MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
|
|
MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Friday, March 26, 2004 I-Bank Settlement Funds Put to Good Use Ever wonder where all of that money the SEC gets in settlements goes? Some of the funds it gather from Wall Street investment banks will be used to fund the Commission’s Investor Education Plan, which was approved recently by a U.S. District Judge in New York. The spending plan does not cover funds collected from mutual fund firms in the more recent scandals. The Investor Education Plan will be funded with money from the $1.4 billion global settlement concerning conflicts between investment banking activities and securities research at brokerage firms. Over five year, $52.5 million will go to a newly created non-profit, which will “equip Americans with the knowledge and skills necessary to make informed investment decisions,” according to an SEC press release. Charles D. Ellis, senior advisor and director of Greenwich Associates, the business strategy firm he founded in 1972, will be chairman of the board of the new organization. George G. Daly, Albert Fingerhut Professor of Business Administration at NYU’s Stern School of Business will be executive director. The organization will have a five to seven person board, which will evaluate grant proposals for programs to educate U.S. investors. It will be tax-exempt and able to accept additional funds from other sources. Printed from: MFWire.com/story.asp?s=6905 Copyright 2004, InvestmentWires, Inc. All Rights Reserved |