Unlike third-party funds, typical proprietary funds may not be transferable from one firm to another.
It says it will redeem investor money and transfer proprietary funds and the 250 employees back to its investment bank division.
Morgan Stanley's proprietary funds have the biggest market share among the five largest broking firms, according to Financial Research Corp, a Boston research firm.
For example, some companies might decide to charge lower fees on their proprietary funds as a means of building market share and keeping more money in-house.
Investors may purchase proprietary funds without appreciating portability restriction and the firms do not necessarily tell their clients that the assets of proprietary funds are not transferable.
Some providers offer a single, one-size-fits-all or model portfolio, while others offer some customization at the asset allocation level, implemented through a series of proprietary funds-of-funds or feeder funds.
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Proprietary funds can be priced differently than third-party funds.
In this scenario, there are no direct broker fees or commissions paid but the inherent conflict of interest is self-serving when offering research and recommendations on proprietary and non-proprietary funds where indirect and undisclosed revenue can be captured.
The results of this 2004 action were immediate and massive. 401k plans that had been receiving 50 to 100 basis points in revenue sharing from non-proprietary funds were cut to a maximum of 25 basis points for fixed income funds and a 35 basis point maximum for equity funds.
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As adviser to its own proprietary mutual funds and manager of individual client accounts, AFAM may purchase, sell or hold positions in the securities that appear in this presentation.
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As advisor to its own proprietary mutual funds and manager of individual client accounts, AFAM may purchase, sell or hold positions in the securities that appear in this presentation.
That is, even though these 401k plan record-keepers had negotiated contracts that allowed them to collect greater revenue sharing from non-proprietary mutual funds on behalf of 401k plan participants the record-keepers told the funds to keep the money.
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If other non-proprietary mutual funds agreed to rebate or discount half or more of their fees to 401k plans, plan sponsors (assuming they were aware of the availability of revenue sharing-which is often not the case) would demand that mutual funds affiliated with the record-keeper offer comparable discounts.
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Discount broker Charles Schwab announced this morning that it is cutting the annual expense ratio on six of its eight proprietary exchange traded funds.
Good size hedge funds and proprietary trading firms may be qualified participants.
ISE's system eliminates the fees that a market-maker would charge and doesn't place size limits on trade blocks, making it appealing to the growing number of hedge funds and proprietary trading desks that use computer algorithms to send orders through an exchange.
That would apply to owning hedge funds, owning private equity funds, and proprietary trading that is not for any client-related business.
Banks will no longer be allowed to own, invest, or sponsor hedge funds, private equity funds, or proprietary trading operations for their own profit, unrelated to serving their customers.
Unlike other financial reform that curb activities, the Volcker Rule prohibits federally insured banks from engaging in specific business lines: proprietary trading and investment in hedge funds and private equity funds.
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He said president Obama was not talking of a full-scale break-up of the banks but wanted to "separate retail deposit-taking from large-scale proprietary trading, large internal hedge funds and large internal private equity funds and I agree with him".
The rule would restrict banks from trading with their own capital, known as proprietary trading, and investing in hedge funds and private equity.
He provides proprietary research and analytical support to institutional funds, The Pew Charitable Trusts and high net worth clients of The Glenmede Trust Company.
The Ministry of Commerce in 2010 said India should consider raising the limit to 74% as it would encourage the transfer of proprietary technology to India, bring in funds and boost exports.
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The decline in proprietary investments would most likely lead to the same funds then being employed towards gradually reducing liabilities (debt), making the company leaner.
To limit future risk assumed by financial intermediaries, new regulatory reforms are imposing greater checks on proprietary investments, particularly in structured products, hedge funds and private equity funds.
Schwab Funds announced today that it has lowered fees for all of its 15 proprietary ETFs, continuing the price war in exchange traded products that has seen companies like Vanguard and BlackRock slash fees in 2012.
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As the Volcker Rule cuts down on proprietary trading at large investment banks, skilled traders are leaving and setting up their own alternative investment funds, and looking for the technology they need to trade and to report to their investors.
Banks established or acquired brokerage firms, launched their own mutual funds, invested in and backed hedge funds, sliced and diced mortgages into derivatives and sold them as investments, while diving into proprietary trading for their own accounts in a big and reckless way.
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