Money Management Executive Latest News

The pace of hedge fund liquidations is sharply dropping, with only 3%, or 292 funds, shutting its doors in the second quarter, according to Hedge Fund Research. By comparison, 22%, or 376 funds, liquidated in the first quarter. Throughout 2008, 1,471 funds, or 19% of the hedge fund universe, shut down.

Fewer parents are optimistic they will be able to afford their children’s college education, with only 12% saying they are “very confident” they will reach their savings goals, down from 20% last year, according to the College Savings Foundation.

The Securities and Exchange Commission has formed a new unit, the Division of Risk, Strategy and Financial Innovation, with University of Texas School of Law Professor Henry T.C. Hu in charge as director.

Invesco’s PowerShares subsidiary has filed to offer an exchange-traded fund that will primarily invest in the Build America Bonds being issued as part of the stimulus plan.

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.

Putnam Investments has launched a suite of nine international sector funds that will invest in stocks in the MSCI World Index. The nine funds are: the Putnam Global Consumer Fund, Putnam Global Natural Resources Fund, Putnam Global Energy Fund, Putnam Global Technology Fund, Putnam Global Financials Fund, Putnam Global Utilities Fund, Putnam Global Health Care Fund, Putnam Global Telecommunications Fund and Putnam Global Industrials Fund.

Open-end mutual funds have pulled in more than $226 billion through August, bringing them close to making up for ground lost in the second half of 2008, Morningstar said in a report.