Money Management Executive Latest News

WASHINGTON - A judicious dose of investor psychology could mean a big difference in marketing retirement products.

NEW YORK - New York State's top regulator, Eliot Spitzer, took a short break from stamping out mutual fund abuses earlier this month, long enough to raise $2 million at a fundraiser as the attorney general eyes a bid for governor.

To restore industry confidence and nudge investors' interests back to the forefront, the Investment Company Institute told the SEC last Monday it supports the curtailing of soft dollars and banning of "directed brokerage." Commenting on the proposal, ICI Chairman Paul G. Haaga, Jr. said the proposed changes would "benefit fund investors by substantially diminishing potential conflicts of interest and strengthening the operating integrity of mutual funds."

Two Managers Leave AIM As Firm Reshuffles Funds

(Reprint from 12/9/02 MFMN)

Things had to get better in 2003. That was the mantra heading into the year. After all, the market was entering its third consecutive down year and still reeling from the fallout from the bubble-burst and the ongoing war on terror. Logic only had it that things had to move upwards, because they sure couldn't get worse.

If we were to stage a "Best of" show about the year's impact on job prospects, Eliot Spitzer would be a good choice to serve as our affable host. And you, as a compliance professional, would no doubt have a chance to walk up to the stage, collect your trophy, and give the New York Attorney General your personal thanks for improving your job prospects tenfold.

The mutual fund industry has seen a marked bounce-back in the last few quarters, but despite high hopes, 2003 has turned out to be another year that the annuity industry would prefer to forget. Variable annuity sales are starting to recover and fixed annuities sales finally started to decline because of poor yields, and variable life remains the runt of the litter that implacably suffers from failure to thrive.

Stale pricing has not yet become a problem in the hedge fund industry – as it has for mutual funds, but still could catch the eye of regulators as the potential for abuses exists, Dow Jones reports.

The fund scandal took a surprising turn Thursday when Alliance Capital Management, as expected, agreed to lower management fees on its funds as part of a landmark $600 million settlement that could set an alarming precedent.