Special Program Root Tag

While the Investment Company Institute and politicians are endorsing proposed legislation to reform the mutual fund industry, critics are crying foul, saying recent revisions have gutted the bill of its integrity.

Cash from the sidelines is pouring into technology funds these days as investor fear has abated, sparking a phase of accumulation on Wall Street.

Cerulli Associates has launched a new separately managed account product that aims to provide clients with access to key industry metrics, data and analysis. The Boston-based research firm introduced Quantitative Update in late July to complement its wide range of products and services geared toward covering the managed account industry.

High-net-worth clients are in demand these days and are being targeted by some unlikely sources. Associated most with separately managed accounts and hedge funds, affluent investors are now being courted by 529 plan sponsors.

For Nuveen Investments of Chicago, it's been a long, evolutionary journey through the world of money management. That voyage has transformed the firm from a small niche municipal bond player into a broad-based, multi-disciplinary equity, fixed-income and alternative investment management force to be reckoned with. Nuveen is 80% owned by The St. Paul Companies of St. Paul, Minn.

Financial intermediaries often explain to clients that wants and needs are two different animals. But the same holds true for the intermediaries themselves, particularly separately managed account advisers.

Affluent Americans over 45 may intend to leave a legacy to their children, but 75% of them haven't made any such plans, according to a study from Charles Schwab conducted by Harris Interactive. As a result, a large percentage of the assets now projected to go to heirs may not reach them.

Eaton Vance has launched the Eaton Vance Tax-Managed Dividend Income Fund, an equity-income fund designed to take advantage of new favorable tax rates on dividend income.

MassMutual Financial has added push e-mails to its defined contribution and defined benefit services.

Bank One has hired Jeff Cusack as product and marketing head in its private client services unit.

Federated Investors has hired four investment analysts for its global equity research division. Francisco Duque, Guy Hardwick and Naimish Shah have joined the firm as senior investment analysts, while Jun Zhao comes on board as an intermediate investment analyst. All four report to Christopher Corapi, head of global equity research.

Gabelli Asset Management

As Vincent Lai has resigned as the portfolio manager of The Taiwan Fund, the fund's investment advisor, HSBC Asset Management, has appointed Alan Huang to act as the fund's lead portfolio manager. Jovi Chen will continue to serve as deputy fund manager.

NEW YORK - Despite the appearance of some hiccups, a senior annuity sales suitability model regulation will be approved in time for the fall meeting of the National Association of Insurance Commissioners (NAIC) of Kansas City, Mo.

More than three-quarters of 401(k) plan participants, or 77%, expect the U.S. stock market to improve or to at least fare at the same levels of 2002, according to a survey of 615 401(k) investors by Amvescap Retirement. Only 36% expect an uptick in the markets this year.

The Phoenix Companies said its losses widened in the second quarter, slipping to a loss of $49.5 million, or 53 cents a share. The firm lost $37.2 million, or 37 cents a share in the second quarter of last year. Included in this year’s loss is a non-cash charge of $60.4 million, relating to the firm’s investment in UK asset manager Aberdeen Asset Management.

Taking advantage of the expiration of its five-year contract with TIAA-CREF on July 30, New York State’s College Savings Program has selected Columbia Management Group, a division of Fleet Bank, and Vanguard to manage its $1.8 billion 529 plan.

Morgan Stanley will merge three of its stock funds into other funds, Reuters reports.

Weathering downturns on stock markets, reductions in participation and declines in deferral rates, employers continued establishing new 401(k) retirement plans in 2002, when the industry posted a 4% increased in total plans, according to the National Defined Contribution Council (NDCC) and the Spectrem Group.

BISYS reported net income of $33.8 million, or 28 cents a diluted share, for its fiscal fourth quarter ended June 30, and a total of $111.8 million, or 92 cents a diluted share, for its 2003 fiscal year. These earnings represented 9% and 3.5% declines, respectively, from the year-ago periods.