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Dec 3, 2010

What did you do in the ETF war, daddy?

BOSTON, Dec 3 (Reuters) – Gus Sauter, Vanguard Group’s
chief investment officer, vividly recalls the first time he
proposed exchange-traded funds to his boss.

“That’s the dumbest idea you’ve ever had,” then-CEO Jack
Brennan told him after a five minute discussion back in 1998.

Dec 3, 2010

Special Report: What did you do in the ETF war, daddy?

BOSTON (Reuters) – Gus Sauter, Vanguard Group’s chief investment officer, vividly recalls the first time he proposed exchange-traded funds to his boss.

“That’s the dumbest idea you’ve ever had,” then-CEO Jack Brennan told him after a five minute discussion back in 1998.

Nov 18, 2010

Retail investors exit munis, accelerating decline

BOSTON (Reuters) – Fund investors abandoned the tax-exempt bond market for the first time since April over the past week, increasing pressure on municipal bond prices amid a host of other problems.

Mutual fund investors withdrew a net $115 million from tax-exempt funds last week, according to the most recent data from the Investment Company Institute. That marked the first week of net withdrawals since the week ended April 14, the fund industry trade group said.

Nov 15, 2010

More top hedge fund managers piling into gold

BOSTON, Nov 15 (Reuters) – Even as gold was approaching
record highs during the third quarter, more of the best-known
hedge fund managers were placing bets on the precious metal.

Former Goldman Sachs trader Chris Shumway’s fund added 2.1
million shares of the SPDR Gold Trust (GLD.P: Quote, Profile, Research, Stock Buzz) and Dan Loeb’s
Third Point LLC bought 115,000 shares during the third quarter,
according to securities filings on Monday. Highfields Capital
added call options on 1.6 million shares of the gold ETF and
calls on 200,000 shares of the Market Vectors Gold Miners ETF
(GDX.P: Quote, Profile, Research, Stock Buzz)

Nov 11, 2010

Investors develop taste for exotic, far-flung ETFs

BOSTON (Reuters) – Inflation-wary investors worried about low returns in basic U.S. fixed-income and equity funds are flocking to some of the newest highly specialized exchange traded funds focused on exotic locations and products.

Investors are piling into new ETFs focused on precious metals, Indonesian stocks and global companies active in lithium mining, according to data compiled by Lipper, a unit of Thomson Reuters. Yield-hungry investors also favor new ETFs focused on master limited partnerships, emerging market debt and closed-end funds.

Nov 10, 2010

Analysis: Investors develop taste for exotic, far-flung ETFs

BOSTON (Reuters) – Inflation-wary investors worried about low returns in basic U.S. fixed-income and equity funds are flocking to some of the newest highly specialized exchange traded funds focused on exotic locations and products.

Investors are piling into new ETFs focused on precious metals, Indonesian stocks and global companies active in lithium mining, according to data compiled by Lipper, a unit of Thomson Reuters. Yield-hungry investors also favor new ETFs focused on master limited partnerships, emerging market debt and closed-end funds.

Oct 28, 2010

Auer sees cheap growth in semiconductors, miners

BOSTON (Reuters) – Robert Auer, manager of the Auer Growth Fund, scours the market for overlooked and unheralded companies that are reporting rapidly rising sales and profits.

He will not buy a company unless it has reported earnings growth of at least 25 percent and revenue growth of 20 percent in the most recent quarter. And he will not buy any company with a price-to-earnings ratio above 12, though he is willing to consider 12-month forward P/E ratios.

Oct 25, 2010

Invesco acquisition starts to pay off in 3rd quarter

BOSTON (Reuters) – Money manager Invesco Ltd (IVZ.N: Quote, Profile, Research, Stock Buzz) said its acquisition of Morgan Stanley’s retail fund business bolstered third-quarter sales and aided a 47 percent jump in profit.

Marking Invesco’s first full quarter since the acquisition closed in June, Chief Executive Martin Flanagan said integration of the unit with $115 billion under management was nearly complete. The only significant task remaining is closing and merging some redundant funds in coming months, he said.

Oct 7, 2010

Analysis: AQR seeks smaller investors

BOSTON (Reuters) – Quant money manager AQR Capital Management, the $29 billion firm best known for its algorithm-based investing strategies, is jumping into the highly competitive personal retirement savings arena.

Mutual fund companies’ popular target date funds, which typically offer a simple mix of assets for retirement savings, performed poorly in the 2008 financial crisis, opening the door for more sophisticated approaches.

Oct 6, 2010

Analysis-Quant firm AQR looking for retail investors

BOSTON, Oct 6 (Reuters) – Quant money manager AQR Capital
Management, the $29 billion firm best known for its
computer-driven trading strategies, is jumping into the highly
competitive personal retirement savings arena.

Mutual fund companies’ popular target date funds, which
typically offer a simple mix of assets for retirement savings,
performed poorly in the 2008 financial crisis, opening the door
for more sophisticated approaches.

    • About Aaron

      "Boston-based reporter covering investment management and investing. Previously worked at Businessweek in Boston and at The Industry Standard and Reuters in Washington, D.C."
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