Portfolio

Labor Department Backs Off Proposed Retirement Advice Rule

LAKE BUENA VISTA, Florida - Mutual fund boards are grappling with their increasingly expanding roles as risk overseers, management coaches and shareholder advocates as the Securities and Exchange Commission continues to add new rules and raise its expectations, including the creation last week of the Division of Risk, Strategy and Financial Innovation.

Given the number of tactical and absolute-return mutual funds hitting the market, it appears that some fund complexes are now giving their portfolio managers more leeway. The 17 individual traders who run ProfitScore Capital Management's multi-manager long/short unified hedge account accomplish this by actively trading mutual funds within their individual specialty. They primarily buy funds from Rydex, ProFunds and Direxion, including funds that permit intraday trades. Money Management Executive recently spoke with John McClure, CEO of ProfitScore, about this unusual approach.

LAKE BUENA VISTA, Florida - With the one-year anniversary of the collapse of Lehman Brothers finally in the rearview mirror and the economy on the way to recovery, many participants in the financial services industry are questioning whether the industry still needs to undergo substantial regulatory change, and what changes, if any, could be beneficial at this point.

As expected the Department of the Treasury allows the insurance program backing money market funds to expire on Friday.

TD Ameritrade Institutional, a unit of TD Ameritrade Holding Corp., announced has introduced a Business Evaluator tool to help advisers join or start a registered investment advisory firm.

Long-term equity and bond funds took in $7.25 billion in the week ended Sept. 9, marking the 26th straight week of inflows, now totaling $266 billion, the Investment Company Institute said.

Institutional investors remain optimistic about the global economic outlook, but they don’t expect growth to match historical averages, Merrill Lynch found in a survey of 423 fund managers overseeing a total of more than $1 trillion in assets.

Investors pulled $2.1 billion out of leveraged and inverse exchange-traded funds, the second month they have redeemed money from the controversial funds.

A groom who works in the financial services industry has launched a wedding registry website, weddingfutures.com, where couples can sign up to receive gifts of mutual funds and stocks through their bank or brokerage firm. The website charges 5% for every purchase.