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 |
|
Monday, September 18, 2000 September 18, 2000 Nicholas Applegate Price Reaches $2 Billion From Wall Street Journal Bidding for fund manager Nicholas Applegate has pushed the price tag for the firm and its $45 billion in assets to $2.0 billion from $1.5 billion, according to reports. The winner is expected to emerge in the next two weeks. The latest reports suggest that Allianz AG is not the high bidder. Reported, but uncomfirmed bidders include: American International Group; John Nuveen; and First Union Corp. Allianz is thought to be interested in selling Nicholas Applegate funds through Pimco's distribution network. Chase & JP Morgan Have a Struggle Ahead From Barron's Barron's calls the merger of Chase Manhattan and J.P. Morgan a situation of managers needing to make a minus and a minus a plus. It claims both firms' fund divisions offer "lackluster returns and ho-hum product lineups." Both, it points out, are biggest in "low-margin money-market funds." Of $80 billion in combined assets only $22 billion are in stock and bond funds. "It's way too early to talk about specifics in terms of the plan," said George Gatch, head of J.P. Morgan's mutual-fund business. "When you look across the product capability of J.P. Morgan and Chase, you see a very broad and deep mutual-fund product offering," Gatch added. "The product capabilities are very complementary." The paper also speculates on other possible sales of fund companies. It's Munder v. Munder From Wall Street Journal Munder is battling with Munder over Net stock investing. The paper details the rivalry between Comerica-owned Munder Capital Management (Birmingham, Michigan) and Lee Munder's new firm Lee Munder Capital Group (Palm Beach, Florida and Boston). It seems that Lee Munder is seeking credit for the track record of the Munder NetNet Fund. His firm has run ads proclaiming "you've got more than the name, you've got the original." Munder Capital says he effectively left day-to-day management in early 1998, when the fund had just $6 million in assets. Folios Pros and Cons From Detroit News and Seattle Times Two more articles appearing this week provide an overview of "folios". In the Detroit News the paper says that these products "merge the convenience of a mutual fund with the control of owning individual stocks." It also provides one caveats: for investors with small accounts ($30,000 or less) these products are too expensive. Meanwhile, the Seattle Times points to funds advantage of "professional management and diversification at a reasonable cost." It points to the advantages of control over the tax bill but pegs the size of a portfolio needed to efficiently use the service at $15,000. Printed from: MFWire.com/story.asp?s=25902 Copyright 2000, InvestmentWires, Inc. All Rights Reserved |