Practice

Standard & Poor's said the potential bill to U.S. taxpayers for bailing out Wall Street firms could grow to $400 billion. If Fannie Mae and Freddie Mac are included, the bill could soar by an additional $1.4 trillion, for a total of $1.8 trillion, causing the U.S. government to loose its AAA rating and plunging the country into a deep and prolonged recession.

Mutual fund managers invested in securities with any type of credit exposure will want to know that sister publication Asset Securitization Report has learned that another major wave of $2.8 billion-to perhaps as high as $8 billion-in collateralized debt obligation (CDO) liquidations is set to hit the market.

The Financial Industry Regulatory Authority (FINRA), the Securities and Exchange Commission and New York Attorney General Andrew Cuomo are looking into possible irregularities in auction rate securities (ARS).

Standard & Poor’s said the potential bill to U.S. taxpayers for bailing out Wall Street firms could grow to $400 billion, reports The Washington Times.

Russell Investments has launched “LifePoints Funds, Target Distribution Strategies,” a series of multi-manager funds designed specifically for the “decumulation” phase.

Samuel Israel III, the former Stamford, Conn., Bayou hedge fund manager who authorities found to have cheated investors out of $400 million, was sentenced to 20 years in prison by a federal judge, the Associated Press reported Monday.

Gen Xers are stressed out about the prospect of retirement, with only 31% of them believing they will be able to retire from the workforce.

Mike Henkel, the former president of Ibbotson Associates, has joined Envestnet as managing director of the firm’s new retirement services group.

Hedge Fund Managers Have Rough Month

NEW YORK - Equity mutual funds were hit with "drastic declines" across-the-board in just about every sector and style in the first quarter of 2008.