October 2008

Personal Finance Update

* Americans have faith in the stock market
Americans are hopeful about the economy, the stock market and their personal finances... Liz Pulliam Weston, personal finance columnist and author of "Easy Money: How to Simplify Your Finances and Get What You Want Out of Life," also expressed amazement at the relatively low number of panic-stricken people following ...

* What to know about Medicare -- now
By Kiplinger's Personal Finance Magazine... This article was reported and written by Kimberly Lankford for Kiplinger's Personal Finance Magazine... Kiplinger's Personal Finance Magazine What to know about Medicare -- now.

* 11 Ways to Teach Kids About Money, Especially Right Now!
... what's going on in the world," says Tyson, author of Personal Finance For Dummies , 5th Edition (Wiley, ISBN-13: 978-0-4700383 ... A good grasp of personal finance is one of the most valuable life skills a person ... You'll probably face an uphill battle when teaching kids about personal finance.

* Dealing with Debit Card Myths
... for everyday purchases and as a means of managing their personal finances," said Cindy Ballard, PULSE executive vice president... R) ATM/debit network, provides recommendations to help protect consumers' personal finances when using debit cards, including tips for fraud and identity ... experts, offering advice on planning and budgeting, as well as personal finance recommendations.

* Personal finance 2.0: A wealth of new Web apps
Green Sherpa's Sharing features make it one of the first personal finance apps where you can chat with someone--a spouse, a CPA, or a financial planner--while both of you view your financial data... ITworld staff Personal finance 2.0: A wealth of new Web apps.

* Finding Hope For Homeowners
But before signing up, there are some costs to consider. Our personal finance contributor breaks down the basics of the program for Madeleine Brand... Michelle Singletary is a personal finance contributor for Day to Day and also writes the syndicated column "The Color of Money" for The Washington Post. She is the author of Spend Well, Live Rich.

* How to be money-smart in tough times - from MoneySense magazine
Attention Business/Personal Finance Editors... About MoneySense: MoneySense is Canada's personal finance and lifestyle magazine... MoneySense.ca is Canada's best all-around personal finance Web site.

* Personal Finance: Talking economy with your kids
Personal Finance: Talking economy with your kids.

* The week's 10 best Personal Finance stories: Oct. 20-24
In case you missed them, here are the top 10 Personal Finance stories from MarketWatch for the week of Oct... The week's 10 best Personal Finance stories: Oct.

Exchange-Traded Funds News

* Small-Cap ETFs Show Mettle By Comparison
The small-cap exchange traded fund (ETF) as an asset class has had a successful decade ... – Micro-cap stocks and exchange traded funds (ETFs) have been struggling along with just about every other ... up cheap relative to their small-cap counterparts, giving related exchange traded funds (ETFs) a chance for growth when the markets recover ...

* Buy-and-Hold ETF Strategy Gets Burned
The recent market and exchange traded fund (ETF) turmoil has investors and advisors alike rethinking the “buy-and ... 3, 2008 – A recent report reveals that exchange traded funds (ETFs) are indeed a threat to mutual funds. Cerulli Associates' research found that advisors are interested in ETFs for their... – It is no secret that exchange traded funds (ETFs) are catching on in the investment world, especially for their ...

* Trading in Key ETFs
Of the 200+ ETFs that we track in our daily ETF Trends report, only 7 are currently trading above their 50 ... About 60% of the ETFs are trading more than 25% below their 50-days. The steel ETF ( SLX ) is trading the furthest below at a whopping -52% ... Bespoke Investment Group Trading in Key ETFs.

* There Are Resources for ETF Investors, But Trends Aren’t There Now
When it comes to investing, whether it’s exchange traded funds (ETFs), stocks or something else entirely, it’s not pretty out there... of both real and overstated demand, says Gary Gordon for ETF Expert... thinking was that emerging market economies and exchange traded funds (ETFs) were insulated from the U.S.

* No Fun For Exchange-Traded Funds
Exchange-traded funds with holdings in emerging markets and those strongly tied to ... The Powershares DB Crude (nyse: DXO - news - people ) exchange-traded fund was one of the morning's sharpest decliners, down as much ... heavily weighted with Asian holdings were another weak spot among exchange-traded funds... Melinda Peer No Fun For Exchange-Traded Funds.

* Stay On Top of the Latest Trends With Our New ETF Analyzer!
... asking for more tools to analyze your exchange traded funds (ETFs) here at ETF Trends, and we’re pleased to announce that we’re giving them ... Have a look at our brand-new ETF Analyzer , for starters... we have recently added a customized quote search for all ETFs that can be found on the right hand side of ...

* ETF Update: Saner Investing With ETFs, Tax Surprises, Alt Energy Troubles, Regional Bank ETF Changes
... the norm with the advent of the mutual fund and ETFs. While some stocks might outperform an ETF, you didn’t know this would be the case when you ... It can be a tough call, and ETFs take the difficulty in choosing out of the equation... Tom Lydon ETF Update: Saner Investing With ETFs, Tax Surprises, Alt Energy Troubles, Regional Bank ETF Changes ...

* General Growth Falls 25% As Investors Worry
Exchange-Traded Fund. In the wide and varied family of the thousands and thousands of funds out there, the exchange-traded fund is one of the more consumer-friendly ones. Unlike mutual funds, exchange-traded funds, or ETFs, behave more like stocks.

Mutual Funds News Update

* Fink: It's 'not a problem with mutual funds, it's a problem with the stock market'
... the Investment Company Institute and author of "The Rise of Mutual Funds: An Insider's View," says that investors may be blaming mutual funds for their current declines, when the real blame belongs on ... Mutual funds have characteristics that make them the best way to participate ... Fink: It's 'not a problem with mutual funds, it's a problem with the stock market.

* Investors Are Selling Their Mutual Funds at Record Speed
Investors have been selling their mutual funds in record numbers... Market Intelligence data, a net amount of $49 billion left mutual funds in September alone... half of this month and only the portion of the mutual fund universe that has reported asset figures to us, we believe ... If you're a mutual fund manager in this position, you have to sell more than ...

* Mutual Funds Can Have Tax Shocker; ETFs Don’t
Both mutual funds and exchange traded funds (ETFs) have taken their licks in the downturn, but mutual funds are about to start adding insult to investor injury ... Mutual funds generally pay net capital gains to investors at the end ... There have been so many redemptions in mutual funds that managers are finding themselves digging into their low cost ...

* WSJ to Mutual Fund Shareholders: Sell Now!
mutual fund down 33% for the year and large capital gains distributions ... looming in December, today's Wall Street Journal urges those owning mutual fund in non-retirement accounts to sell in order to be ... Moreover, anyone thinking of bottom-fishing and buying mutual fund shares in a taxable account should wait until after the ... Listed below are links to weblogs that reference WSJ to Mutual Fund Shareholders: Sell Now.

* Rise of mutual funds predicted by Strategic Insight
Mutual funds will increase in popularity as a result of the financial ... financial crisis is an opportunity for the many benefits of mutual funds – including transparency, liquidity and diversification - to become even more accepted ... He added: "Uncertainty will only make mutual funds look better relative to derivatives-based structured products , hedge funds ... Rise of mutual funds predicted by Strategic Insight.

* Mutual funds wary of debt instruments
21: The investments by the Indian Mutual Funds in debt decreased to Rs 6,416 crore in September ... A predominant portion of the fixed income portfolio of the mutual fund industry is still invested in the high quality assets, he ... While speaking about the mutual funds’ investments in equities, Mr Sitaraman said that the Indian mutual funds had adhered to the basic principle of buying at low ...

* Mutual Fund Sales Loads: Just Say No
In my opinion, mutual fund sales charges are one of the biggest ripoffs in the ... you can essentially get for free from a no-load mutual fund family... I ran across a list of the twenty largest stock mutual funds in the most recent issue of Kiplinger’s and learned that ...

* Fed to Lend Up to $540B to Help Money Market Mutual Funds
... program today that acts as a backstop to money market mutual funds... recent weeks, investors have been pulling money out of those mutual funds, which are normally viewed as nearly as safe as cash ... to buy up that short-term debt from money market mutual funds... to shore up that market, most notably accepting asset-backed mutual funds in exchange for short-term lending.

* Mutual Funds: Flexibility Counts Now
During the 1990s bull market, the prize for the most outstanding mutual fund might have gone to Vanguard 500 Index Fund... twocents@thestreet.com (Stan Luxenberg) Mutual Funds: Flexibility Counts Now.

* Dump Losing Mutual Funds Soon To Avoid a Big Tax Bite
... If you were looking for another reason to dump a mutual fund this year, you might find it in your fund company ... Mutual funds are "pass-through entities," meaning that tax liabilities incurred holding ... to, say, one penny for every outstanding share in the mutual fund, it will increase the fund's share price by one cent ...

* Money Goes to ETFs While Mutual Funds Hemorrhage
But stock mutual fund investors have been pulling out record amounts of money... The mutual fund industry is facing a new challenge as exchange traded funds ... exchange traded funds (ETFs) may not take the place of mutual funds anytime soon, they've proven themselves a force to be reckoned ...

* Don't Bail On Mutual Funds Now As Market Rallies In Aging Bear
In an age-old dance, panicking mutual fund investors are pulling out just as evidence is mounting that ... Shareholders yanked a net $104.4 billion from stock and bond mutual funds in September, according to Lipper Inc... Instead, staying with a mutual fund lets you benefit from dollar-cost averaging... chief executive of the Vanguard Group, and dean of the mutual fund industry.

* Trim Tabs: Just Kidding, Blame Mutual Fund Redemptions
... which tracks money flowing in and out of hedge funds, mutual funds and exchange-traded funds... We noted mutual fund redemption numbers last week as cited by Morningstar, and now ... Mutual funds have been getting roughly $5 billion a day in redemptions ... That may be because mutual fund managers are getting a summary of redemptions each afternoon and ...

Personal Finance

* Economy Hits Personal Finances, Too
While you're caught up in watching the stock market ricochet or worrying about the current market value of your home, don't forget the mundane matters of your personal finances...

* Kiplinger To Produce Short Financial TV Segments
Well-known personal finance publisher Kiplinger is looking to jump aboard the TV "pod ... Kiplinger intends to sell the personal-finance vignettes in packages of four, each covering a separate topic ... began as a publishing company in 1923, had distributed similar personal-finance-tip pieces to local stations for their newscasts in the ...

* Coping With The Latest Financial Struggles
Is it sensible to keep a home as an investment. Our personal finance contributor answers listener questions about the current economic situation... Michelle Singletary is a personal finance contributor for Day to Day and also writes the syndicated column "The Color of Money" for The Washington Post. She is the author of Spend Well, Live Rich.

* S&P Sees More Dividend Cuts For Blue Chips
Markets. Personal Finance... Personal Finance - Investing - Financial News - Business News - Stock Market Quotes & News - Small Business.

* Personal Finance: Tweet What You Spend Tracks Size of Hole in Your Pocket
The updates are cataloged on a spending journal, and you can download the information as a spreadsheet so that you can import it into another personal finance application...

Index and Mutual Funds News

* Welcome to the new world of Lazy Portfolios, online all the time
I soon discovered something truly remarkable: They were all saying the exact same thing: All you need is a simple, well-diversified portfolio of just three to 11 funds, low-cost, no-load index funds that will create a long-term winner through bull and bear markets. And you do it with no market timing, no active trading and no ...

* Using History to Plan Near-Term Investing
Unlike 1929, there is no shortage of inverse index funds and ETFs to invest in. How future restrictions (if any) on short selling affects these remains to be seen, but when the relief bounce plays out it will be time to take a look at some of these trading vehicles as insurance against a decline in your stock portfolio, or ...

* Asset Allocation and ETFs: Pimco's El-Arian in 2008
is a web log ("blog") that makes the world of ETFs easier to understand. Pacific Park Financial, Inc. a Registered Investment Advisor with the SEC, may hold positions in the ETFs, mutual funds and/or index funds mentioned above. Investors who are interested in money management services may visit the. Pacific Park Financial, Inc.

* The Finest Investment Vehicle Ever Designed
... assume that you should invest in a low-cost index tracker such as Vanguard 500 Index , remember that with index funds, the most you can realistically expect is to underperform the market each year by about the amount of your ... While index funds certainly have their place (just ask Jack Bogle.

* 16 Good Funds With Rock-Bottom Fees
But that approach would've left us with a table of index funds from Fidelity and Vanguard... Fidelity and Vanguard have always competed vigorously over who can charge lower fees in some of their index funds. And we would avoid any firm that appears to be lowering fees in a blatant attempt to attract assets.

* Where you should put your money now: 10 options, starting with the safest
There are a number of exchange-traded funds (ETFs) and index funds that have very low expenses and do an excellent job ... The Vanguard Total Bond Market Index Fund ( VBMFX ) is a good option for those seeking an index fund ... charge over 300% more for their funds than ETFs and index funds.

Exchange-Traded Funds News

* ETF Investors Feel Fright About Economy
Glum retail numbers this morning sent the markets and exchange traded funds (ETFs) into a tailspin, leading to the Dow Jones Industrial ... implications are going to be for the broader markets and exchange traded funds (ETFs... rate cut, but so far, recession fears still rule over exchange traded funds (ETFs.

* Fun With Inverse ETFs
One of the reasons why ETF trading is so popular is that ETF trading removes what is called "corporate risk," or the possibility ... Another plus for many ETF traders is that ETFs tend to be less volatile than individual stocks ... In most respects, ETFs behave like stocks, and they have Short Term PowerRatings that can clue us in on when these ETFs are oversold and potentially attractive as buying candidates ...

* REIT ETFs Under Pressure
... and leave behind vacant office complexes across the country, REIT exchange traded funds (ETFs) feel the emptiness... 9, 2008 – Northern Trust is launching the first Japanese REIT exchange traded fund (ETF) to be based upon the Tokyo Stock Exchange REIT ... September 16, 2008 – The financial crisis has hurt the sector's exchange traded funds (ETFs), but there's another victim: the New York City REIT ...

* You Can't Trust Bond ETFs for the Time Being
In the ETFs, the underlying index is not necessarily (I would say certainly ... cases) reflecting the actual price of the underlying, and the ETF is effectively serving as the price discovery mechanism for essentially ... In the case of these bond ETFs, my suspicion is that the ETF is actually closer to the actual NAV (whatever that is ...

* Can You Trust 'Junk'-Bond ETFs?
... recent article paints an ugly picture of how fixed-income ETFs are functioning right now... fixed-income space, which is a huge story: Fixed-income ETFs are trading at wild variance with their underlying indexes... Consider the three junk bond ETFs: the iShares iBoxx $ High Yield Corporate Bond (AMEX: HYG ), SPDR Lehman High Yield Bond ETF (AMEX: JNK ) and PowerShares High Yield Corporate Bond Portfolio (AMEX ...

Funds, ETFs News Roundup

An ETF Strategy Can Save You From Market Slapshots
History repeats itself, even when it comes to exchange traded funds(ETFs). There’s plenty to be learned from this bear market. The common tendency for most investors is 100% equities, and the potential just isn’t there, ...

Mutual Funds In Buying To Compared Outflow - Oct 14, 2008
Mutual funds (MFs) purchased shares worth a net Rs 315.20 crore on Friday, 10 September 2008 as compared to their outflow of Rs 118.50 crore on Wednesday, 8 October 2008. MFs' net inflow of Rs 315.20 crore on 10 October 2008 was a ...

Comment on ETFs Vs Index Funds by Metasure
I think index funds and ETFs are a waste. You can construct your own index and save heaps of cash in savings because you don’t pay management fees. Brokerage fees amortized over the long run give costs that are virtually zero. ...

Future of Mutual Funds
Mutual funds taking a hit amid the volatility, with Ivory Johnson, Scarborough Group; William Jordan, Sentinel Capital Management; and CNBC's Melissa Lee.

Good Big Company Funds
I set up this fund screen at Mutual Fund Investor's Center to look for mutual funds that invest in large companies, have no load or sales charge, a minimum investment of $5000 or less, average risk, low management fees and are rated ...

Tom Lydon on Gaining An Edge With ETFs
“iMoney” author Tom Lydon discusses the use of exchange traded funds(ETFs) in this volatile market to quickly access different asset classes. Lydon also addresses what’s ahead for ETFs in the future, including actively managed funds, ...

Feds May Ease 401k Rules, But Not Help Many Fund Investors
Republican presidential candidate John McCain came up with a proposal Friday aimed at helping retirees cope with the market crash. He wants to suspend rules that force seniors to take...

Why Your Mutual Fund Is Safe Even if the Management Firm Fails
Q Are mutual funds covered by SIPC? ANo, mutual funds generally aren't covered by the Securities Investor Protection Corp. unless they are held in a brokerage account. But don't panic: The funds are subject to strict …

Fifteen of the largest money-market mutual fund companies, which ...
Funds Turn To Treasury Guaranty Money-Market Managers Seek to Boost Confidence By Annys Shin Washington Post Staff Writer Sunday, October 12, 2008; F01 Fifteen of the largest money-market mutual fund companies, which together account ...

Seven New ETF Opportunities (TEVA, rated BUY)
The accompanying tables present an overview of new global equity indexes and ETF proposals I have developed to provide investors with access to six industry groups and one geographic region that currently have no investment products on ...

News - Dividend and Exchange Traded Fund Stocks
(Reuters) - Government-owned wealth funds and the countries that accept their investments agreed on Saturday to a set of principles aimed at ensuring that both sides play by the rules. ...

How Mutual Fund Assets Are Protected
There are several safeguards to insure your money is safe if a fund-management company goes bankrupt.

Not All ETF Products Are Created Alike
When commodity exchange traded funds (ETFs) were on a bull run this summer, London-based ETF Securities was right there with its line of funds aimed squarely at the sector. The provider, which actually runs products known as exchange . ...

Four Mutual Fund Giants Join Guaranty Plan — NYTimes.com
I don’t quite know whether to think of this as good news or bad news. If Vanguard thinks this is a good idea, does that mean they anticipate future problems or that they just want to reassure its current customers? ...

Green Energy Mutual Funds, Renewable Power ETFs
A single firm's shares may be down because the company is in serious trouble and the stock is on its way to zero, but green energy mutual funds and clean power exchange traded funds (ETFs) are down because of market and sector ...

Personal Finance

* The Pitfalls of Financial Writers' Advice
... turmoil has prompted people to spend more time on their personal finances... Some read personal finance columns, while others follow Web sites or blogs... While personal finance reporters are certainly not writing with the intent to give ... inappropriate information, the problem is that nobody who writes about personal finance will be 100% correct when it comes to each individual ...

* Forbes.com Plays Financial Adviser With New Content Section
Forbes.com has launched a new content section within its Personal Finance channel aimed at financial advisers and big money investors. The new Financial Adviser Network (not to be confused with the various multisite ad networks Forbes has launched recently) will feature a mix of news, analysis and commentary centered around amassing and building wealth.

* '8 out of 10 Americans stressed by financial crisis'
... lying awake at night, feeling angry or stressed about their personal finances and the battered economy, according to a nationwide annual survey ... as 80 per cent of Americans are stressed about their personal finances and the economy. Top sources of stress in previous years were personal finances, work and issues related to raising children, said Katherine Nordal ...

* 10 solutions to a personal credit crisis
But what kind of first aid is there for your personal finances... A good guideline for consumers is their ratio of debt-to-income, suggests Eric Tyson, author of "Personal Finance for Dummies." Debt should account for less than 20% of annual income, including car loans and credit cards, Tyson ...

* Bailout Plan Not Likely to Solve Financial Woes for Average Americans
Personal finance experts Ken and Daria Dolan address questions on how government ... mean our country's financial problems are anywhere near over, warn personal finance experts... http://www.dolans.com offers expert practical advice on every personal finance matter imaginable including debt management , taxes and estate planning... a weekly CNN television show and authored five books on personal finance topics.

* What's the best software for keeping track of your personal finances?
What's the best software for keeping track of your personal finances... for me because I am a comically inept manager of my personal finances... spirit of social-media applications like MySpace and Digg to your personal finances... Mason Currey What's the best software for keeping track of your personal finances.

* 4 Tips: Smart Money Moves for a Down Economy (Consumer Action: Personal Finance) at SmartMoney.com
4 Tips: Smart Money Moves for a Down Economy (Consumer Action: Personal Finance) at SmartMoney.com.

Exchange-Traded Funds News

* Asset Managers, Like Investors, Turn to Safe Haven ETFs
Asset managers that deal heavily in exchange traded funds (ETFs) are taking defensive stances on the current market and buying ... Do municipal bond exchange traded funds (ETFs) have a place within your portfolio. Fund companies have been churning out these new types of ETFs over the past year, and if you.

* Investors Trade ETFs More Heavily In Europe, Asia
ETF turnover in European stock ETFs rose by 29.3% last week on average daily turnover of ... In terms market share across Europe of ETF trading, the Deutsche Borse continues to lead with 32.8% ETF market share, with the London Stock Exchange and Italian Exchange together representing 20.8% of the ETF market, according to Deutsche Bank research ...

* September ETF Performance Report
... the most volatile months and quarters for exchange traded funds (ETFS) in stock market history... Click here to see our ETF performance report to see how different asset classes, sectors and ... losses in one month for precious metals exchange traded funds (ETFs) is yet another example of how jumping into hot markets ...

* ETF Update:Bailout Implications
... few featured sectors and plenty of hedging via the inverse ETF's-- PSQ, SH, and DOG... model will change ratings to a "buy" on key market ETF... Our weekly ETF Update is designed to assist both investors and traders interested in ETF's and Sector Rotation ... check out the entire article, the key point is that ETF's pose challenges and opportunities different from investment in individual stocks.

* Good News for Bear Markets, ETFs In Volatility Index
... by indicators to tell us that our exchange traded fund (ETF) and economic troubles are nearing a close, one offers a ... Yes, the China focused exchange traded funds (ETFs) are way down year-to-date, but some caution to ... scale as ad revenue drops, leaving media exchange traded funds (ETFs) vulnerable.

* International ETFs Plummet
One of the best aggregate measures of global equity returns is Vanguard Total World Stock Index ETF... Vanguard Emerging Markets ETF... dropped 14.5%, and Market Vectors Russia ETF... Each issue includes recommendations for commonsense ETF investing. International ETFs Plummet.

* Funds Scramble to Deliver Transparency ETFs Offer
... own need to look no further than exchange traded funds (ETFs), something that has become increasingly apparent... This is one reason we love ETFs and believe they’re superior to mutual funds: if you want ... ETFs have no need to step up their disclosure, as they ... When it comes to exchange traded fund (ETF) investing, transparency is often touted as an advantage.

* Eight ETFs To Preserve Your Wealth
Below are 8 ETFs traders should consider looking into to prepare for an inflationary depression: Foreign Bond ETFs ... There are a number of foreign bond ETFs -- FAX, FAM, EDF, among others -- are also appealing to many ... gold's status as a safe haven that preserves value, this ETF can help hedge against dollar devaluation.

* Federal Rescue Is Just the Beginning for Financial ETFs
... salve to soothe volatile markets and hurting exchange traded funds (ETFs) cleared a hurdle this weekend... WM), a major holding in several financial exchange traded funds (ETFs), has just joined the casualty list... Financial exchange traded funds (ETFs) and Wall Street in general don't look like they'll be ...

* ETF Investors Need To Buckle Up And Hang On
... market’s meltdown has stock, mutual fund and exchange traded fund (ETF) investors wondering where to go... For a detailed explanation of our trend-following plan for ETFs, read our special report on the subject... it's time to let go of their exchange traded funds (ETFs... Exchange traded funds (ETFs) are touted for their transparency, but does transparency matter when ...