Special Program Root Tag

Driven by 401(k) contributions and the increasing popularity of exchange-traded funds, stock sales of major mutual fund companies have significantly outpaced those of more traditional stocks and bonds, according to a report from USA Today.

Although their stocks have been on the outs since the tech bubble burst four years ago, a new generation of Internet company stocks is gaining popularity.

Because retirement plans have increasingly favored no-load Class A mutual fund shares, Morningstar will begin separately rating these shares today.

Yet another key person is leaving the Securities and Exchange Commission. General Counsel Giovanni Prezioso, who has served in the position since 2002, is stepping down in January, the SEC has announced. Prezioso plans to return to the private sector, although he has not yet accepted a position. He said he had wanted to leave earlier this year, but stayed due to the arrival of the SEC's new chairman, Christopher Cox, in August.

With its $100 million market-timing and late-trading settlement officially in the books, Pittsburgh-based Federated Investors is looking forward to growing through acquisitions and adding more income-oriented products that target the nation's Baby Boomers.

An Oskaloosa, Kan., mortgage broker is accusing Fidelity Investments and ADP of conspiring to defraud small business retirement plans that the companies run.

Due to a recent flood of outflows from its U.S. stock funds, Fidelity Investments is on a mission to expand its research group, and the move is forcing rivals to safeguard their best talent for fear of being cannibalized, according to the Boston Business Journal.

Despite their persistent popularity and tendency for impressive returns, hedge funds aren't all they're cracked up to be and are riskier than the average investment management industry executive might think, a group of leading financial experts claims.

In what could mark a turning point in a 26-month-old scandal that has touched every corner of the money management industry, Federated Investors reached a $92 million settlement with state and Federal regulators last week over allegations that it allowed market timing and late trading in some of its mutual funds.

The investment management industry is in the midst of a "war for talent," according to the "2005 Recruiting Trends" report from executive search firm Russell Reynolds of New York. Those in greatest demand are chief financial officers and chief operating officers at U.S. hedge funds, as well as client relations and marketing people at investment firms across the board.

BISYS has expanded its hedge fund services into Ireland, with the opening of a new office in Waterford. The company forecasts that the new office will generate more than 250 jobs over the next few years.

Two large pension funds have put Fidelity Investments on watch for a total of $433 million, Financial News reports.

SEI Investments has hired Barry O'Rourke as managing director of its Dublin-based fund accounting, fund administration and shareholder services business.

Expecting a raise next year? Don't be surprised if it's not quite as generous as the hefty raises awaiting the independent trustees who preside over the UBS Funds complex.

Employees must be better educated about their retirement needs, as those who do not contribute to their 401(k)s can expect to replace as little as 52% of their annual pre-retirement income when they retire, an amount that is well below the average retiree's income needs. That is according to a recent study by Hewitt Associates of Lincolnshire, Ill., entitled, "Total Retirement Income at Large Companies: The Real Deal."

Forty iShare ETFs were transferred from the American Stock Exchange to the New York Stock Exchange on Wednesday.

United States stocks have been suffering this year, while the Latin American market is up more then 50%, according to CNNMoney.com.

Due to a new requirement having to do with performance data in the advertisements of 529 college savings plans, picking a college plan has just become a little bit easier, according to a Dow Jones Newswire.

Janus Capital has received a buy-out offer from some of its top executives and portfolio managers and Morgan Stanley has been hired to help the company weigh the offer, according to Reuters.

Ameriprise has settled with both the Securities and Exchange Commission and the NASD, with fines totaling $57.3 million for directed-brokerage, market-timing and revenue-sharing violations.