Stevens Outlines Realistic Reform Agenda for Retirement System
Most of the millions of American workers who invest for retirement through a 401(k) plan are staying the course through tumultuous markets and want to preserve the fundamental strengths of this retirement plan, according to new research released today by the Investment Company Institute. “Workers want to keep the basic strengths of 401(k)s—tax-favored savings, individual choice in investing, and personal control of these retirement assets,” Paul Schott Stevens, ICI President and CEO, told the Newsmakers forum at the National Press Club in Washington, DC. “Can 401(k) do even better? Yes.” (View Video)
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ICI, the Investment Management Association in the United Kingdom, and the Investment and Financial Services Association in Australia issued a statement urging prudent regulatory oversight of short selling. While regulators need trading information to thwart market manipulation, the three fund groups recommend keeping short sale information confidential. Public disclosure could increase selling, facilitate front running of a fund's positions, and reduce incentives for proprietary research. American savers held $16.9 trillion in retirement assets at the end of the second quarter of 2008, unchanged from the first quarter, according to ICI's quarterly update. Retirement assets accounted for nearly 36 percent of all household financial assets in the United States. IRAs held $4.5 trillion of retirement assets; another $4.3 trillion was held in employer-sponsored defined contribution plans, of which $2.9 trillion was held in 401(k) plans. Most of the millions of American workers who invest for retirement through a 401(k) plan are staying the course through tumultuous markets and want to preserve the fundamental strengths of this retirement plan, according to new research released today by the Investment Company Institute. More than 7 percent of 401(k) assets at year-end 2007 were invested in lifecycle funds and one-quarter of 401(k) participants held lifecycle funds, according to an analysis of these kinds of investments by ICI and EBRI. The findings are part of the annual update of the EBRI/ICI 401(k) database, measuring 401(k) plan asset allocation, account balances, and loan activity over time. This year, for the first time, ICI and EBRI also are reporting on lifecycle funds. ICI President and CEO Paul Schott Stevens issued the following statement in response to President-elect Obama's announcement that he will nominate Mary Schapiro to lead the Securities and Exchange Commission next year: "We applaud the decision to nominate Mary Schapiro to chair the Securities and Exchange Commission." The Investment Company Institute said today that it is committed to working with its member firms to implement new rules adopted by the U.S. Securities and Exchange Commission requiring mutual funds and exchange-traded funds to use computer data tagging for key information in their fund prospectuses. Other recent developments 
This brochure outlines the options available for investing in 529 savings plans. This brochure summarizes exchange-traded funds (ETFs) and explains how they differ from index mutual funds. This brochure reviews the types of closed-end funds and their operations. This brochure discusses how UITs operate, and provides a general overview of the different types of UITs. More about investing
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On October 21, the Federal Reserve Board created the Money Market Investor Funding Facility to support a private-sector initiative to provide liquidity to U.S. money markets. The MMIFF and the initiative are designed to help restore active trading in the money markets, which are vital to financing American businesses. Here are questions and answers about the program. ICI's updated background information on money market funds takes a closer look at the credit enhancements, such as bond insurance, that securities issuers employ to maintain a security's eligibility to be held in a money market fund. On September 29, the U.S. Treasury Department opened its Temporary Guarantee Program for Money Market Funds. Here are questions and answers about the program. More questions and answers 
U.S. household ownership of mutual funds and other U.S.-registered investment companies increased slightly in 2008 to 45.6 percent, representing approximately 53 million U.S. households. Mutual funds continued to be the most common type of investment company owned, with more than 52 million U.S. households holding mutual funds in 2008. American savers held $16.9 trillion in retirement assets at the end of the second quarter of 2008, unchanged from the first quarter, according to ICI's quarterly update. Retirement assets accounted for nearly 36 percent of all household financial assets in the United States. IRAs held $4.5 trillion of retirement assets; another $4.3 trillion was held in employer-sponsored defined contribution plans, of which $2.9 trillion was held in 401(k) plans. More ICI research 
The combined assets of the nation's mutual funds decreased by $261.65 billion, or 2.7 percent, to $9.355 trillion in November. Unit investment trusts, investment companies that hold fixed portfolios of selected stocks or bonds, had total deposits of $944 million in November. Total money market mutual fund assets increased by $21.81 billion to $3.830 trillion for the week ended Tuesday, December 30, the Investment Company Institute reported. More ICI statistics 
The past 12 months have been an eventful and difficult period for financial markets around the world. The U.S. fund industry and ICI have been deeply involved in the search for measures to stabilize markets and minimize the damage to the economy and to the 90 million shareholders we serve. The 2008 Annual Report to Members is a record of the Institute's efforts and results across the full spectrum of fund issues. More ICI viewpoints
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