Money Management Executive Latest News

The SEC and the NASD are likely to announce a settlement with 15 securities firms today worth a total of $20 million in settlement charges, The Wall Street Journal reports this morning.

The combined assets of exchange-traded funds (ETFs) fell just shy of $160 billion in December, topping November’s inflow of $132.7 billion and increasing nearly 50% on December 2002’s inflow of $102.1 billion, according to the most recent data from the Investment Company Institute.

The world’s top mutual fund company has found that tabbing stocks is not the only way to make big money.

The global hedge-fund industry saw record inflows of an estimated $60 billion in net assets in 2003, according to a preliminary report by Tass, the research arm of U.K.-based Tremont Capital Management.

In its annual grading of emerging markets, Calpers offered a passing grade to Malaysia, further pounding home a point that the Asian markets are on the mend.

Former Fidelity trader Thomas Connolly was sentenced to three years probation yesterday for $2.39 million worth of illegal options trades through the CBOE. Richard Callipari, who managed the options trades that Connolly handled for the nation’s No. 1 fund company, was also implicated.

While mutual fund assets have hit a record $7.4 trillion and flows have been buoyed by an improved economy, EmergingPortfolio.com tracked a slight easing of money in the first week of February in one of the strongest categories this year.

Three U.S. Senators have introduced new legislation aimed at reforming the $7.4 trillion mutual fund industry, a bill that not only would stamp out abusive trading practices but also overhaul the hidden fee structure imposed on shareholders.

Phillip Peterson, Strong Mutual Funds’ newly appointed president, said the firm’s employees need to have an easier, less intimidating way to blow the whistle on wrongdoing at Strong, a subject he will address with the company’s board, Reuters reports.

Managed account assets have eclipsed the half-trillion dollar mark, as a robust rally in stocks and strong account growth bolstered the largely fee-based business.