Mutual funds

WELLESLEY, Mass.—Mutual fund wholesaling isn’t what it used to be. Today, highly sophisticated gatekeepers at broker/dealers go by the name of “Fund Selection Units,” where they hold mutual funds up to a whole new set of demanding criteria akin to the rigors that pension plans put investments choices through.

In light of the crisis of confidence in rating agencies following the subprime crisis, the Securities and Exchange Commission will diminish the importance of money market fund managers’ reliance on such agencies when investing in short-term debt.

Security Global Investors (SGI) has announced it is intensifying its efforts to raise capital for global equity expansion.Out of the $9 billion in assets that SGI currently manages, $1 billion is in global equity investment strategies.The current global equity team within SGI manages two programs, the Global Long Only and the Global Long/Short Long Biased, and is planning on launching the Global Market Neutral strategy later this year.The success of the long/short program has drawn the attention of hedge fund investors throughout the industry. John Boich leads the GLS with 17 years of successful global equity portfolio management experience.In addition to the promotion of new global programs, SGI hired Sanjay Yodh, an industry veteran who previously worked at JPMorgan and Deutsche Asset Management, to focus on the global equity investment expansion of SGI.

Financial service group PPM America recently announced its promotion of Jim Young to chief investment officer.As CIO, Young will oversee all portfolio management, all public and fixed income functions, and will head the credit research group and structured finance teams. In addition, Young will continue to carry out his existing responsibilities as chairman of the firm’s credit approval committee.“The company’s management team relies on constant collaboration and an open exchange of ideas in order to achieve our mission, which is to be indispensable to our clients," said PPMA’s President and CEO Leandra Kres. "Jim has been an integral member of the team for 11 years, and I am confident that his expanded responsibilities will allow him to have an even greater impact on the success of the organization going forward.”Kres previously held the CIO position in addition to her executive responsibilities.PPMA manages approximately $78 billion in assets of mutual funds, unit trusts, and insurance companies. It is a subsidiary of Prudential plc, a company integrated in the United Kingdom.

Backed by the Omidyar Network's recent $10 million contribution, Latin America's first social venture capital fund, IGNIA Fund I has now raised $20.6 million in capital commitments. This first close is only the beginning for the Monterrey, Mexico-based fund, which hopes to raise $50 to $75 million in total."This is a unique group of investors because of their commitment to pioneer solutions to poverty through high growth, profitable and scalable businesses that simultaneously generate wealth for the poor and provide attractive returns to its investors," said lvaro Rodrguez Arregui, IGNIA co-founder and managing partner.Specifically, IGNIA attempts to locate and then aid various Latin American entrepreneurial businesses that seek to positively impact low-income families and or individuals suffering from the effects of poverty. Industries of particular interest for the socially aware fund are health care, housing, and education."The IGNIA Fund hits an Omidyar Network sweet spot: creating economic opportunity by leveraging the energy and creativity of entrepreneurial ventures," said Jim Bunch, director of investments at Omidyar Network. "We expect IGNIA to provide a compelling demonstration effect of the power of entrepreneurship, and we are pleased to join the fund at the start of what we expect to be an exciting and productive journey."

Charles Schwab Trust Co. is planning indexed target-date collective trust funds, the Schwab Indexed Retirement Trust Funds with target dates spanning 2010-2050, for retirement plans.

"There is always a clue."

The demands on investment management companies to deliver timely information have never been more stringent than they are today. Regulators from various countries are imposing greater controls and more frequent compliance checks. Asset managers demand more flexible reporting to better meet the needs of their customers.

The family of deceased Circle T Partners hedge fund manager and frequent CNBC guest Seth Tobias is said to be near a settlement regarding his $25 million estate. Since 44-year-old Tobias's mysterious death last September, his family and his wife, Filomena Tobias, have been disputing the circumstances of his death and the outcome of his estate.

Approximately 78 million working Americans are currently working jobs that do not provide them with a retirement plan; however, Barack Obama is looking to change this predicament, according to a report by CNNMoney.com.

As JPMorgan Chase begins to remove the Bear Stearns name from its buildings, the firm is taking the opportunity to enhance its own brand identity.

Eaton Vance has received a no-action letter from the Securities and Exchange Commission that will permit it to provide a new auction-rate security known as Liquidity Protected Preferred Shares.

The Securities and Exchange Commission just released its full summer agenda, and according to SEC Chairman Christopher Cox, it will be extremely busy in the coming months.

Ralph Cioffi and Matthew Tannin, former Bear Stearns headge fund managers, are the first two criminal indictment casualties of the subprime crisis, with the FBI having arrested them at their homes on Thursday.

With the two presidential candidates casting lobbyists, and much of the industry, in a negative light, they are taking a cautious approach to the convention revelry and keeping a lower profile.

The Supreme Court's recent decision in LaRue v DeWolff to permit workers in 401(k) plans to sue administrators for high fees will inevitably lead to lower fees-and the end of the retail mutual fund industry's dominance of the market. That's the strong opinion of widely quoted, and frequent financial TV guest Ric Edelman.

Putnam Investments Selects Bob Reynolds as CEO

NEW YORK - Hedge funds are notorious for being secretive, private investment pools, but the time has finally come for them to become more transparent in order to capture the billions of dollars floating around alpha-seeking institutional investors' pockets.

Invesco, the global investment management firm with its U.S. headquarters in Atlanta, is continuing its efforts to evolve into a bigger global power brand with both diverse and expansive investment offerings. Parent company Invesco Ltd. is headquartered in London.

By now, investors are accustomed to the creative, informal "Talk to Chuck" advertisements of Charles Schwab & Co. in which animated, yet somewhat realistic, images of people gripe about trying to get through to other brokers, but take heart at the thought of reaching Chuck Schwab, the man, through one of his people.