MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Wednesday, February 9, 2000 Odd Lots, February 9, 2000 Scudder shake-up From The Wall Street Journal Scudder Kemper plans to reduce the number of its directly sold funds from 77 to 43 in order to cut costs and give investors a more digestible menu of choices. The decision, which may be announced today, shows that fund companies are under pressure as an increasing number of investors are redeeming funds, either to spend the gains or to invest directly in stocks. The changes will impact about $35 billion in Scudder and AARP Funds, but won't affect Kemper funds, which are sold through intermediaries. In addition, 16 funds offered by Scudder in conjunction with AARP will be merged into Scudder funds or renamed with the Scudder label. Marcus resigns From Morningstar David Marcus has resigned from Franklin Mutual Advisors, and plans to launch his own hedge fund. Marcus was manager of the Mutual European fund and co-manager of the Discovery and Shares funds. Marcus' departure will hurt because his deep-value discipline and regional expertise led to impressive returns. But the loss will be eased because, first, some of his performance is attributable to the strength of the dollar against European currencies. Second, his replacements are a veteran crew -- Rob Friedman and Jae Chung will co-manage European, Chung and David Winters will run Discovery, and Larry Sondike will serve as lead manager for Shares. Franklin Biotechnology closes From Morningstar Franklin Templeton's Biotechnology Discovery fund has reached the $500 million mark. To celebrate, Franklin has closed the fund to new investors. The closure will allow manager Kurt Von Emster to maintain emphasis on smaller biotech names. The closure also indicates that new products and industry consolidation have renewed investor optimism in the sector. Your strategy is all wrong From The Boston Globe Bob Markman, a Minneapolis-based fund manager, is making waves with his new book, "Hazardous to Your Wealth: Extraordinary Popular Delusions and the Madness of Mutual Fund Experts," and in an article in the current Worth magazine (www.worth.com). The manager of Markman Multi-Funds flouts conventional wisdom, and argues that (1) diversification doesn't work, (2) value investing isn't worth your time and money, and (3) asset allocation should involve spreading your money through just three asset classes: large-cap growth, short-term bonds, and cash. Critics say that just because this strategy has worked for Markman recently, it's not for everybody all the time. Printed from: MFWire.com/story.asp?s=25335 Copyright 2000, InvestmentWires, Inc. All Rights Reserved |