Investment News back issues from January 2007:
Digesting acquisition gives Legg 'headache'; CEO: Citi deal `more costly than expected'.(News)
Jan 08, 2007 ... Byline: David Hoffman PHILADELPHIA - Despite nearly doubling its assets under management via a blockbuster acquisition, Legg Mason Inc. did not have a good year in 2006. Instead of giving reason to cheer, the acquisition of Citigroup Inc.'s asset management unit in ...
Steven B. Young; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Gary Mogel Senior vice president of asset management Curian Capital LLC, Denver Assets under management: $2.4 billion Forecast: "We're looking for that elusive soft landing, with 2% to 3% [gross domestic product] growth in ...
A challenging year for product issuers and advisers alike; Boomers, 401(k) fees, automatic enrollment keep them on their toes.(Investment Outlook: Retirement)
Jan 08, 2007 ... Byline: Lisa Shidler CHICAGO - The retirement industry will be on the move in 2007, particularly as companies strive to develop products that help guarantee an income to baby boomers during retirement. Creating a retirement income stream is one of the biggest ...
Continued growth seen for wealth management in 2007; A growing number of players want to get in the game.(Investment Outlook: Wealth)
Jan 08, 2007 ... Byline: Charles Paikert NEW YORK - Red-hot in 2006, the wealth management industry expects the gravy train to keep rolling in 2007. "If you couldn't hit the ball out of the park in 2006, you were in trouble,'' said Jay Welker, executive vice president of ...
Lobbying intensifies in SRO deal; NASD aims to complete deal by April 2.(News)
Jan 08, 2007 ... Byline: Dan Jamieson IRVINE, Calif. - Fur is flying in the debate over creating a single self-regulatory organization for the securities industry. NASD is pushing hard to garner votes for bylaw changes needed to complete its proposed consolidation of its regulatory ...
CFA Institute has new designation for due diligence.(Short Interests)
Jan 08, 2007 ... Byline: Jeff Benjamin DETROIT - The CFA Institute officially has christened its new Certificate in Investment Performance Measurement program, with 99 candidates having passed both levels of a program designed to help practitioners conduct due diligence under international ...
Distribution products likely to be a focus; Such products seen as necessary for fund industry if it wants to keep growing.(Investment Outlook: Funds)
Jan 08, 2007 ... Byline: David Hoffman PHILADELPHIA - Some industry experts expect that the mutual fund industry this year finally will start to put some real effort into coming up with products that will help retiring investors shift from the accumulation phase to the distribution phase. ...
Rob Isbitts; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Bruce Kelly President and chief investment officer Emerald Asset Advisors LLC, Weston, Fla. Firm's assets under management: About $230 million Forecast: After good returns in 2006, investors may be expecting too much for this ...
Teach your children financial management.(Monday Morning)
Jan 08, 2007 ... Byline: Jim Pavia Every New Year's Eve, millions of Americans make New Year's resolutions. The resolutions range from finding ways to break bad habits, to spending more time with loved ones, to deciding to get finances in order. Whatever the resolution, they have one ...
George P. Schwartz; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Kathie O'Donnell Portfolio manager $270 million Ave Maria Catholic Values Fund Director, president, chief executive and chief investment officer Schwartz Investment Counsel Inc., Bloomfield Hills, Mich. Assets under ...
Bigger life insurers, smaller premiums? Democrats' pro-estate-tax stance may jump-start 2007 sales.(Investment Outlook: Insurance)
Jan 08, 2007 ... Byline: Gary S. Mogel NEW YORK - There is no such thing as being too big in the life insurance industry. So more consolidation - and the premium savings it often brings - is likely this year, according to industry analysts. The "ultracompetitive'' life insurance ...
OppenheimerFunds launches life cycle fund lineup; Firm unveils four target date funds.(News)
Jan 08, 2007 ... Byline: Kathie O'Donnell BOSTON - OppenheimerFunds Inc. plans to unveil four target date retirement funds and says those funds will offer more equity exposure than usual to help ensure that investors' savings last through retirement. The four Oppenheimer LifeCycle ...
Boom for hedge funds, private equity likely to continue; Management talent, investor appetite help fuel growth.(Investment Outlook: Alternatives)
Jan 08, 2007 ... Byline: Jeff Benjamin DETROIT - The outlook for alternative investments in 2007 is bullish, according to industry watchers, as increases in investor appetite and sophistication join substantial momentum to fuel the market for hedge funds and private-equity investments. ...
William Knapp; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Kathie O'Donnell Investment strategist New York Life Investment Management LLC Assets under management: more than $231 billion Forecast: Slower economic growth could curtail or even forestall corporate profits in 2007, but ...
AMT expected to snare many more in middle class; Despite Senate bill, complete fix seen as elusive.(News)
Jan 08, 2007 ... Byline: Lisa Shidler CHICAGO - As Congress considers a bill to repeal the alternative minimum tax, advisers are bracing themselves for the possibility that any changes to the bill that get passed will amount to little more than a Band-Aid. Last Thursday, a bipartisan ...
TD Ameritrade acquires 401(k) trust company; Asset custodian prospecting for RIAs that advise plans.(News)
Jan 08, 2007 ... Byline: Brooke Southall SAN FRANCISCO - TD Ameritrade Institutional recently purchased a small trust company in Baltimore to capitalize on the big ambitions of registered investment advisers to win 401(k) assets. The Jersey City, N.J.-based asset custodian late last ...
With Jim Otar of Otar & Associates.(One on One)
Jan 08, 2007 ... Byline: Dan Jamieson Jim Otar is hard at work solving a problem nearly every adviser faces: how to ensure that clients don't run out of money in retirement. Mr. Otar, a former engineer turned adviser/ researcher/educator, said that the field of distribution planning is not well ...
Malcolm E. Polley; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... President and chief investment officer Stewart Capital Advisors LLC , Indiana, Pa. Assets under management: $930 million Forecast: "The foremost concern I have is the broad-based belief that we'll have double-digit gains in equities,'' Mr ....
James D. Hardesty; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Brooke Southall James D. Hardesty President and chief investment officer Hardesty Capital Management LLC, Baltimore Firm's assets under management: $650 million Forecast: Inflation is likely to nosedive to as low ...
At the Bell.
Jan 08, 2007 ... Deutsche launches 7 PowerShares ETFs Deutsche Bank AG and PowerShares Capital Management LLC on Friday launched seven PowerShares DB Commodity Sector exchange traded funds on the American Stock Exchange. The funds offer investors access to commodities through the ...
Free spirit mid-cap manager bucks the trends.(Street Wise)
Jan 08, 2007 ... Byline: Jeff Benjamin Thyra Zerhusen, manager of the $700 million Aston Optimum Mid Cap Fund (CHTTX), is content with the notion that her investing strategy isn't always in sync with the general thinking on Wall Street. With regard to the fund's allocation to media ...
Technology seen as key to leveraging advisers' time; More being spent on CRM systems, document storage.(Investment Outlook: Technology)
Jan 08, 2007 ... Byline: Brooke Southall SAN FRANCISCO - Most financial advisers presume that in 2007, they will face more growth, more compliance oversight and clients who expect quicker responses. "In short, more is being demanded from advisers at a time when there is increasing ...
Ian Fraley; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Jeff Benjamin Managing principal and hedge fund manager Financia Capital LLC, San Francisco Assets under management: $20 million Forecast: Mr. Fraley is particularly optimistic about large multinational companies that derive ...
Linda Killian; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Lisa Shidler Portfolio manager, founder and principal Renaissance Capital LLC, Greenwich, Conn. Assets under management: $20 million Forecast: Ms. Killian expects growth stocks to outperform large capital equities in 2007 ....
Donald W. Hodges; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Dan Jamieson Co-portfolio manager Hodges Fund Hodges Capital Management Inc., Dallas Assets under management: $580 million Forecast: Mr. Hodges is positive on the market for 2007, though the economy appears to be ...
Federal-insurance-charter option top among issues; Frank, Dodd panels also to examine hedge funds.(Investment Outlook: Regulation)
Jan 08, 2007 ... Byline: Sara Hansard WASHINGTON - Key Democratic leaders of congressional committees that handle financial services issues are open to considering giving life insurers the option of being regulated federally. "There is some good argument for uniformity'' of ...
Adviser's show a fund-raising hit.(Short Interests)
Jan 08, 2007 ... Byline: Jeff Benjamin DETROIT - Financial adviser Bert Whitehead knocked the cover off the ball last month when his public-television debut became the biggest fund-raising program in the history of the Detroit Educational Television Foundation. The program, which ...
States vie to slash college savings plan fees; OppenheimerFunds takes lead in price wars.(News)
Jan 08, 2007 ... Byline: Charles Paikert NEW YORK - Fees for Section 529 college savings plans just keep on dropping - with no signs of stopping. New York-based OppenheimerFunds Inc. scored a coup last month when it won the contract for Illinois' $2 billion Bright Start College ...
INDIE REPORT.(Investment Outlook)
Jan 08, 2007 ... Independent-contractor broker-dealers continue to grapple with challenges in 2007. After a gangbusters 2005, recruiting was flat or down at many firms last year, executives said. And many ...
7% returns seen despite slowing economy; Investors starting to migrate from bonds to dividend-paying blue-chip stocks.(Investment Outlook)
Jan 08, 2007 ... Byline: Kathie O'Donnell BOSTON - The U.S. economy likely will slow this year - at least in the first half - but stocks are expected to continue climbing as investors seeking higher returns and safety finally let large-cap-growth stocks out of the doghouse. The ...
Feminine touch.(Investment Outlook)
Jan 08, 2007 ... Of the 18 Wall Street observers who gave predictions for 2006's index outcomes in our Jan. 9 issue of that year, just two were women. However, both distinguished themselves among their peers. Barbara Walchli, a Phoenix-based portfolio manager with Aquila Investment ...
Income trust guidelines may spawn mergers.(Short Interests)
Jan 08, 2007 ... Byline: David Clarke OTTAWA - Some observers wonder whether Birmingham, Ala.-based Harbinger Capital Partners' $712 million hostile bid for Calgary, Alberta-based Calpine Power Income Fund last month is the harbinger of an income trust mergers furor to follow the one that ...
Convincing consumers that they need help.(Editorial)
Jan 08, 2007 ... As 2007 begins, the financial planning/investment advisory sector of the financial services industry is at a crossroads. It faces several critical decisions that will affect its future direction, its growth and perhaps even its relevance to investors. And these decisions come at ...
Barnash leaves Lincoln for Ameriprise Financial; Role to include recruiting advisers, brokers.(News)
Jan 08, 2007 ... Byline: Bruce Kelly NEW YORK - Ameriprise Financial Inc., in a coup, has reeled in James Barnash, one of the biggest fish in the financial planning community, whose new job includes recruiting. Mr. Barnash, whose term as chairman of the Financial Planning Association ...
Website for gold (and silver) bugs.(Short Interests)
Jan 08, 2007 ... Byline: Aaron Siegel NEW YORK - As commodity prices continue to rise, a website is looking to help investors strike strong returns on gold and silver. GoldMoney.com, a five-year-old website, allows investors to buy gold and silver online through a process of digital ...
Wall Street profits likely to slow in 2007, some predict; Retail may flourish if institutional side begins to stumble.(Investment Outlook: Broker-Dealers)
Jan 08, 2007 ... Byline: Dan Jamieson IRVINE, Calif. - Sizzling industry profits are expected to abate this year as profit pressures increase and the economy slows. Slower growth will crimp underwriting activity, mergers and acquisitions, private equity and the prime-brokerage ...
New laws may boost HSA popularity among wealthy; Demise of accounts under Democrats seen as greatly exaggerated.(News)
Jan 08, 2007 ... Byline: Gary S. Mogel NEW YORK - Legislation signed by President Bush in the waning days of the Republican-controlled Congress may make health savings accounts more appealing to advisers' wealthy clients, industry observers say. Wealthy clients couldn't get excited ...
What your clients' fees are paying for.(The Markets)
Jan 08, 2007 ... Byline: Mark Labovitz The new year is a time for people to review many activities, including mutual fund investing. An important element in portfolio analysis is fund expenses. While the type and amount of expenses charged vary by fund company, they often include the following ...
Milton Ezrati; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: David Hoffman Partner, and senior economic and market strategist Lord Abbett & Co. LLC, Jersey City, N.J. Assets under management: $110 billion Forecast: The Federal Reserve has engineered what should be a "soft landing'' for ...
Doug Couden; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: David Hoffman Director of equity and senior portfolio manager Seneca Capital Management LLC, San Francisco Assets under management: $11 billion Forecast: The market will slow down, but stocks still will have a good year, Mr ....
Gregory Church; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Charles Paikert Founder and chief executive Church Capital Management LLC, Yardley, Pa. Assets under management: $2.2 billion Forecast: Mr. Church expects the gross domestic product to continue its trend-line growth of 3% for ...
Fred Dickson; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Charles Paikert Chief market strategist D.A. Davidson & Co., Great Falls, Mont. Assets under management: $21 billion Forecast: Mr. Dickson sees a soft landing for the economy in the first half of the year, followed by overall ...
Finally, a broker portrayed positively.(Short Interests)
Jan 08, 2007 ... Byline: Aaron Siegel NEW YORK - A brokerage industry tale was generating strong returns while the markets took a holiday. In "The Pursuit of Happyness,'' Will Smith plays Chris Gardner, who completes an internship in Dean Witter's broker-training program while caring ...
Content, navigation tools vital to successful websites; Franklin Templeton tops list of quality sites.(News)
Jan 08, 2007 ... Byline: Aaron Siegel NEW YORK - The folly of the Internet bubble is history, though the art of website design continues to evolve. Ingredients for a successful mutual fund website are the availability of content, the quality of that content and an overall positive user ...
Kenneth Safian; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Dan Jamieson President Safian Investment Research Inc., a division of Burnham Asset Management Corp., White Plains, N.Y. Assets under management: $1.2 billion Forecast: As a sector rotator, Mr. Safian is a bit perplexed ....
Kevin R. Caron; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Lisa Shidler Market strategist Ryan Beck & Co. Inc., Florham Park, N.J. Assets under management: $17 billion Forecast: The economy in 2007 will be similar to 2006, Mr. Caron said, and he thinks that real estate and ...
Virginia Reynolds Parker; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Sara Hansard Managing member and chief investment officer Parker Global Strategies LLC, Stamford, Conn. Assets under management: $425 million Forecast: This year will be another good year for the equity market, especially in ...
New portfolio-margining rules offer more choice; Investor-friendly changes expected to help U.S. in the marketplace.(News)
Jan 08, 2007 ... Byline: Riva Froymovich NEW YORK - The Securities and Exchange Commission last month approved sweeping changes to portfolio-margining accounts that will result in greater choices for advisers and more responsibility for broker-dealers, according to many in the options industry. ...
'Grand bargain' for Barney, Ben and biz?(Reverse Spin)
Jan 08, 2007 ... Byline: Charles Paikert While the new House speaker, Nancy Pelosi, D-Calif., got the front-page headlines last week, Rep. Barney Frank, D-Mass., the new chairman of the House Financial Services Committee, got the business world's attention following his command performance at ...
Sam Stovall; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Riva Froymovich Chief investment strategist, equity research Standard & Poor's, New York Forecast: Historically, 2007 is set to be a positive year, Mr. Stovall said. "You have to go back to 1939 to find a decline in the ...
Kurt Wolfgruber; Forecast for 2007.(Investment Outlook)
Jan 08, 2007 ... Byline: Aaron Siegel Chief investment officer OppenheimerFunds Inc., New York Assets under management: $240 billion Forecast: Mr. Wolfgruber expects the economy to experience a soft landing in the first half of 2007 and to take off ...
Opinion Poll.
Jan 08, 2007 ... Should the alternative minimum tax be fully repealed? A. Yes B. No C. Don't care To respond to ...
Smith Barney pay change could hit top reps; Those paying assistants well are most affected.(News)
Jan 08, 2007 ... Byline: Dan Jamieson IRVINE, Calif. - The pay changes implemented by Smith Barney this month could negatively affect some top producers. Although the firm described the changes as being revenue neutral, the new compensation plan may cost high-level brokers who have been paying ...
Linsco inks deal for clearing services with AXA Advisors; The firm is also in discussions with several other potential clients.(News)
Jan 08, 2007 ... Byline: Bruce Kelly NEW YORK - Looking to compete toe-to-toe in the clearing business with such industry giants as Pershing LLC and National Financial Services LLC, Linsco/Private Ledger Corp. last month said that it would take over the clearing and back-office operations for ...
Boomers plan for retirement - more or less; Generation of retirees look to sidestep usual spending models.(News)
Jan 15, 2007 ... Byline: Lisa Shidler CHICAGO - Some baby boomers are putting a unique twist on how they plan to draw on their retirement savings, according to financial advisers. Instead of seeking a steady income that remains the same year after year, some advisers are noticing ...
Conventional wisdom's not always wise.(The Markets)
Jan 15, 2007 ... Byline: Jeff Tjornehoj Bond fund investors often are told that expenses matter a great deal more to them than to equity investors on the presumption that bond values rise or fall predictably as a function of prevailing interest rates. Although that theory may hold ...
Pershing on the march as asset custodian; Deal with Neuberger raises its profile, broadens client range.(News)
Jan 15, 2007 ... Byline: Brooke Southall SAN FRANCISCO - Pershing Advisor Solutions LLC is buying the custody assets of high-end financial advisers in a deal that will raise its profile and broaden the range of advisers it serves. This month, the custody affiliate of Jersey City, ...
SEC need do nothing on proxy access.(Editorial)
Jan 15, 2007 ... It is time for corporate boards and chief executives to be held accountable by the owners of the companies for which they work. Chief executives get hundreds of millions of dollars for failure. They refuse to listen to shareholders, fight off attempts to contest board seats and ...
With Gregory E. Johnson of Franklin Resources Inc.(One on One)(Company overview)
Jan 15, 2007 ... Byline: David Hoffman It all comes down to performance. According to industry experts, that is why Franklin Templeton Investments of San Mateo, Calif., was able to increase its assets under management despite being one of a handful of mutual fund companies that got ...
Keeping governance in motion.(Short Interests)
Jan 15, 2007 ... Byline: Aaron Siegel NEW YORK - Walden Asset Management has come up with a set of New Year's resolutions that it aims to implement at shareholder meetings this year. The Boston-based socially conscious investment firm has compiled 19 resolutions submitted by many of ...
Opinion poll.
Jan 15, 2007 ... Previously, we asked you: Should the alternative minimum tax be fully repealed? A. Yes - 16% B. No - 83% C. Don't care - 1% Respondents: 339 This week's question is: Will a ...
What a difference five years makes for the euro; Some countries divert money to the currency from the dollar.(News)
Jan 15, 2007 ... Byline: Riva Froymovich NEW YORK - Before the euro marked its fifth anniversary Jan. 1, a number of countries demonstrated their trust in the European currency over the U.S. dollar - a stark contrast to five years ago. The United Arab Emirates, home of the Middle East ...
Maximizing microfinance's cachet.(Short Interests)
Jan 15, 2007 ... Byline: Riva Froymovich NEW YORK - Two groups are using the recent awarding of the Nobel Peace Prize to microfinance pioneer Muhammad Yunus to boost their own microcredit projects. The 2006 Nobel Peace Prize was awarded in December to Mr. Yunus, a Bangladeshi ...
SEC joins SROs to review firms' rules compliance; Commission gets tough on abuses in fee-based brokerage accounts.(News)
Jan 15, 2007 ... Byline: Sara Hansard WASHINGTON - The Securities and Exchange Commission is joining other regulators in cracking down on abuses in fee-based brokerage accounts. Following a lawsuit filed last month by the New York attorney general's office against New York-based UBS ...
'Retirement crisis' is overblown, some say; Are boomers more prepared than is believed?(News)
Jan 15, 2007 ... Byline: Lisa Shidler CHICAGO - The drumbeat from the financial services industry that baby boomers are ill-prepared for retirement has been exaggerated and may be simply an attempt to market products, some industry observers say. Baby boomers historically have made a ...