What happens when a Mutual Fund company shuts down / gets sold off?

When a mutual fund company shuts down or is sold off, the assets of the mutual funds managed by the company are typically transferred to another mutual fund company. This process is known as a merger or acquisition.

If your mutual fund is involved in a merger or acquisition, you may experience some changes to the fund's management, fees, or investment strategy. However, the mutual fund company should provide you with information about any changes and how they may affect your investment.

In some cases, if the mutual fund company is unable to transfer the assets to another mutual fund company, the mutual fund may be liquidated, and the proceeds from the sale of the assets will be distributed to the fund's shareholders.

If you are invested in a mutual fund that is being liquidated, you will typically receive the value of your investment in the fund, minus any fees or expenses associated with the liquidation process.

It's important to note that the process of a mutual fund company shutting down or being sold off can take time, and you may not be able to access your investment during the process. However, the mutual fund company should provide you with updates and information about the status of your investment throughout the process.