Money Management Executive Latest News

The joke, "My 401(k) is now a 201(k)" has now fully made its rounds through both the consumer and professional circuit. However, it is no laughing matter and completely avoidable, according to Phil Rosensweig, head of equity research for Your 401K Department.

Putnam Investments has laid off roughly 1% of its 5,700 global workforce, Reuters reported Wednesday. Most of the layoffs occurred at the firm’s Boston headquarters. Only one portfolio manager, Margery Parker of the Putnam Vista mid-cap growth fund, which declined 31% last year, was among those who lost their jobs.

The deteriorated stock market and weak economy will force 2.3 million households to delay retirement, according to an Intuit survey of 500 people with an annual household income of $75,000 or more, who actively manage their investments. Last year, 1.9 million households reported a delay in their retirement plans.

Deemed IRAs can help draw more assets to a defined contribution plan and increase the likelihood that rollover assets will not migrate to a different firm, according to a new study from Financial Research Corp.

Janus Capital Group announced a seven cents-a-share increase in reported diluted earnings for 2002, resulting from an audit review but not changing revenue, income or cash flow.

Waddell & Reed will merge six Ivy Funds into the W&R Funds family, and operate all of the funds under the name Ivy. The consolidation will result in the Ivy brand managing $1.5 billion of assets through 18 funds.

Black Diamond Asset Management has launched the Black Diamond Fund family of five index-oriented, principal-protected mutual funds aimed at offering institutional asset management strategies to retail investors.

Schroders Plc. released its preliminary financial results for 2002 Tuesday, saying profits jumped as successful cost-cutting measures continue to fuel its recovery efforts amid "challenging" market conditions.

According to figures from the National Association for Variable Annuities, VAs experienced a 6.5% rise in sales last quarter over the previous quarter, but total sales for 2002, at $113.7 billion, were barely up over total sales for 2001, at $113.0 billion.

According to figures from Lipper and the Investment Company Institute, investors are generally abandoning equity funds for bond funds and are also giving growth funds the thumbs down. Even among equity funds, more staid asset classes have been faring well, according to the ICI.