Money Management Executive articles from November 2005

Money Management Executive archives from November 2005

Putnam CEO: New Regs May Harm Investors.(chief executive officer)(Brief Article)
November 7, 2005... NEW YORK - New regulations may serve to harm investors by flooding them with information, Charles E. Haldeman, CEO of Putnam Investments, said here at the annual meeting of the National Association for Variable Annuities. "As a regulator,...

Janus Net Income Declines 33% in the Third Quarter.
November 7, 2005... Janus reported net income for the third quarter of 2005 of $31.7 million, a 33% decrease from net income of $47.3 million in the corresponding quarter a year earlier. However, Janus has its first quarter of net inflows, $1.7 billion, since the...

Outsourcing Shifts to Catch-as-Catch-Can: Third Parties Do More; Degree of Specialization Heightens.
November 7, 2005... AUSTIN, Texas - As the industry continues to embrace outsourcing as a means to cut costs, the models for doing so have evolved to the point where, quite frankly, no single, prevailing model any longer exists. Just 10 years ago, many medium-...

Small Fund CCOs Grapple With New Role: Many Turn to Outside Legal Counsel.(chief compliance officers )
November 7, 2005... With a full 12 months of new compliance experience under their belts, fund industry executives and chief compliance officers of small or niche fund groups have had some time to reflect on their experiences and added workload. So what's the...

Fred Alger Advertises Growth Expertise: Launches Print Advertising Campaign.
November 7, 2005... Fred Alger Management of New York has launched a print advertising campaign in business and investment publications that touts the performance of three of its flagship growth funds. The ads, slated to run through the end of the year, attribute...

SEC Might Require Fewer Hedge Funds to Register.(Securities and Exchange Commission)(Brief Article)
November 7, 2005... The Securities and Exchange Commission is considering requiring fewer hedge funds to register, the Financial Times reports. The current rule, which is to go into effect in February, will require hedge fund managers with more than $25 million in...

Plan Sponsors Could Face Wave of 401(k) Lawsuits.
November 7, 2005... As Baby Boomers retire, a wave of lawsuits could be brought against their employers for their handling of 401(k) funds, Lawyers Weekly USA reports. So far, 401(k) lawsuits have been limited to class actions against large corporations, but...

JPMorgan Unit Helps Clients Sort Out Compliance Puzzle: Pending CCO Report Currently Commands Greatest Attention.(chief compliance officers)
November 7, 2005... With a number of new Securities and Exchange Commission regulations either recently implemented or looming on the horizon, an enormous administrative burden has been placed on the mutual fund industry. As a result, a number of the...

Executive Moves.(Harry W. Lange joins Fidelity)(Janet Trombley gets promoted at Delaware Investments)(Kris Rollenhagen joins Claymore Securities )
November 7, 2005... Fidelity Names Lange Magellan Fund Skipper Robert E. Stansky, manager of the Fidelity Magellan Fund, is retiring after 22 years at the firm and nearly a decade at the helm of its largest fund, Fidelity Investments announced last week. He...

Gender, Race, Class Impact 401(k) Participation.
November 7, 2005... Saving for retirement is essential for maintaining a standard of living upon reaching old age. However, not everyone participates in their employment-based retirement plans, and according to a new report from the Employee Benefit Research...

Clarification.(Correction Notice)
November 7, 2005... In a story in the 10/31/05 edition, a paraphrase from Jonathan Bennett, senior vice president, personal lines at The Hartford Financial Services Group, may not have accurately captured the spirit of the relationship between his firm and the...

SEC Chair Cox Supports Chief Compliance Officers At Outreach Program.(Brief Article)
November 14, 2005... At the inaugural CCOutreach National Seminar, held last Monday at the Washington headquarters of the Securities and Exchange Commission, SEC Chairman Christopher Cox spoke about compliance issues faced by chief compliance officers, and the role...

Tax Reform Suggestions Raise Eyebrows: Critics: Employer Plan Participation, Annuities at Risk.
November 14, 2005... A bi-partisan committee tasked with simplifying the Federal tax code recently delivered a pair of recommendations to the U.S. Treasury Department, but if the reception they've received from the money management industry serves as any...

Fund Fees Continue to Decline, ICI Says.(Investment Company Institute)
November 14, 2005... Fees and expenses incurred by investors who buy mutual funds have been declining since 1980, and that continued into 2004, according to a new report from the Investment Company Institute of Washington. Last year, fees and expenses on equity...

John Hancock Advertises Product Range.
November 14, 2005... John Hancock Financial Services has launched a new multi-million dollar advertising campaign to bring attention to its expanded fund lineup and strong brand in the marketplace. Donna Driscoll, senior vice president of John Hancock brand...

Putnam, Fidelity Hit With Large Withdrawals.(Putnam Investments Inc.)(Fidelity Investments)(Brief Article)
November 14, 2005... Putnam Investments, one of the first companies to be embroiled in the mutual fund trading scandal, continues to pay the price for its involvement, as investors yanked another $1.8 billion from the fund complex in September, bringing its net...

State Street, BFDS, DST Publish Directors' Guide.(Boston Financial Data Services)(Brief Article)
November 14, 2005... State Street Corp., Boston Financial Data Services and DST Systems have published a guide for mutual fund directors on new regulation best practices. Called "Building Investor Confidence" and available to existing clients, it includes releases...

Morgan Stanley Repays $50 Million to Investors.(Brief Article)
November 14, 2005... Morgan Stanley has distributed $50 million in fund restitutions to investors who bought funds between Jan. 1, 2000 and Nov. 17, 2003 and were not told about incentives brokers received for selling certain funds or the higher fees they earned...

John Hancock Funds CEO Plots Growth.(Interview)
November 14, 2005... A number of ambitious plans are beginning to take shape at John Hancock Mutual Funds in Boston. The mutual fund group, which advises open- and closed-end funds, private accounts and retirement plans, and also sponsors the Freedom 529 plan, is...

Executive Moves.(Thomas Hughes)(Mark J.P. Anson)(Paul D. Kaplan)
November 14, 2005... Hughes Becomes President, COO at Clinton Group Clinton Group has recruited Thomas Hughes, the former global chief executive officer of Deutsche Asset Management, to join the firm in the newly created position of president and chief...

Industry Task Force, DST Promote Electronic Statements.(Investment Company Institute's Broker/Dealer Advisory Committee)
November 14, 2005... Judging from the stacks of files that litter our desktops, the truly paperless office remains a thing of the future. But the Investment Company Institute's Broker/Dealer Advisory Committee (BDAC) task force on paper suppression and DST Systems...

In the Heat of Indy Chair Debate, U.S. Chamber Launches Study: Sarbanes-Oxley Enforcement Drawing Down' Capital Markets.
November 14, 2005... The wrangle between the Securities and Exchange Commission and the U.S. Chamber of Commerce took an intriguing turn last week when, fast on the heels of filing an anticipated legal brief in the U.S. Court of Appeals opposing the Commission's...

JPMorgan Fund Services Adds Private Equity Unit.(Brief Article)
November 21, 2005... JPMorgan Worldwide Security Services, the fund services giant of New York-based JPMorgan Chase, has launched a new business unit that will offer a complete line of outsourced fund administration services to private equity firms and...

Indy Chair Rule Hinges on Jan. Hearing: SEC, U.S. Chamber Argue Precedent, Reliability of Cost Analysis.
November 21, 2005... The Securities and Exchange Commission and the U.S. Chamber of Commerce filed their final legal briefs last week in the U.S. Court of Appeals, shedding some light on how each camp will argue their side of the independent chairman rule when the...

MFS: Corporate America Propping up Economy: Growth, Large-Cap Stocks to Emerge Further in 2006.
November 21, 2005... NEW YORK - Don't tell James Swanson there's a recession brewing. Sure, as chief investment strategist at Boston-based MFS Investments, he's obliged to be optimistic outside the office, but Swanson says persistent rumors on Wall Street of...

Broker Settles with SEC for Market Timing: $50,000 Fine Imposed.(Securities and Exchange Commission)
November 21, 2005... The Securities and Exchange Commission has issued an order instituting administrative proceedings pursuant to a section of the Securities Exchange Act of 1934, imposing remedial actions against Kraig L. Kibble, the former director of operations...

Republicans Still Talking Social Security Reform.(Brief Article)
November 21, 2005... Although all's been quiet on the Social Security front lately, the Republican Party might be planning to push forward reform that would likely include President Bush's controversial private accounts, according to the National Post in...

NASD Fines Ameriprise $500,000 Over 529 Sales.(National Association of Securities Dealers)(Brief Article)
November 21, 2005... The NASD has fined Ameriprise Financial $500,000 for failure to properly supervise the sale of 529 college savings plans. NASD found that Ameriprise advisers failed to tell clients about the tax deductions they could have claimed by investing...

Morningstar's Profits Surge 83% in Third Quarter.(Brief Article)
November 21, 2005... Morningstar's earnings surged 83% in the third quarter to $7.5 million, up from $4.1 million a year earlier, driven by strong sales in investment advice, the company said. The company was able to benefit from the 2003 investment research...

Executive Moves.(Reserve Funds)(Wilmington Trust Co.)(FundQuest Inc.)
November 21, 2005... Reserve Recruits Ledford To Head up Investments The Reserve Funds has announced the hiring of Patrick R. Ledford as chief investment officer. Ledford's new responsibilities include overseeing investments in money market funds and enhanced...

Separately Managed Accounts Poised for New Growth: But Investors Need More Education on Tax Advantages.
November 21, 2005... Separately managed accounts are poised for new growth, regardless of the fact that only one in five investors is taking advantage of their benefits, such as tax optimization and account customization, a recent survey of financial advisers and...

Funds Give Katrina Relief in Form of Fee Waivers.
November 21, 2005... In the wake of the damage caused by this summer's Hurricane Katrina, at least two fund advisors, ING Funds and The Reserve Funds, have been providing relief to victims in the form of direct, albeit temporary, fee waivers. In obvious...

Galvin Sues MassMutual For Not Turning Over Files.(William Galvin)(Brief Article)
November 28, 2005... Massachusetts Secretary of the Commonwealth William Galvin has filed yet another lawsuit against Massachusetts Mutual Life Insurance, charging the firm with disregarding repeated demands to produce documentation having to do with wrongful...

Bears Surface With Gloomy Predictions.
November 28, 2005... Heading into the final weeks of 2005, at least three investment managers have predicted either a full-blown bear stock market ahead or are pessimistic about the economic outlook going forward. Are we heading into a roller coaster ride for...

Lighthouse Contract Lapsed for Six Years.(Lighthouse Capital Opportunity Fund )
November 28, 2005... What is being described as an "administrative oversight" has tripped up the Lighthouse Capital Opportunity Fund and caused the Securities and Exchange Commission to scrutinize an October proxy that the fund filed and to retain its advisory...

Hedge Funds Gear Up for Registration.
November 28, 2005... Since the SEC voted to require many U.S. hedge fund managers to register as investment advisors, hedge fund managers have been looking to sort out what steps they need to take to adhere to the new regulation. To help them, Lipper of New York...

Firms Need to Increase Offshore Presence: Deloitte.
November 28, 2005... The results of the Deloitte Touche Tohmatsu "2005 Global Offshoring Study" are in, and they indicate that many financial services companies are not committed enough to offshoring, and therefore do not receive the maximum return ratio that could...

Executive Moves.(CitiStreet )
November 28, 2005... CitiStreet Names Three Regional Sales Directors CitiStreet has hired three new regional sales directors to oversee sales to broker/dealers in California, the Pacific Northwest and the Southwest. Brian Montanez has been appointed new...

Maximizing Shelf Space.
November 28, 2005... By Steven Miyao Chief Executive Officer kasina Retailers know it. Successful asset management firms know it, too. The fact is that when it comes to selling products, not all shelf space is created equal. How much you sell depends heavily on...

How To Survive An SEC Examination.
November 28, 2005... By Theodore E. Eichenlaub Partner Adviser Compliance Associates During my five-year tenure as an examiner with the Securities and Exchange Commission, I heard countless comments from investment advisory personnel about how stressful it was...