529 plans

J.P. Morgan Asset Management has been selected as the investment manager for New York’s $1.9 billion 529 college savings plan. After completing the extensive request for proposal process, J.P. Morgan said, negotiations will now begin on the details of the seven-year agreement.

College graduates who applied sound planning with following their passions had a much more satisfying college experience—and less debt—than those who did not, according to a study from Fidelity Investments.

Assets in 529 college savings plans have grown 56% in the past 24 months, beating industry estimates by 30%, Financial Research Corp. told the College Savings Foundation at its annual conference in San Diego yesterday.

Fidelity Investments announced Tuesday that since it introduced its Fidelity Rewards Card in 2003, which gives back 2% of purchases in cash for investment accounts, customers have earned $300 million. Customers may apply this money to 529 college savings plans, brokerage or retirement accounts.

College savings funds have slashed fees this year, Morningstar reports, making them worth another look.

Average balances in 529 college savings plans fall far short of projected higher education costs in most situations, according to Morningstar’s latest research paper and industry survey, released on Monday.

Hartford Financial Services Group Inc. has been selected to launch and manage a new advisor-sold 529 college savings program in Connecticut, the state’s treasurer announced Wednesday.

Two weeks after announcing a new 529 college savings partnership with the state of Nevada, Putnam Investments said it plans to expand sales of the program nationally.

Fidelity Investments has added a Bank Deposit Portfolio to its five direct-sold 529 college savings plans: New Hampshire’s UNIQUE College Investing Plan, California’s ScholarShare College Savings Plan, Massachusetts’ U.Fund College Investing Plan, the Delaware College Investment Plan and the Fidelity Arizona College Savings Plan.

A bill before Congress seeking to increase retirement savings among workers will unnecessarily overburden small employers, according to a new report from Aite Group.

The Tuition Plan Consortium said Monday it re-launched Independent 529 Plan as Private College 529 Plan, to foster pre-purchasing of tuition fees as present rates.

A new survey from Country Financial found that the number of Americans who think college is a good financial investment plunged to 64%, down 16 points from last year and 17 points from 2008.

The nadir of the economic downturn ravaged many American families’ college savings accounts, sending balances down almost 50%, according to Deborah Fox, founder of Fox College Funding. It frustrated investors, but it also prompted some to become more educated about the fees associated with 529 plans.

Financing a college education is a major concern for most high school seniors as they prepare for graduation, according to a study by Fidelity Investments titled "College Bound and Cost Conscious: A Survey of High School Seniors."

Putnam Investments is expanding its reach into the 529 college savings plan arena, after its 10-year partnership with Ohio Tuition Trust Authority comes to an end in October. Putnam is seeking new opportunities in the nationwide college savings marketplace, including new state partnerships and investment-only mandates, a spokesman from the firm said.

The financial crisis has made a permanent impression on American consumers, who are likely to save 6% or more of their income over the next decade, translating to as much as $800 billion stashed away each year, according to a new study by Allianz Group.

Among financial services firms well known to investors, affluent investors have the most favorable impression of Fidelity, Vanguard and American Funds. This is according to a Phoenix Marketing International survey of 850 investors age 35 to 64 with household income and investable assets, excluding workplace retirement plans, of at least $100,000 conducted this past November.

Following the financial crisis, advisers are most likely to recommend financial services companies they perceive as ethical and trustworthy, Phoenix Marketing International research shows. Conducted this past November, the Phoenix study shows that American Funds, Vanguard, John Hancock, Franklin Templeton and Fidelity command the most favorable impression among firms well known to advisers. In terms of brand recognition, advisers cited Hancock, Prudential, Vanguard and MetLife as leaders.

Sun Life Financial is announcing the new Sun Life Rising Star Awards program, through will it will provide more than $1 million in grants, scholarships and financial education to thousands of at-risk youth and the non-profit organizations that work on their behalf. The program recognizes high school students who are committed to furthering their education.

Putnam Investments announced Wednesday that its suite of target Absolute Return Funds has surpassed $1 billion in assets, less than a year after they were launched.