Tim's Feed
Mar 25, 2015

Insight – Top U.S. CEOs reaped billions from stock gains in recent years, Reuters analysis shows

BOSTON (Reuters) – CEOs at large U.S. companies collectively realized at least $6 billion (4 billion pounds) more in compensation than initially estimated in annual disclosures in the five years after the financial crisis first hit, according to a Reuters analysis. The reason for the windfall: the soaring value of their stock awards.

About 300 CEOs who served throughout the 2009-2013 period at S&P 500 companies together realized about $22 billion in compensation in the form of pay, bonuses and share and option grants, or an average of $73 million each, figures provided by executive compensation data firm Equilar show.

Mar 25, 2015

Top U.S. CEOs reaped billions from stock gains in recent years, Reuters analysis shows

BOSTON (Reuters) – CEOs at large U.S. companies collectively realized at least $6 billion more in compensation than initially estimated in annual disclosures in the five years after the financial crisis first hit, according to a Reuters analysis. The reason for the windfall: the soaring value of their stock awards.

About 300 CEOs who served throughout the 2009-2013 period at S&P 500 companies together realized about $22 billion in compensation in the form of pay, bonuses and share and option grants, or an average of $73 million each, figures provided by executive compensation data firm Equilar show.

Mar 4, 2015

Insight – U.S. mutual funds cut expenses by shifting billions to trusts

BOSTON (Reuters) – Mutual fund companies, including No. 2 Fidelity Investments, have slashed fees on their most popular funds by shifting billions of dollars into collective trusts not regulated by the U.S. Securities and Exchange Commission.

The growing shift to collective trusts could prove a weapon for actively managed mutual funds losing out to low cost passive investment products such as the exchange-traded funds offered by rivals such as Vanguard Group, the biggest mutual fund company. For investors, one drawback is less transparency about the risks and performances of their holdings.

Mar 4, 2015

US mutual funds cut expenses by shifting billions to trusts

BOSTON, March 4 (Reuters) – Mutual fund companies, including
No. 2 Fidelity Investments, have slashed fees on their most
popular funds by shifting billions of dollars into collective
trusts not regulated by the U.S. Securities and Exchange
Commission.

The growing shift to collective trusts could prove a weapon
for actively managed mutual funds losing out to low cost passive
investment products such as the exchange-traded funds offered by
rivals such as Vanguard Group, the biggest mutual fund company.
For investors, one drawback is less transparency about the risks
and performances of their holdings.

Feb 14, 2015

Venezuela’s currency devaluation set to further hurt U.S. companies’ profits

BOSTON (Reuters) – A massive effective devaluation of Venezuela’s bolivar currency will likely badly dent 2015 earnings at a swath of major U.S. companies.

    The decision, announced late on Thursday, would almost wipe out the $7.1 billion of Venezuelan monetary assets currently held on the books of 10 large American companies. At the new exchange rate of about 170 bolivars to the dollar, the value of those assets would drop by 93 percent to just $421 million, according to a Reuters analysis of regulatory filings.

Feb 14, 2015

Analysis – Venezuela’s currency devaluation set to further hurt U.S. companies’ profits

BOSTON (Reuters) – A massive effective devaluation of Venezuela’s bolivar currency will likely badly dent 2015 earnings at a swath of major U.S. companies.

The decision, announced late on Thursday, would almost wipe out the $7.1 billion (5 billion pounds) of Venezuelan monetary assets currently held on the books of 10 large American companies. At the new exchange rate of about 170 bolivars to the dollar, the value of those assets would drop by 93 percent to just $421 million, according to a Reuters analysis of regulatory filings.

Feb 12, 2015

Fidelity 2014 profit surged, but equity outflows doubled

BOSTON, Feb 12 (Reuters) – Fidelity Investments said on
Thursday operating profit rose 29 percent to $3.4 billion in
2014 as growth in its financial services business and cost cuts
outweighed the effect of an exodus of funds from its equity
products.

The company said strong revenue growth and unit cost
reductions lifted profit over year-ago levels. Further details
about how it reined in expenses were not provided in the annual
report.

Feb 12, 2015

Insight – Hit hard in Venezuela, U.S. bond funds keep their nerve

BOSTON/CARACAS (Reuters) – Many U.S. bond funds hammered by an almost 30-percent decline in Venezuelan bond prices last year have kept big bets there, even as the South American country struggles with food shortages, runaway inflation and plunging oil revenue.

Though some portfolio managers including Pimco and Van Eck Global have pared their exposure in recent months, Venezuela remains among the largest positions for U.S. funds that focus on emerging market debt. Buttressing support for optimism is Venezuela’s reputation for paying its debts.

Feb 12, 2015

Hit hard in Venezuela, US bond funds keep their nerve

BOSTON/CARACAS, Feb 12 (Reuters) – Many U.S. bond funds
hammered by an almost 30-percent decline in Venezuelan bond
prices last year have kept big bets there, even as the South
American country struggles with food shortages, runaway
inflation and plunging oil revenue.

Though some portfolio managers including Pimco and Van Eck
Global have pared their exposure in recent months, Venezuela
remains among the largest positions for U.S. funds that focus on
emerging market debt. Buttressing support for optimism is
Venezuela’s reputation for paying its debts.

Feb 4, 2015

Templeton Global Bond Fund takes big hit from Ukraine holdings

Feb 4 (Reuters) – The Templeton Global Bond Fund,
one of the biggest investors in Ukraine bonds, weathered a 29
percent hit to the market value of its holdings in the worn-torn
country’s debt during the fourth quarter.

The market value of the fund’s Ukraine bonds fell to $1.8
billion at the end of December, down from $2.53 billion at the
end of the third quarter, according to the fund’s latest
holdings disclosure.