JANUS INTERNATIONAL CEO QUITS (mutuals fraud)

NY POST ^

[Liz]

Janus Capital Group said Richard Garland, CEO of its international business, resigned amid allegations that the Denver-based money manager was involved in improper mutual fund trading.

Garland, 42, was named in New York Attorney General Eliot Spitzer's complaint on Sept. 3 that initiated the biggest investigation of the mutual fund industry.

[Liz]

Mutual funds trading fraud.

[Fledermaus]

Dang it...I put much of my portfolio into Janus and Fidelity. Any word on Fidelity?

I say we extend the death penalty to financial fraud befor we start burying our money in jars in the backyard again.

[The Duke]

While watching a special on the history of the guillotine
the other day on the History Channel I noticed that, on a list of crimes that qualified one for the guillotine, financial fraud appeared prominently.

[Liz]

There's a buncha posts on Fidelity. Do a search.

[steve50]

I say we extend the death penalty to financial fraud befor we start burying our money in jars in the backyard again.

Ahh, they'll fine him a few bucks. What do you expect, a pound of flesh?

Best investment about now seems to be silver and a posthole digger.

[Grampa Dave]

Two things are missing from this report:

1. Are any of Soros's hedge funds behind these trades, and which hedge funds are behind these illegal activities.

2. How much has Janus had to redeem due to investors pulling out of Janus to invest elsewhere. Putnam lost between 12 and 14 billion in a few days last week. That helps to drive down the market with so many people cashing out.

If we had some conservative financial news center instead of Reuters, Bloomberg, CBS and CNBC, we would be reading about the reality of these stories.

[Conservativegreatgrandma]

I have money at Janus. Does this mean my money is at risk? Should I move it?

[Grampa Dave]

On the next couple of up swings in the market, you might want to switch. The good fund managers at Janus will be leaving or will have left.

The companies they invested in should be okay. Most of the so called fund managers invest in the top 10 companies in America like the rest of the so called fund managers in other companies. So we would have to have a big crash before these funds get hurt.

What I'm talking about is the overall impact that the massive sellouts have on the top stocks, large cap, mid cap and small cap. When people dump funds and the fund managers have to sell stock to pay those former fund owners, it becomes a down market and a buyers market.

[CGASMIA68]

btt

[Conservativegreatgrandma]

You sound knowledgeable. Do you think it's too lake for REITS or for instance, Vanguard Precious Metals?

My money in Janus is SEP.

We also have money in Federated K, which is up over 35% for the year. Too bad we don't have much there.

For the most part, I use Vanguard.

[groanup]

"Mutual funds trading fraud"

Tip of the iceberg? Remember the iceberg theorum?: 7/8's of anything cannot be seen.

[Grampa Dave]

My wife's 401 k was recentlly rolled over to VG's self directed 401k division.

They are a real PIA to deal with. Their Precious Metals is closed to new buyers.

Their inflation proof federal treasure notes have been doing good, that is VIPSX, I don't know the number of the fund.

If you have a 401k, you can buy funds from other companies with no load, where the managers have done well this year and in the past couple of years. If you are interested, I can Freepmail you a list of these funds so you can look them over.

Stay away from the government back mortgage funds, GNMA bond funds. That is the next pc group which will probably go down.

If you can buy stocks, a new exchange traded fund will be on the market in December which should be good for us retired types.

The fund will be an index fund of the top 50 companies with the top dividends. With GW's removal of part of the double taxation on stock dividends, those companies with good dividends are back in demand. This fund will make it easy for us.

[Conservativegreatgrandma]

Have some in VIPSX.

No 401K. Was self employed.

The thing you said that worries me is that you say to stay away from GNMA funds. The largest bulk of our money is in FNMA, FHLMC and GNMA. These are not in funds. We own the bonds.

Who will be having the new fund of which you speak?

[Grampa Dave]

Here is the other reason the stock markets are down around the world and in the US, the latest al Qaeda tapes:

http://www.freerepublic.com/focus/f-news/1023989/posts

Holiday Greetings From al Qaeda
Smartmoney.com ^ | 17 November 2003 | Igor Greenwald

http://www.freerepublic.com/focus/f-news/1023989/posts

[Grampa Dave]

I believe that it will be the S&P 500.

I have pinged Sierra Wasp to tell us who will market the new index fund with the top 50 companies re dividends.

When he wakes up, he will let us know.

Warren Buffet and I got out of those mortgage funds about two years ago this month. Buffet is a liberal who hates GW, but when got out the mortgage funds, that was reason for me to sell and get out.

[Grampa Dave]

I meant to say re the new index fund, I believe that it will be the S&P people not the S&P 500.

[ken5050]

FYI..check out the curent issue of Barron's..very negative on REITS, for good reason, I believe..

[ken5050]

The question of whether or not massive fund redemptions will hurt the overall market is an open one..however..more valid is the point that because fund managers, especially those in fund groups that have image problems..( ahem)..will be forced to keep much higher cash ratios..possible 10%..will hurt ongoing performance....thus triggering further redemptions.....Putnam is damaged goods...brokers are fickele..no one is selling Putnam now...you'd be crazy to do so, they say...it's inviting disaster..the funds will be sold..name changed...

[DoctorMichael]

The subtext to all this is (IMHO)..........If the pubbies REALLY want the public to take control of their retirement and either wean it off of government-control all together or allocate a portion of Social Security to be self-managed, they need to get a handle on this crap to restore the confidence of the public in investment 'vehicles'. Heads should roll, 'hard time' needs to be paid, not just these whimpy resignations accompanied by accumulated stock bennies.

JMHO.