Money Management Executive Latest News

Now, more than ever, automation of back-office functions at mutual fund companies is critical, according to a new whitepaper from Confluence.

Fortress Investment Group became the latest hedge fund Wednesday to tell investors it will temporarily suspend redemptions. In its case, Fortress did not say when they would be honored.

Reserve Funds announced it is returning all of the assets of six of its funds, at a $1 NAV, including the key Primary II and U.S. Government II funds.

WASHINGTON — With no end in sight for the financial crisis, the Federal Reserve Board said Tuesday it will extend three of its liquidity programs through April 30.

Besides supporting four money market funds with exposure to structured investment vehicles with $420 million in capital of its own, Legg Mason has signed a one-year renewal with a bank to support $355 million in SIV securities. As of Nov. 30, the par value of SIV exposure in the funds was $2.8 billion, down from $10 billion as of Oct. 31, 2007.

The “perfect storm” of high volatility, withdrawals and liquidity problems that has hit hedge funds will soon subside, Man Group CEO Peter Clarke told the Hedge Fund World Zurich conference, Dow Jones reports. In fact, hedge funds could turn the corner as early as the second quarter of next year, Clarke said.

Fidelity Investments announced Tuesday it is reopening two of its largest funds, Contrafund and Low-Priced Stock Fund, to new investments, effective Dec. 16.

There was a time that the highflying world of hedge fund managers appeared to stratospherically surpass that of mutual fund managers. After all, some of the top hedge fund managers have averaged annual salaries of $250 million in recent years, with $1 billion paydays not uncommon for top stars.

With the markets siphoning value from mutual funds and investors running for cover to the tune of billions of dollars in redemptions a month, Fidelity Investments is trying to hold onto customers’ assets by promoting FDIC-insured certificates of deposit.

Finance and technology stocks have put the Fidelity Magellan fund in a worse position than its benchmark, the Standard & Poor’s 500, and even the fund’s manager says he’s disappointed, Dow Jones reports.