Law and regulation

UMB Financial Corporation has discontinued the use of Moody's Investors Service for rating both its UMBFC and UMB Bank n.a.

Hedge funds may have to change tactics, notably by cutting their leverage, and adapt to regulations that likely will restrict their investment strategies, according to a recent report about the $2 trillion alternative asset management industry published by Standard & Poor’s.

It is remarkable that the federal appeals court judge who dissented on the Jones v. Harris Associates case made a point of saying that executive compensation needs to be reined in, The New York Times reports.

The Jones v. Harris Associates fund fee case pending before the Supreme Court could very well be found in favor of investors, and if so, that could have tremendous ramifications for the 53 million American households that own mutual funds, The Wall Street Journal reports.

Political support for the Obama administration's regulatory reform plan is faltering, leaving many to question the Treasury Department's strategy for enactment.

In order to survive this marathon recession, experts say fund companies will need lean cost management operations with the stamina to endure prolonged, stagnant growth.

The recent drop in financial markets has rekindled the demand for safer, conservative financial products like stable-value funds.

Sometimes we seek out opportunities for change. Other times change is thrust upon us. Market conditions in the past 24 months have produced seismic shifts in the mutual fund industry, and several business drivers have emerged that will shape our industry's future. As asset managers, distributors, suppliers and others evaluate their next steps, these demands will drive strategies and shape new solutions.

Despite that at 84%, the vast majority of advisers come into contact with a client with Alzheimer's disease, only 4% of the 350 advisers polled by Fidelity Investments feel they have the tools and training necessary to help those clients.

For anyone in a rush to snap up wealth management firms, or who thinks Wilmington Trust Corp. is poised for a buying spree, Ted T. Cecala says think again.

Firms attempting to prepare and strengthen their risk management systems in this rapidly changing regulatory landscape are finding it's a bit like trying to hit a moving target.

Working with elderly clients can be challenging, but by networking with the right contacts and involving clients' heirs, some advisers are developing a lucrative and self-feeding business-and fund companies that can provide them with retirement income products that rely on capital preservation rather than aggressive investments will come out the winners.

NEW YORK -- An investors' advocacy group is challenging the Obama Administration and Congress to do more for the needs of average investors.

Brokers who offer advice to investors may be held to the same fiduciary standards as investment advisers if legislation proposed by the Obama Administration is passed by Congress.

hedge funds regulation crisis sec securities and exchange commission

It could take as long as five years for asset managers around the world to recoup the $10 trillion they lost in 2008, according to a report by Cerulli, which calls the global meltdown "of near-biblical proportions."

Fidelity Investments aims to double its assets under administration in the next five years, and stepped-up sales through banks will be a major contributor, company executives said.

It won't be easy in the aftermath of a global recession, but with the right mixture of transparency and expertise, wealth managers will be able to regain their status as trusted advisers.

In the wake of Bernie Madoff's monumental, $60 billion Ponzi scheme, regulators are proposing to increase accounting safeguards by requiring mandatory surprise audit inspections of every investment adviser with custody of client assets.

DST Systems Inc. this year celebrates 40 years of providing market-leading solutions to the mutual fund industry. In recognition of this milestone, Money Management Executive asked DST's senior leadership to identify ways in which investment management companies can maximize the value they deliver to their stakeholders by leveraging the strengths and resources of their service provider.