Practice

The SPARK Institute has created a document for 403(b) vendors and plans sponsors that outlines technological best practices related to information sharing.

Generation X millionaires give nearly twice as much to charity on average compared to older generations, according to a new survey.

In a new effort to fund health savings accounts, the Internal Revenue Service recently issued guidance on subsidizing HSAs with money from individual retirement accounts.

Japanese investors are increasingly flocking to mutual funds that pay out monthly incomes or dividends, with such funds now accounting for 55.7% of all of the nation’s assets in funds, or $303 billion, Nikkei newswire reports.

Millions of retirees who are turning 70-1/2 are forced to take money out of their tax-deferred IRAs or 401(k)s each year, or pay a stiff penalty to the government.

England's Financial Services Authority has found no evidence of a "concerted attempt by individuals" to alter share prices in Halifax Bank of Scotland (HBOS) during the raid of its shares earlier this year, according to the Mondaq Business Briefing.HBOS' shares fell by 17% in 20 minutes on March 19 after someone spread false rumors that the bank had asked the Bank of England for an emergency loan. The panic came just days after the collapse of Bear Stearns in the U.S.Many officials suspect that hedge funds may have played a large role both incidents, though regulators have not been able to pin the blame on anyone yet.After four months of investigating, the FSA found no evidence of abuse. The agency stated that it would continue to watch for rumor-mongering "at a high level of intensity," and will take action if any evidence is found.The staff of Money Management Executive ("MME") has prepared these capsule summaries based on reports published by the news sources to which they are attributed. Those news sources are not associated with MME, and have not prepared, sponsored, endorsed, or approved these summaries.

The Financial Industry Regulatory Authority (FINRA) has widened its ongoing auction rate securities (ARS) probe with a sweep letter aimed primarily at sellers, rather than lead managers, of the illiquid instruments.The six-page letter, sent last week to 40 broker-dealers, contains a laundry list of requests covering the period from June 1, 2007 through June 30, 2008. Firms must produce all documents, electronic or otherwise, indicating any arrangement with other parties, including ARS issuers and auction agents, to sell, remarket or solicit bids for the securities.“It appears that FINRA is interested in doing a thorough investigation, given the depth and breadth of the request,” said Brian Rubin, Washington, D.C.-based partner in law firm Sutherland Asbill & Brennan and former deputy chief counsel of enforcement at FINRA predecessor NASD.State regulators and the Securities and Exchange Commission have thus far pursued charges against firms -- including Citigroup, UBS Financial Services, Merrill Lynch & Co., Goldman Sachs Group and Deutsche Bank -- that have been lead underwriters as well as sellers of the securities.“Now, it appears that FINRA is looking at selling firms,” Rubin said.FINRA spokesperson Herb Perone would not comment on the letter except to say how many firms received it.Allegations against lead managers have focused on internal communications detailing problems with the auction rate securities market that were not disclosed when the products were sold.With the new sweep letter, according to Rubin, FINRA appears to be investigating whether the selling brokers obtained information from the lead managers that they failed to disclose to clients. The self-regulatory organization is also looking at basic sales practices including whether the securities were suitable investments, misrepresentations were made and advertising was fair and balanced.

The Pension Protection Act is succeeding at encouraging employers to automatically enroll and annually increase contributions for workers, Vanguard has found in an analysis of the defined contribution plans it administers.

When it comes to retirement and finances, members of Generation X and Generation Y talk the talk but they don’t walk the walk.

The Securities and Exchange Commission has opened a 60-day public comment period to see whether the U.S. should adopt international reporting standards.