Special Program Root Tag

WASHINGTON – House Financial Services Committee Chairman Barney Frank is preparing a $35 billion housing package that would expand the government's role in combating the sub-prime mortgage crisis.

Citigroup Inc. has named Brian Leach as its new chief risk officer.

Mortgage giant Fannie Mae has posted a $3.55 billion loss for the last quarter of 2007, blaming rising home loan defaults.

The wealth management unit of Citigroup Inc. has agreed to buy Legg Mason Inc.’s managed account trading and technology operations.

Standard & Poor’s released ratings action on five of the bond insurers Monday, downgrading Financial Guaranty Insurance Co. to A, from AA, and maintaining a credit watch with developing implications, while downgrading XL Capital Assurance Inc. to A-minus, from AAA, and keeping it on negative watch.

Oppenheimer & Co. has been ordered to pay $250,000 for failing to supervise the improper market timing of mutual fund shares from January through September 2003, according to FINRA. The firm has also been ordered to pay $4.25 million in restitution to more than 60 mutual fund companies.

The Hartford Financial Services Group Inc. announced it is promoting Lizabeth Zlatkus to executive vice president and chief financial officer and John Walters to president and chief operating officer of Hartford’s life operations.

Hall Capital Names Boneparth as President

The vast majority of retirees opt against voluntarily annuitizing retirement savings. So, insurers need to better educate consumers about immediate annuity benefits.

MIAMI-As the burden of responsibility for retirement planning continues to shift toward the individual, investors should be cautious about "fast analysis" investment advice, a top financial executive told attendees at the NICSA conference here last Tuesday.

U.S. money manager Legg Mason denied market rumors this week that one of its money market funds had fallen to below $1 in net asset value, commonly known as "breaking the buck."

Hedge funds are increasingly trying to attract assets from institutional investors, and in their quest to do so more funds are implementing 130/30 strategies, traditionally a long-only product, according to Investment Dealers' Digest, IMW's sister publication.

Some people have compared playing the stock market to horseracing, which would suggest that being a winner calls for either praying hard and often or studying the stock tables closely. Marek Fludzinski, founder and CEO of Thales Fund Management, said a better idea is to study physics.

MIAMI - Asset managers have been looking to complex trading strategies such as 130/30 funds to create additional alpha, but experts stress that investors should be careful to fully understand these products, and use them carefully.

Some of the municipal bond market's biggest insurers are making significant changes in leadership and structure in efforts to address their current problems stemming from exposure to subprime mortgage-backed securities.

Franklin Resources of San Mateo, Calif., has agreed to acquire a 49% majority stake in Vietcombank Fund Management, the Hanoi, Vietnam-based private equity investment division of Vietcombank. Franklin, parent of Franklin Templeton, currently manages more than $605 billion.

MIAMI-Gary Palmer, chief executive of the Irish Funds Association, led a panel discussion at the National Investment Company Services Association's 26th Annual Conference & Expo here earlier this week, questioning the viability of small asset managers.

The Board of Directors of The Vanguard Group has elected F. William McNabb III as its new president and director, effective March 1.

The Supreme Court has ruled that participants in 401(k) retirement plans can sue their providers for losses if their instructions are ignored or their account is mismanaged.

The U.S. economy is like a zebra that has stumbled into a spot of quicksand. The more it struggles, the faster it will sink, but if the zebra can be patient, help may come along sooner than it knows.