Money Management Executive Latest News

The national office of the AFL-CIO has persuaded Waddell & Reed to join Edward Jones in withdrawing from a lobby group that supports President Bush's proposal to reform Social Security through private accounts, and now the organized labor giant has set its sights on Charles Schwab.

Janus Capital Group has shut down its Bay Isle Financial office in Oakland, Calif., and cut nearly its entire institutional money management team, including co-founder and Chief Executive Officer Bill Schaff, leaving the future of the subsidiary hanging in the balance.

To hear former Bank of America broker Theodore C. Sihpol III's account of what led to his arrest in September 2003 on charges of fraud, an event that set the entire mutual fund scandal in motion, he was an unwitting, bit player among more crafty financial managers who worked a late-trading conspiracy within a gray area of what the industry considers legally and ethically acceptable.

Victor Ugolyn, 57, the former chairman, president and CEO of Enterprise Capital Management of Atlanta, the adviser to the Enterprise Group of Funds, the proprietary fund family of insurance company Mutual of New York Group (MONY), has a brand new gig these days.

Bank of America Corp. will outsource back-office operations for $224 billion of assets to Boston-based State Street Corp. and Boston Financial Data Services, a joint venture of State Street and DST Systems.

AIG-Huatai Fund Management, a Shanghai-based joint venture between AIG Global Investment and Huatai Securities, began selling its first mutual fund in China last Monday. The company hopes to capitalize on the long-term investment potential of China's capital market and will launch more fund products for Chinese investors in the next couple of years. Investors in AIG-Huatai's equity fund are likely to have greater investment choices as more companies are expected to be listed domestically this year.

Lipper, a leading provider of mutual fund information and a wholly owned subsidiary of Reuters, announced last Tuesday that it has purchased the rights to acquire Hedgeworld and the TASS Research database. The company did not disclose the purchase price.

Fidelity slid in net new inflows rankings for January, according to Financial Research Corp. Fidelity's net new client investments in its stock and bond mutual funds fell from fourth place to seventh place in January, or a 77% decline to $1.24 billion from the $5.3 billion it received in January 2004.

Putnam Shakes Up Team On Voyager, Growth Funds

Top 20 fund wholesaler Dreyfus Corp. is putting the finishing touches on its first new national television advertising campaign in six years.