Baron Funds Introduces Institutional Share Class

Baron Funds today announced the launch of an institutional share class for its eight mutual funds. The new share class is for accounts in the amount of $1,000,000 or more per fund. The Institutional Shares will have lower expense ratios than Baron Funds' Retail Shares.

"Baron Funds is pleased to offer Institutional Shares," said Ron Baron, Chairman, CEO and CIO of Baron Capital Group, Inc. "Over the years, we've had a strong following among financial advisors and institutional plan sponsors. They have entrusted us to help their clients achieve long-term investment goals, so we want to do all we can to support their efforts."

Institutional Shares are intended for certain financial intermediaries that offer shares of the Baron Funds through fee-based platforms, retirement platforms or other platforms. Other investors meeting the eligibility requirements for the Institutional Shares may also purchase Institutional Shares.

The Baron Funds' Retail Shares and Institutional Shares differ only in their ongoing fees and minimum account size per fund. Like the Baron Funds' Retail Shares, the Institutional Shares will be available directly from Baron as well as through the major mutual fund supermarkets, wirehouses and independent registered investment advisors.

About Baron Funds and Baron Capital Group

Baron Funds include eight mutual funds: Baron Asset Fund (Institutional Class: BARIX, Retail Class: BARAX), Baron Growth Fund (Institutional Class: BGRIX, Retail Class: BGRFX), Baron Small Cap Fund (Institutional Class: BSFIX, Retail Class: BSCFX), Baron iOpportunity Fund (Institutional Class: BIOIX, Retail Class: BIOPX), Baron Fifth Avenue Growth Fund (Institutional Class: BFTIX, Retail Class: BFTHX), Baron Partners Fund (Institutional Class: BPTIX, Retail Class: BPTRX), Baron International Growth Fund (Institutional Class: BINIX, Retail Class: BIGFX), and Baron Retirement Income Fund (Institutional Class: BRRIX, Retail Class: BRIFX). More information about Baron Funds is available by calling (800) 99-BARON or by visiting www.baronfunds.com. The advisor to Baron Funds is BAMCO, Inc., a unit of Baron Capital Group, Inc., which managed more than $12 billion as of May 31, 2009, for institutional and retail investors.