Van Kampen Funds is looking to fold its Senior Floating Rate Fund into its Prime Rate Income Trust and rename the combined fund, the Van Kampen Senior Loan Fund. The firm wants to merge the smaller $265 million Senior Floating Rate Fund into the $2 billion Prime Rate Income Fund to reduce operating expenses, according to a Van Kampen spokeswoman. Since both funds have similar investment strategies, it makes sense to merge the smaller portfolio, she said. "The Board anticipates that shareholders will benefit from a reduced overall operating expense ratio in the combined fund as well as increased diversification of assets," according to a filing with the Securities and Exchange Commission.