Money Management Executive articles from December 2005

Money Management Executive archives from December 2005

Fidelity Budgets $100M To Hire 75 Fund Analysts.(Brief Article)
December 5, 2005... Due to a recent flood of outflows from its U.S. stock funds, Fidelity Investments is on a mission to expand its research group, and the move is forcing rivals to safeguard their best talent for fear of being cannibalized, according to the...

Economists Warn Against Hedge Funds: Too Much Risk, Too Little Transparancy, They Say.
December 5, 2005... Despite their persistent popularity and tendency for impressive returns, hedge funds aren't all they're cracked up to be and are riskier than the average investment management industry executive might think, a group of leading financial experts...

Federated Might be Spitzer's Swan Song: Expert: Joint SEC Settlement Further Validates Probe.
December 5, 2005... In what could mark a turning point in a 26-month-old scandal that has touched every corner of the money management industry, Federated Investors reached a $92 million settlement with state and Federal regulators last week over allegations that...

Money Industry Faces War for Talent'.
December 5, 2005... The investment management industry is in the midst of a "war for talent," according to the "2005 Recruiting Trends" report from executive search firm Russell Reynolds of New York. Those in greatest demand are chief financial officers and chief...

BISYS Expands Services For Hedge Funds in Ireland.(Brief Article)
December 5, 2005... BISYS has expanded its hedge fund services into Ireland, with the opening of a new office in Waterford. The company forecasts that the new office will generate more than 250 jobs over the next few years. "The decision to expand our Irish...

Two Large Pension Funds Have Put Fidelity on Watch.(Brief Article)
December 5, 2005... Two large pension funds have put Fidelity Investments on watch for a total of $433 million, Financial News reports. Citing performance issues, the $10 billion Public School Teachers' Pension and Retirement Fund of Chicago has put Fidelity...

O'Rourke Joins SEI as MD Of Dublin Support Services.(Barry O'Rourke joins SEI Investments )(Jason R Fohr, Jason D. Dills and Thomas H. Benton joins Touchstone Investments )(Nicholas Burnham joins Bear Stearns Securities )
December 5, 2005... SEI Investments has hired Barry O'Rourke as managing director of its Dublin-based fund accounting, fund administration and shareholder services business. Prior to joining SEI, O'Rourke was the director and head of alternative fund...

UBS Funds' Trustees Vote Selves Big Raises.
December 5, 2005... Expecting a raise next year? Don't be surprised if it's not quite as generous as the hefty raises awaiting the independent trustees who preside over the UBS Funds complex. The 33 UBS Funds of New York are managed by either UBS Global Asset...

Employees Must be Spurred to 401(k) Action, Hewitt Finds.
December 5, 2005... Employees must be better educated about their retirement needs, as those who do not contribute to their 401(k)s can expect to replace as little as 52% of their annual pre-retirement income when they retire, an amount that is well below the...

Mutual Fund Firms Deliver Solid Stock Market Returns.(Brief Article)
December 12, 2005... Driven by 401(k) contributions and the increasing popularity of exchange-traded funds, stock sales of major mutual fund companies have significantly outpaced those of more traditional stocks and bonds, according to a report from USA Today. ...

Pitched Debate Looms Over Pension Reform: Legislation Includes Key Provision for Retail Fund Industry.
December 12, 2005... Lawmakers in Washington this week are expected to tackle a key piece of pension reform legislation, known as the Pension Protection Act of 2005, which could significantly impact the financial services industry. Experts say that unlike...

Strong International Plays to Continue in 06.
December 12, 2005... NEW YORK - Globalization will continue to offer opportunities for investors, fund managers and American multinational corporations next year, according to a panel of money managers who offered their outlook for 2006 at a Millennium Media...

Investors Showing Strong Aversion to Risk.
December 12, 2005... The bear market and scandal have left a scar on American investors, as many seem to be following a trend of averting risk - which is understandable considering the amount of wealth that vaporized - and investing in a cluster of conservative...

Board Sets New Rules For 529 Advertisements.
December 12, 2005... Due to a new requirement for consistent presentation of performance data in broker/dealers' and municipal securities dealers' ads for 529 college savings plans, picking a college plan has just become a little bit easier. The Municipal...

NASD Retools Calculator To Become User-Friendly.(national ag safety database)(Brief Article)
December 12, 2005... The NASD has launched a streamlined version of its online tool that allows investors to instantly compare the expenses of up to three mutual funds. The brokerage industry regulator hopes the enhancements will address criticisms of the older...

Executive Moves.
December 12, 2005... AllianceBernstein Hires Decker as Vice President AllianceBernstein Investment Research and Management has hired Raymond Decker to serve as vice president of retirement marketing and product management, reporting directly to Joseph Healy,...

Investors Savvier About Taxes, But Still Need Advice.
December 12, 2005... Investors are placing greater importance on the tax implications of investing and support an extension of tax cuts. However, many are confused when it comes to tax efficiency and have unrealistic expectations about potential gains distributions...

GuideStone Preaches to Broader Audience.
December 12, 2005... Call it a smart business move with a bit of divine intervention. The financial services arm of the Southern Baptist Convention of Nashville, Tenn., has rebranded its operation, including its $8.5 billion mutual fund complex, under the...

Hedge Funds Suffer High Anxiety as Registration Nears.
December 12, 2005... As the deadline for the Security and Exchange Commission's new hedge fund registration rule quickly approaches, many firms are scrambling to determine whether it might be better to take advantage of its loopholes and skirt the costly disclosure...

NASD Fines Chase $290K: In Market-Timing Case.(National Association of Securities Dealers)(Brief Article)
December 19, 2005... The NASD last week fined Chase Investment Services $150,00 and ordered it to repay $140,262 to investors for allowing one of its hedge fund clients to market time 19 mutual funds between at least February 2002 and August 2003. "Deceptive...

ICI Guidelines Seek to Calm CCO Nerves: Provide Road Map to Implementation of Rule 38a-1.(Investment Company Institute)
December 19, 2005... The Investment Company Institute of Washington has released a paper that serves as a road map of sorts for chief compliance officers who might be wrestling with their mutual fund's annual review, which is due to fund boards this spring. ...

Offshore Opportunities Gain Sophistication: Outsourcers Now Offer Research; Experts Remain Wary.
December 19, 2005... Previously home to more rudimentary back-office functions like customer call centers and payroll services, emerging market countries like India and China are playing a greater role on the research side of the money management business. A...

America: A Society of Equity Investors.
December 19, 2005... Since the 1980's, the number of American households that owns equities has almost tripled. Today, nearly 57 million, half of all U.S. households, own stocks directly or through mutual funds. This is according to the third joint study on "Equity...

Morningstar Buys Ibbotson For $83 Million in Cash.(Brief Article)
December 19, 2005... Morningstar is buying Ibbotson Associates for $83 million in cash. Morningstar expects to get $10 million in cash tax benefits as a result of the cancellation of Ibbotson stock options, so in reality, the fund tracker is buying Ibbotson for $73...

John Hancock Shifts Funds Under Sovereign Name.(John Hancock Funds Inc.)(Brief Article)
December 19, 2005... John Hancock Funds, a unit of Manulife Financial, is transferring 29 internally managed mutual funds to its sister company, Sovereign Asset Management, the Boston Business Journal reports. The move, company officials said, recognizes the...

Executive Moves.(John G. Abunassar is promoted at Allegiant Asset Management )(Scott Snyder is promoted at ICON Advisors)(James Tracy joins Smith Barney Consulting)
December 19, 2005... Abunassar Succeeds Parker As Allegiant Chief Exec National City Corp. has announced that John G. Abunassar has been promoted from president to chief executive officer of its Allegiant Asset Management subsidiary, succeeding Ted M. Parker,...

Online Proxies Could Spur Shareholder Participation.
December 19, 2005... by Hannah Glover A recent ruling from the Securities and Exchange Commission may help lighten the mail carrier's load, save some trees and even shave a few points from the expense ratios of certain mutual funds, if it becomes law. But...

One-Word Error Could Cost Fund Advisor Nearly $1M.
December 19, 2005... What a difference a single word makes! A one-word error in the investment advisory contract between the $1 billion Highland Floating Rate Advantage Fund and Highland Capital Management of Dallas is causing a major headache for the niche...

S&P Expects Returns of 8.5% in 2006.(Standard & Poor)
December 19, 2005... Expecting the economy and corporate profits to continue to do well next year, although at a slower pace than in 2005, Standard & Poor's of New York is predicting that the S&P 500 will return 8.5% in 2006 and that the gross domestic product will...