Investment News back issues from August 2008:
New IRS rulings affect investors; Foreign holders of U.S. real estate and hedge funds are targets.(The Tax-Conscious Adviser)
Aug 04, 2008 ... Byline: Robert N. Gordon Three new revenue rulings released by the Internal Revenue Service over the past few weeks are likely to have substantial effects on investors. The first is Revenue Ruling 2008-31, which concerns foreign investors in U.S. real estate. Until ...
Taking a broad view of 'environmentally friendly'; There are many ideas about what makes an investment 'green'.(News)
Aug 04, 2008 ... Byline: Deborah Nason Demand for "green'' investing is growing, studies show, but opinions vary widely on what makes an investment green. Of the 15 largest environmentally oriented mutual funds offered in the United States, nine focus on either alternative energy or ...
NexGen thinks charity.(Short Interests)
Aug 04, 2008 ... Byline: Aaron Siegel The Foundation of Financial Planning has created a fund to allow members of the Denver-based Financial Planning Association's NexGen group to make contributions to support charitable causes related to financial planning. The NexGen group ...
After the cheering, advice is needed; But many advisers are loath to take on Olympians as clients.(News)
Aug 04, 2008 ... Byline: Andrew Coen Athletes participating in this month's Summer Olympics will need financial advice once the torch goes out, but many advisers tend to ignore the opportunity to work with such clients. Uncertainty as to how Olympic athletes will perform makes ...
Planning in China: Big opportunity, big challenges; Banks dominate a market where clients put a premium on safety.(News)
Aug 04, 2008 ... Byline: Charles Paikert The nascent market for financial planning in China has explosive potential, but don't expect a carbon copy of the American model - not yet, anyway. The Wild West nature of the country's rapidly emerging economy has caused Chinese investors to ...
Don't know the score.(Short Interests)
Aug 04, 2008 ... Byline: Darla Mercado Americans know about credit scores, but the majority of consumers don't understand what their scores mean or how they work, according to a survey from the Consumer Federation of America and Washington Mutual Inc. of Seattle. "Lack of consumer ...
Advisers using separately managed accounts to tame bear; Strategies include use of alternatives and multiple managers.(News)
Aug 04, 2008 ... Byline: Darla Mercado Tax loss harvesting and defensive portfolios have been the way to go for financial advisers who rely on separately managed accounts - particularly during rocky equity markets. Clients aren't as jittery about the markets as they were last summer ...
Advisers cheer Finra pilot on arbitration panels; But the test worries plaintiff's attorneys.(News)
Aug 04, 2008 ... Byline: Sara Hansard Many advisers who have been involved in arbitration cases are welcoming a move to give investors the option of having all-public arbitration panels. But plaintiff's attorneys fear that the pilot program, announced July 24 by the Financial ...
Housing law cracks down on loan originators; New rules could boost industry's battered image.(News)
Aug 04, 2008 ... Byline: Janet Morrissey The long-awaited housing bailout bill, which President Bush signed into law last week, takes a bold step toward clamping down on fraud and abuse in the troubled mortgage industry by mandating that all loan originators be licensed and follow strict ...
A wake-up call for planners fresh out of college.(News)
Aug 04, 2008 ... Byline: Aaron Siegel Many recent college graduates have found that adapting to the day-to-day rigors of working in a financial planning firm can be a stark change from their experiences in the classroom. Handling the responsibilities of an adviser in the real world is ...
Young planners sitting pretty, Tibergien says; Demand is growing as talent pool shrinks, operational costs grow.(News)
Aug 04, 2008 ... Byline: Aaron Siegel With operational costs growing and financial advisers in short supply, the demand for talent has put the value of young financial planners at a premium, according to industry guru Mark Tibergien. In the meantime, financial planning firms have an ...
Kudos to Merrill, Lone Star on their deal.(Viewpoint)
Aug 04, 2008 ... MerriLl lynch & Co. Inc.'s actions last week may well have marked the beginning of the end of the financial crisis that has gripped the economy for more than a year. New York-based Merrill capitulated, accepted that mortgage-related asset prices are unlikely to recover anytime ...
Ladenburg Thalmann eyeing more indie firms; At least three B-Ds reportedly in its sights.(News)
Aug 04, 2008 ... Byline: Bruce Kelly Ladenburg Thalmann Financial Services Inc., about to close its second acquisition of an independent broker-dealer since last fall, is gunning for more. The Ladenburg official working the phones, Scott Sherwood, chief operating officer of Ladenburg ...
Advisers see opportunity in private loans, mortgages; Providing help for those with 'decent credit'.(News)
Aug 04, 2008 ... Byline: Jeff Benjamin As fallout from the mortgage crisis leads to tighter restrictions on lending, some financial advisers are finding opportunities to fill a void for their clients by entering the lending business. "Credit is tight, and it will get tighter - that's ...
Name the best retirement income tools.(News)
Aug 04, 2008 ... Which product companies' print and new-media materials related to retirement income are the most useful? Those whose brochures, white papers, original research, webcasts, podcasts, CDs or targeted websites help you most are eligible to earn the InvestmentNews and the ...
This ain't your father's index fund; Direxion's new commodities offering can go long or short in six sectors.(Street Wise)
Aug 04, 2008 ... Byline: Jeff Benjamin If there is an upside to rising energy prices, it might be the increased awareness among consumers and retail investors of commodities and the effect they can have on the economy. It is this newfound awareness that the promoters of the Direxion ...
Advisers help retirees spend or save wisely.(Short Interests)
Aug 04, 2008 ... Byline: Lisa Shidler Just 22% of American retirees said they worked with a financial adviser within the first two years of their retirement, according to a new survey from Thrivent Financial for Lutherans. But of those who worked with an adviser, a whopping 94% found ...
Critics seize upon Vanguard's handling of U.S. Growth Fund; Chairman chastises unhappy investor in letter.(News)
Aug 04, 2008 ... Byline: David Hoffman The Vanguard Group Inc.'s handling of its lackluster U.S. Growth Fund threatens to tarnish the company's reputation for putting investors first. First, there was an angry letter that John Brennan, chairman and chief executive of the Malvern, ...
Retirement income divides advisers; They split 54-46 between approaches that favor total return, targeted-investment pools.(News)
Aug 04, 2008 ... Byline: Lisa Shidler Although they typically use the same investment products to build retirement portfolios, financial advisers are almost evenly split as to the best way to manage retirement income distributions from these assets. In a report provided exclusively ...
IN events.(Short Interests)
Aug 04, 2008 ... Retirement Income Communications Awards Sponsored by InvestmentNews and the Retirement Income Industry Association, these awards recognize the best in printed and new-media materials aimed at helping financial advisers better prepare their clients as they move from accumulating ...
The week ahead.(Short Interests)(Calendar)
Aug 04, 2008 ... Aug. 4 The Challenger Job-Cut Report for July is scheduled to be released at 7:30 a.m. ET. Personal-outlays-and-income data for June are slated for release at 8:30 a.m. ET. Aug. 5 The Federal Open Market Committee at 2:15 p.m. ET will announce ...
At the bell.
Aug 04, 2008 ... Study: Advisory firms are in buying mode In the past two years, 53% of registered investment advisers bought or considered buying another advisory firm, according to a new study from Pershing Advisors LLC. The Jersey City, N.J., firm is a unit of the Bank of New York ...
Keeping clients calm and focused.(Viewpoint)
Aug 04, 2008 ... Financial planners and investment advisers appear to be earning their fees. A survey by the Washington-based Center for Audit Quality found that investors haven't panicked in the face of the financial crisis and the resulting bear market. In fact, the public policy ...
Senate may pass narrow insurance reform; Federal charter option remains a concept that lacks broad support.(News)
Aug 04, 2008 ... Byline: Sara Hansard The Senate Banking Committee appears likely to act on legislation that would set up a uniform approach to regulating the commercial-surplus-lines insurance market. Surplus lines insurance consists primarily of property and casualty coverage such ...
American to introduce international fund; New equity offering seeks to generate income and growth.(News)
Aug 04, 2008 ... Byline: Sue Asci For the first time in almost a decade, American Funds plans to launch a new equity fund. The fund, American Funds International Growth and Income, fills a void in the group's lineup and reflects changes in the global market capitalization, said ...
Finra proposes tougher sales rules on variable products; Regulation would require clearer labeling.(News)
Aug 04, 2008 ... Byline: Darla Mercado A proposed rule from the securities industry's self-regulatory organization would impose greater consumer protections on marketing materials for variable-insurance products, though some critics have raised questions about the effectiveness of the ...
Outsourcing is the answer for small firms, some say; Letting others handle advisers' day-to-day tasks cuts expenses and frees up time for clients.(Tech Update)
Aug 04, 2008 ... Byline: Davis D. Janowski Some financial advisers are finding that outsourcing most of their day-to-day tasks, including many administrative duties, saves time and is cost-effective. Russ Thornton, a fee-only registered investment adviser and owner of Thornton Wealth ...
Make clients' data meaningful; Adopting an 'information under management' approach can add value to your services.(Practice Management)
Aug 04, 2008 ... Byline: Edmond Walters If you were around in the 1960s, you probably remember feeling that Woodstock changed everything. It was unique and legendary. Our world seemed to tilt on its axis, and everyone approached things a little differently, after a long weekend spent ...
Nouriel Roubini; Bear sees worst crisis since Great Depression.(Newsmakers)
Aug 04, 2008 ... Byline: Janet Morrissey Brace yourself. Nouriel Roubini, whose gloom-and-doom predictions about the housing market collapse and subprime-mortgage debacle have come true, is getting even more bearish. During an interview late last month, he offered up an even gloomier ...
Correction.(Correction notice)
Aug 04, 2008 ... In the list of U.S. clearing firms ranked by broker-dealer clients which appeared in the July 28 issue, the correct ...
U.S. clearing firms ranked by broker-dealer clients.(Special Report: Clearing Firms)
Aug 04, 2008 ... ***** Correction: In the list of U.S. clearing firms ranked by broker-dealer clients which appeared in the July 28 issue, the correct contact information for Legent Clearing LLC of Omaha, Neb., is Ray Maratea, co-president, at ray.maratea@legentclearing .com. ***** ...
Clearing firms used by the top independent broker-dealers.(Special Report: Clearing Firms)
Aug 04, 2008 ... Rank/Broker-dealer/Clearing firm 1. LPL Financial/Self-clearing Associated Securities Corp./Pershing LLC Mutual Service Corp./Pershing LLC Waterstone Financial Group/Pershing LLC, Mesirow Financial 2. AIG Advisor Group AIG ...
Take a closer look at clients' art collections; Valuable estate class is sometimes overlooked.(News)
Aug 11, 2008 ... Byline: Charles Paikert Financial advisers need to pay more attention to their clients' art collections, according to experts who are trying to bring the art and financial worlds closer together. "Most advisers don't have art assets on their radar,'' said Michael ...
Investor access to commodities threatened; Trade organizations rally against proposed tighter limits on futures.(News)
Aug 11, 2008 ... Byline: Dan Jamieson Industry trade groups have entered the debate over congressional proposals that could restrict investors' access to products that invest in commodities or track commodity indexes. Of particular concern to the industry are efforts to tighten up on ...
Hedge funds alone in fight against short-selling curb; SEC expected to shore up protective measure.(News)
Aug 11, 2008 ... Byline: Sara Hansard The hedge fund industry faces growing opposition to its efforts to hold back restrictions on naked short selling. Among the 300 investor comments filed over the past month with the Securities and Exchange Commission about naked short selling, most ...
First, do no intentional harm; Promoting fiduciary responsibility would encourage investor-friendly behavior from the start.(Fiduciary Corner)
Aug 11, 2008 ... Byline: Blaine Aikin Providing financial advice is similar to providing medical advice in that there is inherent uncertainty about whether recommended actions will achieve the desired results. In medicine, the term "iatrogenic injury'' refers to situations in which ...
Advisers urge clients to prepare for potential layoffs; Cash reserve to cover 3 to 6 months' expenses is recommended.(News)
Aug 11, 2008 ... Byline: Darla Mercado As layoffs rise, some financial advisers are encouraging their clients to come up with contingency plans in case they lose their jobs. "I don't care how old you are; obviously, losing your job is a problem if you haven't accumulated money,'' said ...
Junk funds pique investor interest; Hunt for yield seen making them desirable despite poor returns.(News)
Aug 11, 2008 ... Byline: David Hoffman Junk bond funds are beginning to look more attractive to investors, even though their returns haven't been impressive. For the week ended July 30, high-yield-bond funds reported $153.2 million of net inflows, according to AMG Data Services of ...
U.S. stock market luring investors; Exposure to the sector has been on the increase.(News)
Aug 11, 2008 ... Byline: David Hoffman The U.S. stock market is outperforming the global stock market for the first time this decade, with asset managers adjusting their portfolios to take advantage of the trend. "Our emerging market exposure has come down,'' said Robert Turner, ...
The right role for international stocks; Why it makes sense for a retirement portfolio to be diversified globally.(Retirement Watch)
Aug 11, 2008 ... Byline: Vladimir Milev Over the past six years, international stocks - those of companies from both developed countries and emerging markets - have outperformed U.S. stocks by a wide margin. Many investors, including those saving for retirement and those in retirement, have been ...
DAVID DEVOE; 2008 may end well for RIA deals, he says.(News)
Aug 11, 2008 ... Byline: Charles Paikert When talks about mergers and acquisitions among RIA firms, advisers pay attention. A few months ago, Mr. DeVoe, director of M&A for Schwab Institutional of San Francisco, drew a packed house at a New York hotel when he addressed registered investment ...
Americans under 35 piling up debts; Three-quarters owe as much, or more, than last year.(News)
Aug 11, 2008 ... Byline: Andrew Coen A new study reveals that financial problems are getting worse for Americans under 35. About three out of four are in as much or more credit-card debt this year as last, with slightly more than half making minimum monthly payments, according to a study just ...
Stanford tees up Stenson.(Short Interests)
Aug 11, 2008 ... Byline: Andrew Coen Stanford Financial Group continued its alliance with professional golf with its signing last week of top five European golfer Henrik Stenson to help brand the wealth management company around the globe. Mr. Stenson, ranked as one of the top five ...
New fiduciary language challenges risk management issues; Other Voices.(Viewpoint)
Aug 11, 2008 ... Byline: Joseph W. Maczuga Debate over new fiduciary language from the CFP Board and the FPA has focused on the risk management aspects of life insurance, though some of the conclusions have gone unchallenged, and others reflect industry biases. The Certified ...
Uncorking a new asset class; Some argue their investment status, but fine wines are continuing spirited rise.(News)
Aug 11, 2008 ... Byline: Jeff Benjamin The practice of fine wine investing, which has appealed to wealthy and sophisticated collectors for ages, is coming out of the cellar and could emerge as a legitimate alternative-asset class. While some financial advisers still place wine ...
Keeping an eye on cash flow; Whatever the investments you choose for your clients, be sure the cash keeps flowing.(Investment Strategies)
Aug 11, 2008 ... Byline: Brett Wilder Advisers have a fiduciary responsibility to educate their clients that generating enough cash to fund lifetime goals and objectives adequately is the key to financial success. While maximizing returns is desirable, an investment portfolio must be ...
Variable's loss is fixed's gain; Investors seek the stability of fixed annuities.(News)
Aug 11, 2008 ... Byline: Darla Mercado Because of slumping second-quarter sales of variable annuities, industry observers believe fixed annuities could benefit. "In our last set of data, we were seeing an explosion on the fixed side - more than we have ever seen before,'' said Jeremy ...
Planners will get VA fund debate at meeting; FPA's annual conference is expected to draw record 5,000 attendees.(News)
Aug 11, 2008 ... Byline: Aaron Siegel A debate between an advocate of mutual funds and a proponent of variable annuities could set off fireworks at this year's annual conference of the Financial Planning Association. Fund fan Harold Evensky, a certified financial planner and ...
Morgan Stanley Investment Management looks beyond U.S. But money manager faces formidable obstacles in its quest to bring back revenue.(News)
Aug 11, 2008 ... Byline: Thao Hua Morgan Stanley Investment Management is counting on overseas growth to help get it back on track as revenue continues to fall. But the hurdles are high, particularly in Europe, where unfavorable market conditions in the retail sector, combined with ...
Investors go for gold in garbage; Investment strategies in waste management include recycling, energy.(News)
Aug 11, 2008 ... Byline: Thao Hua One person's trash is another's alpha. Investment strategies in waste management - including trash collection, separation, disposal and recycling - are gaining institutional interest as landfills globally are reaching capacity and commodities prices ...
A real pain in the portfolio; Just Thinking.(Viewpoint)
Aug 11, 2008 ... Byline: Jim Pavia Looking at my investments lately is a lot like watching a train wreck - I know I should avert my eyes, but I just can't make myself stop peeking. Lately, I have had to do more than peek. My son starts college in two weeks, which meant I celebrated ...
Analysts shrug off Street's proposals on systemic risk; Properly assessing counterparties should always be a priority, experts say.(News)
Aug 11, 2008 ... Byline: Sara Hansard A report issued last week by financial industry leaders calling for greater private initiatives in containing systemic risk was greeted by some analysts as being a "no-brainer.'' "Changing rules in assessing your counterparty risk seems to be a ...
IN events.(Short Interests)
Aug 11, 2008 ... Sept. 9 Community Leadership Awards Dinner Celebrate advisers who are making a difference in their community. Award honorees will be announced during the dinner. The Invest in Others Charitable Foundation will make a donation of $10,000 to each category honoree's charity of ...
REIT converts offer opportunity amid volatile market; Some selling at discount can be redeemed for full face value.(News)
Aug 11, 2008 ... Byline: Janet Morrissey Investors, jittery about investing in volatile REIT stocks during the economic downturn and credit crunch, might look a little deeper into the group's capital structure for the right pick - in particular, real estate investment trust convertible ...
Portfolio management tool may come to the iPhone; Lab49 introduces enterprisewide software for the new Apple handheld.(News)
Aug 11, 2008 ... Byline: Davis D. Janowski Professional-grade financial services applications may soon be coming to the iPhone. Lab49, a consulting firm based in New York and London that specializes in designing advanced interfaces for the capital markets, has introduced a real-time ...
Newbridge reps said to be eyeing the exits; Regulatory woes, clearing firm change cited.(News)
Aug 11, 2008 ... Byline: Bruce Kelly A combination of legal problems and issues around its platform are pushing some representatives that are affiliated with Newbridge Securities Corp. of Fort Lauderdale, Fla., to look around at other broker-dealers, industry recruiters said. On the ...
Energized by energy.(Short Interests)
Aug 11, 2008 ... Byline: Aaron Siegel Even though energy prices have fallen in recent weeks and shares of financial services firms have been on the decline for much longer, traders are seeing investment opportunities in those sectors, according to a survey conducted by online brokerage firm ...
Recent quarter gives REIT investors vacant feeling; Trusts miss targets or ratchet down their expectations.(News)
Aug 11, 2008 ... Byline: Janet Morrissey The deteriorating economy and deepening credit crisis are starting to take a toll on the commercial-real-estate market as a number of real estate investment trusts have either fallen short of Wall Street's expectations in the latest quarter or sharply ...
Women fear retirement more than men; Inflation, health, outliving money top worries, study shows.(News)(Report)
Aug 11, 2008 ... Byline: Lisa Shidler Women are more worried about retirement than men are, and their top concerns are inflation, their health and outliving their money, a recent study found. The report, from The Hartford (Conn.) Financial Services Group Inc. and the Massachusetts ...
Employers make it easier to participate in 401(k)s; Automatic enrollment, step-up increases become more frequent.(News)
Aug 11, 2008 ... Byline: Lisa Shidler Employers are getting more proactive about offering incentives to make it easier for employees to use a 401(k) plan, according to a study from Deloitte Consulting LLP. According to the New York-based company's "401(k) Benchmarking Survey,'' ...
Securities America itches to make more acquisitions; On the heels of latest deal, firm's CEO sees 'lots of opportunity'.(News)
Aug 11, 2008 ... Byline: Bruce Kelly Securities America Inc. has made a splash in the roiling mergers and acquisitions market for independent broker-dealers, and it could make more waves soon. The independent-broker-dealer subsidiary of Ameriprise Financial Inc. of Minneapolis said ...
The week ahead.(Short Interests)(Calendar)
Aug 11, 2008 ... Aug. 11 The Federal Reserve Bank of Chicago's summer workshops on money, banking and payments begins and runs through Aug. 22. Aug. 12 International-trade-balance figures for June will be released at 8:30 a.m. ET. The Department of the Treasury ...
People.
Aug 11, 2008 ... Penn Mutual Life Insurance Co. of Horsham, Pa., has hired Richard J. DeCarolis, 47, as vice president and controller. Previously, he was chief financial officer for HTH Worldwide in Radnor, Pa. AXA Equitable Life Insurance Co. of New York has named Chris Winans, 57, ...
LETTERS.(Viewpoint)
Aug 11, 2008 ... Annuities are complex any way you slice it I am writing in reference to Evan Cooper's June 4 online opINion column, "A VA rider or a venti.'' If only it were that simple. As a Starbucks fan, I enjoyed the analogy. However, there are too many ways for ...
SEC spots ethics lapses.(Short Interests)
Aug 11, 2008 ... Byline: Sara Hansard Incomplete codes of ethics and codes of ethics that aren't followed were cited as two common problems found by Securities and Exchange Commission examiners at investment advisory firms. The SEC's office of compliance inspections and examinations ...