Legg Mason Asset Management is seeking investor permission to merge away its $90.3m (£59.7m) ClearBridge US Fundamental Value fund following outflows.
The Dublin-domiciled Legg Mason ClearBridge US Fundamental Value fund, managed by John Goode and Peter Hable, will be merged into the $32.1m Legg Mason ClearBridge Tactical Dividend Income fund, managed by Mark McAllister and Peter Vanderlee.
Legg Mason has written to unitholders in the fund to obtain permission for the merger, scheduling a vote on the matter in February.
While both funds invest primarily in US equities, the Tactical Dividend Income fund has a very different remit from the US Fundamental Value fund.
As well as its mandate to deliver income for investors, the Tactical Dividend Income fund also has much greater exposure to the mid and small cap part of the US market than the US Fundamental Value fund.
Legg Mason has also written to investors to seek permission for changes to two of its bond funds.
The firm has proposed changing the name and investment strategy on its $29m Legg Mason Western Asset Diversified Strategic Income fund.
The fund will be renamed the Legg Mason Western Asset Short Duration High Income Bond fund and will change its remit to focus on short duration high yield bonds.
Meanwhile, Legg Mason is hoping to tweak the strategy on its $160m Western Asset Emerging Markets Bond to give manager Kevin Gardner more flexibility in what he can invest in, both in terms of bond issuers and currencies.