Gabelli announced a host of changes for its micro-cap fund, Westwood Mighty Mites, on Tuesday.

Starting July 1, only existing investors or investors purchasing through the fund's distributor or transfer agent will be able to purchase additional shares of the fund. State Street is the fund's transfer agent and Gabelli & Company the fund's distributor.

Other changes to the fund include: a two percent redemption fee on all shares held less than 60 days effective July 1, and a minimum initial investment requirement of $50,000 effective October 1, with no minimums thereafter. The minimum does not affect existing investors.

The Rye, New York-based asset manager said it imposed the fee in order to "encourag[e] shareholders to adopt a longer-term perspective." The fee will be paid into the fund.

Westwood Mighty Mites, opened in 1998, weighed in at $64 million at the end of March. For the six months ended March, inflows were $34 million, and outflows $29 million, said Bruce Alpert, Gabelli spokesman. 

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