Tracey, Hyun will probably keep a healthy percentage of the fund invested in high-octane technology and biotechnology stocks, but he'll spread the fund among small-, mid- and large-cap stocks. The broader focus will make it easier for the fund to invest more money, but it has stumbled a bit this year.

Since Jan. 1 the fund, still in

Morningstar's

small-cap growth category, is down nearly 12%, which trails 98% of its peers. Its long-term record is still solid, with a 32.4% three-year annualized return that beats the S&P 500 and almost 90% of its peers.

Hyun co-managed the

(SPECX) - Get Report

Spectra fund with David Alger with solid results from December 1997 until his departure. The tech-heavy fund beat more than 80% of its large-cap growth peers in 1998 and 1999, according to Morningstar.