New Info for Investors 
WORK RETIREMENT PLANS: GATEWAY TO MUTUAL FUNDS? - Employer-sponsored retirement plans are increasingly the gateway to mutual fund ownership, according to a new report from the the Investment Company Institute. The report, "Characteristics of Mutual Fund Investors, 2007," also noted that nearly three-quarters of U.S. households list saving for retirement as their primary financial goal. Equity funds are the most popular type of fund, owned by four of five mutual fund-owning households ... INVESTING IN TURBULENT TIMES - Some investors are losing sleep at night as a result of ongoing market volatility and recession worries. The nonprofit Alliance for Investor Education (AIE) responded to those concerns by highlighting eight of the best Web-based resources for investing in uncertain times. The Alliance's new "Tips for Turbulent Times" is available now ... INVESTING TIPS ONLINE - MoneyTrack, the public television series funded by the Investor Protection Trust, has just announced it will now be reaching an additional online audience of 14 million a month through an agreement with MSN Money. MoneyTrack teaches viewers the basics of saving and investing by featuring real people's experiences as case studies and translating their lessons to the viewers through the guidance of its hosts and experts such as John Bogle, Ben Stein, Michelle Singletary, Jonathan Pond and even investing legend Warren Buffett ... MUNI BONDS 101 - The Investment Company Institute has provided detailed background information on municipal bonds ("muni bonds"), which are debt securities issued by state and local governments, or their authorized agencies, to borrow or raise money for public purposes such as building schools, highways, or hospitals. Municipal bonds are known as tax-exempt bonds. Because they offer tax-free income, municipal bonds generally have annual yields below those of corporate bonds or U.S. Treasury bonds ... PROTECTING BROKERAGE ACCOUNT ASSETS - In the wake of recent turbulence in the financial markets, the North American Securities Administrators Association (NASAA) today joined with the Securities Investor Protection Corporation (SIPC), which maintains a special reserve fund authorized by Congress to help investors at failed brokerage firms, to remind investors of the important and effective safeguards already in place to protect brokerage account assets ... BEAR STEARNS Q&A - The Securities and Exchange Commission this week issued answers to frequently asked questions from investors regarding Bear Stearns. Bear Stearns' corporate structure includes several broker-dealers registered with the SEC. As a result, many protections remain in place for customers of Bear Stearns' broker-dealers. Under SEC rules, registered broker-dealers must maintain net capital to provide financial resources so that if the firm fails, customers will get their cash and securities back ... RETIREMENT MYTHS & MISCONCEPTIONS - Retirement is a passage from one lifestyle to another. Those who take the voyage seriously and do the right kind of retirement planning usually have a smoother trip. Discussions with seasoned retirees indicate that there are many myths and misconceptions about retirement. One example: Some people, including women, continue to believe that only men retire. This misconception ignores the career women who have the same retirement adjustment problems that men have. For more myths and misconceptions about retirement, see Michael Leonetti's article from the AAII Journal ... GUARDING AGAINST ID THEFT - The Securities and Exchange Commission is moving ahead with amendments to Regulation S-P, which sets forth privacy obligations for entities regulated by the Commission. The amendments would help safeguard customer privacy by providing more detailed standards for information security programs. "Today's proposal should help guard against growing problems such as identity theft and intrusions into online brokerage accounts," said Erik Sirri, director of the SEC's Division of Trading & Markets. ... IT'S AMERICA SAVES WEEK - From EBRI: A national survey shows that about half of all U.S. households report adequate savings progress. Only 53 percent say that they save at least 5 percent of their income, while only 57 percent of those not retired say they are saving enough for a retirement with a "desirable standard of living". The survey was released this week during the second annual America Saves Week, in which more than 80 major governmental, non-profit, and industry organizations are participating. The survey includes questions that make up a "savings checklist" found on the new America Saves Week Web site ... DIVERSIFY TO PROTECT YOUR WEALTH - One of the biggest mistakes that investors make is holding onto an over concentrated position in one stock, according to the Financial Publishers Association. Many people do this because they work for, and are shareholders of, a particular company that they know well. Or they bought a particular stock 10 or more years ago when they fell in love with it. Under both scenarios, capital gains taxes can be a huge issue. This article from Zack's Investment Research urges you to diversify, because you never know when you will be sitting on another Enron ... CHECK SCAM WARNING - The Commodity Futures Trading Commission has issued a fraud advisory about a check scam. It appears that a number of individuals have received possibly fraudulent checks for sums of money ranging from $3,500 - $4,000. These checks have been sent via UPS in an envelope with the CFTC cited in the return address. If you receive a check with the CFTC cited in the return address, immediately contact the Commission's toll-free Customer Protection Hotline, at 1-866-366-2382.... AVOIDING FINANCIAL ID THEFT - Your brokerage firm has an obligation to safeguard your personal financial information. But even the best procedures cannot prevent all instances of identity theft -- especially if the vulnerability lies with you, the customer. A new brochure, brought to you by FINRA and the Securities Industry Financial Markets Association (SIFMA), describes the critical steps you can take to safeguard your financial accounts and help prevent identity theft ... AVOIDING 'FEAR FRAUD' - State securities regulators are reminding investors not to allow recent negative economic news and stock market volatility lead them into high-risk speculative investments, which may be nothing more than fraudulent schemes hiding behind today's headlines. According to the North American Securities Administrators Association, investors nearing retirement are particularly at risk of being targeted by phony investment schemes promising high returns to make up for losses in retirement accounts ... KIDS GUIDE TO MONEY - "Great Minds Think: A Kids Guide to Money" is a free, self-directed activity book from the Federal Reserve that teaches the basic concepts of financial decision making in a fun way. Topics include earning, spending, saving, and opportunity cost. The activity book also includes a certificate so children can celebrate when they complete the activities. The book is designed for youths ages 9 to 12 ... IT'S BUY AND HOLD ... NOT BUY AND FORGET - If you're a buy-and-hold mutual fund investor, it's easy to roll along owning shares in a particular fund for years. As long as the fund is performing at least in line with its benchmark index, there's little reason to make a change. On the other hand, buying and forgetting doesn't work. BetterInvesting suggests you ask six questions of your mutual fund regularly. Mutual funds, as with any other investments, require regular due diligence to ensure they're not running off the rails ... REBALANCE YOUR PORTFOLIO MORE OFTEN? - Looking more often for opportunities to rebalance your investment portfolio actually results in the need to rebalance less frequently than traditional methods, yet produces lower risk and better returns, according to research in the January 2008 issue of the Journal of Financial Planning, published by the Financial Planning Association (FPA). Rebalancing provides two potential benefits. The problem with traditional rebalancing methods such as quarterly or annually, according to the article, is that "the dates chosen for rebalancing are arbitrary, and thus we cannot possibly expect to catch the juiciest buy-low/sell-high opportunities." ... START NEW YEAR PLANNING TO PLAN - The start of a new year is the perfect time to evaluate your financial situation and plan for the future. The American Financial Services Association Education Foundation (AFSAEF) recommends creating a personalized plan to keep your finances on track throughout the year. The group offers several tips for creating a successful budget, such as planning for expenses that may not be monthly and contributing to an emergency fund. They also suggest avoiding common pitfalls, such as procrastination and setting unrealistic goals ... AVOID HOLIDAY FINANCIAL SCAMS - Criminals are hoping you'll open not just your heart but also your wallet during this holiday season. So how can you protect yourself from getting frosted by financial fraud this year? A new Alert Investor podcast from the North American Securities Administrators Association lays out the resolutions you can make for safe investing. Don't let predators take advantage of your holiday goodwill - protect yourself and your family ... IRAs: KING OF RETIREMENT ASSETS - Assets in individual retirement accounts (IRAs) grew 16.5 percent in 2006, reaching a record $4.23 trillion, according to a study released by the nonpartisan Employee Benefit Research Institute (EBRI). The 2006 increase - up from $3.63 trillion in 2005 - solidified the position of IRAs as the largest repository of retirement funds in the United States ... A LUCRATIVE NEW YEARS RESOLUTION - Have you thought about your New Year's resolutions yet? If you are like many Americans, your smartest choice would be to resolve to start saving and investing in 2008. The nonprofit Alliance for Investor Education (AIE) today highlighted 13 of the best available investor education resources that consumers can use to get started with saving and investing... THE FED'S HELP DESK - Help for consumers who experience a problem with a bank or other financial institution is just a click, or a phone call, away. "Federal Reserve Consumer Help" is a new centralized resource that consolidates and streamlines the Federal Reserve's consumer complaint and inquiry program. Professionals are available to answer questions and assist with a wide range of issues relating to financial products and services and consumer protection laws. Consumers calling the new toll-free number (888-851-1920) between the hours of 8 a.m. and 6 p.m. CT. A related Web site, www.federalreserveconsumerhelp.gov, is also available ... ENERGY STOCK SCAM ALERT - A combination of factors - including global warming, a ravenous worldwide hunger for energy, rising gasoline and fuel oil prices, and instability in the Middle East - has sparked investor interest in energy and alternative energy stocks. But these same factors also appear to have fueled a rash of energy-related stock scams. The Financial Industry Regulatory Authority (FINRA) has issued an alert to warn investors about fax, email and even cell phone text message scams that promise high returns in exchange for little risk-and to provide information on how to invest wisely in this or any other sector. Energy stock scams typically involve the touting of a small unknown company, using a combination of baseless price predictions, misrepresentations, and hyperbole ... SENIOR FRAUDCAST - You've saved your pennies throughout your life, but have you prepared yourself for those who will try to nickel and dime you out of your hard earned retirement? Every investor deserves protection, especially the growing number of seniors who are depending on every dollar of their savings for a financially secure retirement...So how can you safeguard yourself and the ones you love? Check out this podcast from the North American Securities Administrators Association ... DIP IN RETIREMENT PLANS - Participation in employment-based retirement plans fell about 2 percentage points in 2006, according to a study published by the Employee Benefit Research Institute (EBRI). In recent years, participation levels have tended to follow trends in the labor market, although the 2006 retirement plan participation decline occurred when the job market was stable. In 2006, participation in employment-based retirement plans fell to 53 percent among full-time, full-year wage and salary workers ages 21-64 -- those considered to have the closest connection with the work force. This was down from 55 percent in 2005 ... THE YOUNG AND THE FINANCIALLY CLUELESS - A typical young adult recently entering the "real world" after college may be more than $10,000 in debt, regularly carry a credit card balance, not follow a budget, and have no health insurance. More than ever before, college graduates are unequipped to deal with common financial issues. The National Endowment for Financial Education® (NEFE®) is working to change that reality through its CashCourse program, which will improve personal finance knowledge among young adults ... HOW WE VIEW FINANCIAL ADVICE - A majority of adults (53 percent) would choose to receive financial advice over that of a personal trainer, interior designer or fashion consultant if given the opportunity, according to the findings of a recent survey conducted on behalf of the Securities Industry and Financial Markets Association (SIFMA). If told they need to save more money now to maintain their lifestyle in retirement, nearly half (46 percent) say that they would ask a financial advisor to '"tell me what I should do." Nearly one-third replied "make the process easy for me." ... UNDERSTANDING NEW PRINCIPAL TRADING RULE - In anticipation of a new Securities and Exchange Commission temporary rule, the Financial Planning Association® (FPA) issued a consumer-friendly brochure describing the potential problems with principal trading by brokers. Principal trades are those transactions where a broker sells stocks or bonds from his firm's own inventory, rather than buying or selling on the open market. The practice sometimes opens the door to significant conflicts of interest, as described by the SEC in the rule providing the new, temporary exemption. To help the public understand the SEC's new temporary rule, which will run through 2009, FPA is releasing a consumer guide that spells out an investor's rights and how they are affected by the changes in principal trading. It also offers advice on some critical questions involving required disclosure of possible conflicts of interest ... LOW-COST 401(k) BIG AT WORK - Employers and workers in 401(k) retirement savings plans tend to select lower-cost mutual funds with below-average turnover, according to research released by the Investment Company Institute. About half of the $2.7 trillion in 401(k) assets at year-end 2006 was invested in mutual funds; the bulk of those assets were in stock funds. The paper shows that 401(k) investors in stock funds paid an average expense ratio of 0.74 percent in 2006, well below the industrywide asset-weighted average expense ratio of 0.88 percent. In fact, more than three-quarters of stock fund assets held in 401(k) plans were concentrated in funds that charged less than 1 percent .. LEARNING TO READ THE FUTURES - National Futures Association (NFA) has launched a major new online program for individuals who want to learn about the opportunities and risks inherent in exchange-traded futures. Individuals can access the program through the Investor Learning Center section of NFA's Web site. The program features a series of quizzes to help reinforce basic concepts and a complete glossary of terms related to futures trading ... TURNING DOWN ONLINE BOILER ROOM HEAT - The Securities and Exchange Commission today announced a new Internet-based initiative to alert investors worldwide about problems with certain unregistered entities engaged in solicitations of securities transactions. The SEC is aiming to give retail investors, before they invest, a new tool to help them avoid questionable investment solicitations, including solicitations from online boiler room and advance fee scheme operations ... THE COMPANY (STOCK) MAN - Many people who work for large, publicly traded companies are given the option to invest in company stock through their 401(k) plans. Some companies have incentives to encourage employees to purchase company stock - for example, you may be able to purchase the stock at a discount from the current market price, or your employer may offer a better matching contribution if your contribution goes to the purchase of company stock. As a result, it is not difficult for investors to wind up with a large percentage of their investment holdings in the stock of their employer. Is company stock a bad investment for your 401(k) plan? As the American Association of Individual Investors notes, there are upsides and downsides to owning company stock in your plan ... NO FREE LUNCH FOR SENIOR INVESTORS - North American Securities Administrators Association (NASAA) President and Alabama Securities Commission Director Joseph P. Borg discussed ongoing efforts of state securities regulators to protect senior investors from misleading "free lunch" seminars and professional designations in testimony September 5th before the U.S. Senate Special Committee on Aging. Borg said: "State securities regulators share Chairman Kohl's outrage at the practices used by unscrupulous brokers and other predators who swindle seniors out of the hard-earned money they need for a secure retirement" ... 'VIATICAL' SCHEME WARNING FOR SENIORS - Continuing its crackdown on financial fraud against senior citizens, the Securities and Exchange Commission (SEC) filed an emergency action to shut down a $25 million Ponzi scheme that victimized hundreds of senior and other investors nationwide who bought fractional ownership interests in life insurance policies. In its latest action, the Commission alleges that the named individuals orchestrated the Ponzi scheme that falsely promised safe, secure and profitable interests in life insurance policies known as "viaticals" while failing to disclose the dire financial condition of the investment venture. Many of the investors were elderly and invested their retirement savings. The SEC alleges the father-daughter fraudster team pocketed $700,000 for their personal use while the scam was on the verge of collapse ... FSI: FRAUD SCENE INVESTIGATOR - The North American Securities Administrators Association (NASAA) and the Newspaper Association of America (NAA) Foundation today launched "FSI: Fraud Scene Investigator," a new online initiative to help teach students how to fight investment fraud firsthand. FSI helps students detect and stop investment fraud, using a resource they're most familiar with-the Internet. The program, along with a corresponding guide for teachers, is available free to educators for use in classrooms and at home through the NASAA Web site ... NO PENALTY FOR EARLY WITHDRAWAL? - Research in recent years has established rule-of-thumb "safe" portfolio withdrawal rates for retirees so that their nest eggs don't run out of money. But an article in the August 2007 issue of the Journal of Financial Planning, published by the Financial Planning Association, offers a method for retirees to establish their own retirement withdrawal profile. Researchers have developed rules to boost the initial withdrawal rate ... as long as the retiree is willing to make withdrawal adjustments in later years to compensate for weaker portfolio returns or higher inflation rates than projected ... SENIOR FRAUD SUMMIT - The North American Securities Administrators Association (NASAA) will participate in the second annual Seniors Summit, hosted by the U.S. Securities and Exchange Commission, September 10, 2007 in Washington, D.C. The summit will bring together leading authorities from state securities regulatory agencies, the SEC, the Financial Industry Regulatory Authority (FINRA), and AARP to discuss progress in the ongoing efforts to protect senior investors and workers nearing retirement from abusive sales practices and investment fraud ... NEW SEC HEAD OF INVESTOR ED NAMED - Securities and Exchange Commission Chairman Christopher Cox announced that Ms. Kristin J. Kaepplein, Vice President for Global Compliance Operations at Goldman Sachs, will join the SEC as Director of the Office of Investor Education and Advocacy. Chairman Cox also announced significant new responsibilities for the Office, formerly known as the Office of Investor Education and Assistance. "I am extraordinarily pleased that Kristi has agreed to join the Commission at a time when we are facing so many issues important to retail investors," Chairman Cox said ... RETIREMENT NEST EGGS SWELLING - The nation's retirement nest eggs reached a record $16.4 trillion in 2006, an 11 percent increase over the prior year and a 55 percent increase since 2002, when the equity bear market bottomed, according to the latest research from the Investment Company Institute. The increase in retirement assets during 2006 was powered by strong growth in employer-sponsored defined contribution plans and individual retirement accounts (IRAs). Retirement assets now account for nearly 40 percent of household financial assets, up from about 24 percent two decades ago ... REDUCING INVESTMENT FEES - Most individual investors are familiar with the asset management fees, sales charges, and transactions costs applied to their mutual funds. Paid year after year, fees and expenses compound over time and can significantly deflate returns. To understand and control their investment fees, Stephen Horan, CFA, head of private wealth at CFA Institute, says that low-volume individual investors can follow some easy-to-use steps, including "avoid trading." Research by Terrance Odean and Brad Barber shows that individual investors sometimes need to be saved from themselves: the more they trade, the worse their investment returns. And, of course, with each trade made, they will encounter additional fees ... THE VANISHING DEFINED-BENEFIT PLAN - A new survey from the Employee Benefit Research Institute shows that about two-thirds of "traditional" (defined benefit) pension sponsors have either closed the plan to new hires or frozen it for all participants in the last two years or plan to do so in the next two years. The survey also finds that the vast majority of employers that have closed their pension plans have also increased contributions to workers' defined contribution (401(k)-type) plans, and that a large share of those planning new limits on their pension plan may well do the same. In addition, employers that are reducing pension benefits are adopting "automatic enrollment" of their workers in 401(k) plans, which research has shown could significantly increase retirement coverage and savings ... MOM, DAD ... AND INVESTMENT FRAUD - They talked to you about the birds and bees. Now, it's your turn for a frank talk with your parents about how to avoid losing their nest egg to financial fraud. Free lunch seminars, high-pressure phone calls, and endless mail guaranteeing high returns with no risk, are just some of the tools con artists are using to target seniors. To help jumpstart this conversation, the North American Securities Administrators Association has produced a new episode in its podcast series, "The Alert Investor," called, "How to Talk to Your Parents about Senior Investment Fraud"... ALL THE RIGHT FINANCIAL MOVES - Remember when you first learned how to ride a bike? Or swim? Or drive? Setting out to do something for the first time represents an opportunity to shape a small part of your life. If you're just starting out in the work world, you have an opportunity you'll never have again - the opportunity to shape how you think about and handle money. Believe it or not, making a few wise financial moves when you're just starting out can set you on the path to real financial freedom. Freedom to live where you want, pursue the type of jobs that interest you, purchase a home or car, start a family...whatever you dream of. To learn more, check out "Seven Money Moves To Make Now" from Tomorrow's Money for tips on few wise financial "first moves" you should consider when you start your first job... SEC FAIR FUND DISTRIBUTES $500 MILLION - The Securities and Exchange Commission reports that distributions from its Fair Fund to investor victims of the WorldCom, Inc. accounting fraud have surpassed $500 million. "The distribution of over a half-billion dollars through the SEC's WorldCom Fair Fund marks an important milestone in our successful program to return monies to injured investors," said SEC Chairman Christopher Cox. The SEC expects the remaining $250 million from the original $750 million penalty obtained in a settlement with the company to be distributed later this year upon final resolution by the Court of any contested claims ... SCHOOLS NEED WORK ON INVESTOR ED - Progress continues to be made in the teaching of economics and personal finance in our nation's schools. However, much more work still needs to take place in terms of placing a greater emphasis on economics and personal finance in the K-12 curriculum; requiring separate, stand-alone courses in these subjects as part of high school graduation requirements; and testing student knowledge levels, according to the new report, "Survey of the States: Economic and Personal finance Education In Our Nation's Schools in 2007 - A Report Card," released by the National Council on Economic Education. The report looks at how well the states incorporate the topics of economics, personal finance and entrepreneurship into their curriculum ... MANAGING BOOMER WEALTH - As Baby Boomers begin to retire, their many trillions of dollars of savings and investments are shifting from accumulation to decumulation. In light of this, a new publication from the CFA Institute, "Managing Wealth With Human and Financial Capital," sets forth timely ideas. The authors of the publication attempt to provide a theoretical foundation and practical solutions for developing investment advice for individual investors throughout their lives. Understanding the interaction between human capital and financial capital helps individuals create, manage, protect, bequest, and appropriately consume financial resources over a lifetime ... CHECKING UP ON YOUR INVESTMENTS - Setting up a reasonable and workable investment plan for your retirement is one of the most important decisions you can make. But once that decision is made, your work is only half done, according to the American Association of Individual Investors. An equally important task is to monitor your selections and the portfolio as a whole to make sure your original plan is still on track. Most 401(k) plans are composed of mutual funds, where daily scrutiny isn't necessary or even desirable. Quarterly check-ups -- a review every three months or so -- are more in order.... TOP 10 INVESTOR TRAPS - The North American Securities Administrators Association has released its annual forecast of the "Top 10 Traps likely to ensnare investors." According to NASAA, investor traps are usually baited with slick sales pitches promising high returns for little or no risk. Investors also can be trapped by legitimate investment products that are suitable for some investors, but not all. Examples of investor traps are: Internet fraud, oil and gas scams, and real estate investment contract schemes ... MOST DON'T KNOW INVESTING BASICS - Only one out of 100 American investors knows or puts into practice eight basic "investing secrets" and slightly more than a third (37 percent) get half or more of the fundamentals right, according to the new "MoneyTrack/Investor Protection Trust Investing Secrets Survey" conducted by Opinion Research Corporation. The nonprofit Investor Protection Trust (IPT) is a major supporter of the MoneyTrack public TV series.... WARNING ON OFF-EXCHANGE FOREX - The Commodity Futures Trading Commission (CFTC) and the North American Securities Administrators Association (NASAA) today issued a joint investor alert to warn of the dangers facing retail investors who are lured into foreign currency (forex) trading frauds. The regulators cautioned investors that off-exchange forex trading by retail investors is at best extremely risky, and at worst, plagued by outright fraud. Forex contracts involve the right to buy or sell a certain amount of a foreign currency at a fixed price in U.S. dollars. Because of the volatility in the price of foreign currency, losses can accrue very rapidly ... FUND INVESTORS GET HELP - Many mutual fund investors look to professional financial advisers to provide a wide range of investment and planning services and to help select and purchase fund shares, according to a recent survey by the Investment Company Institute. Among shareholders who hold funds outside retirement plans at work, 49 percent have used professional financial advisers to purchase funds and 33 percent have used both professional advisers and other sources ... CHINA SYNDROME FOR INVESTORS? - The NASD is warning investors to be wary of faxes, emails and even cell phone text messages touting low-priced "China" stocks of companies that often have no affiliation with China or its stock markets. A new NASD Investor Alert, "China" Stocks - Look Beyond the Name Before You Invest, explains how fraudsters entice investors to purchase bogus stocks that promise exponential price growth. NASD encourages investors to report these scams by forwarding stock spam emails to spam@nasd.com, where the information will be reviewed for possible investigation ... ARM-ING YOURSELF WITH KNOWLEDGE - With problems in the mortgage lending sector dominating the news, homeowners who have an adjustable-rate mortgage (ARM) may be wondering what they should do. The American Financial Services Association Education Foundation recommends that all borrowers with ARMs take such steps as monitoring home sales in their neighborhoods. This will allow such individuals to keep track of their home's value and whether they are building or losing equity. AFSAEF also suggests that borrowers make note of the date their initial interest rate adjusts, or "resets," since the monthly payment may go up substantially ... NO MARGIN FOR ERROR - The National Association of Securities Dealers has issued an updated Investor Alert warning investors about the risks of trading on margin. "Investing with Borrowed Funds: No 'Margin' for Error,'" explains that investors who cannot satisfy margin calls can have large portions of their accounts liquidated under the market conditions at the time, favorable or unfavorable. That liquidation can result in substantial losses. The Alert provides basic facts about purchasing securities on margin and where to turn for help ... UNDERSTANDING COLLEGE SAVINGS PLANS - Do you have questions regarding financial aid eligibility for college and how college savings plans may affect your status? A new Securities and Exchange Commission podcast discusses the issue of financial aid. Here's a sample tip: Prior to July 1, 2006, benefits from pre-paid tuition plans were not treated as parental assets and typically reduced need-based financial aid on a dollar for dollar basis, while assets held in college savings plans received more favorable financial aid treatment. Now, assets held in pre-paid tuition plans and college savings plans are treated similarly for federal financial aid purposes ... INVESTOR ED: IN SCHOOL ... AND THE REAL WORLD - The 2007 edition of the National Endowment for Financial Education (NEFE) High School Financial Planning Program (HSFPP) is now in the hands of U.S. educators. The new curriculum has been linked to education standards in 50 states, as well as to several national subject-area standards. One major goal is to take knowledge beyond the classroom. The new HSFPP will accomplish this by engaging families and financial professionals to help students move from classroom lessons to action in the real world ... INVESTOR ED 101 FOR CLASSROOMS - If you are a teacher who has had a hard time finding quality investor education content for your middle school or high school classroom, your search is over! The nonprofit Alliance for Investor Education (AIE) is highlighting 10 of the best available investor education classroom resources for teachers and students. AIE's collection of top resources -- "Investor Ed 101: Best Classroom Tools" -- is available now ... FOR BETTER, FOR WORSE, 401(k) - Many people think of their 401(k) plan allocations in isolation. But if you are married and your spouse works, you are both likely contributing to employee-sponsored plans. And if that is indeed the case, your allocation approaches should be "married" as well. After all, when you retire, you will be living off of both retirement plans as a couple, and following two separate approaches and two separate goals may result in neither goal being met. In addition, some 401(k) plans may offer better investment options than others. For that reason, married couples should coordinate their approach. What exactly is a coordinated approach? Find out in this article from the American Association of Individual Investors ... UNDERSTANDING YOUR BROKERAGE ACCOUNT STATEMENT - The Securities Industry and Financial Markets Association, the North American Securities Administrators Association and the Securities Investor Protection Corporation have released updated editions of the popular investor education resource, "Understanding Your Brokerage Account Statements" in English and Spanish. The guide provides investors with tips on analyzing their monthly statements, answers to frequently asked questions, details on common features of most brokerage account statements, and a glossary of investment terms that investors may come across while reviewing their statements ... UNDERSTANDING BANK LOAN FUNDS - Investors with conservative portfolios composed mostly of Treasury bills, investment grade bonds, or certificates of deposit can beef up their returns without additional risk by adding a relatively unknown asset-bank loan funds, according to an article in the February 2007 issue of the Journal of Financial Planning from the Financial Planning Association. Investors may be primarily in conservative assets because they have a short-term investment horizon, are late in their retirement cycle, or are wary of equities ... OLD AGE GOLDEN ... FOR MOST - Over the 12-year period from 1992-2004, the majority of 65- to 75-year-old Americans appear to have started their retirement reasonably successfully in terms of income and total wealth, but some have not done as well, according to a report released by the nonpartisan Employee Benefit Research Institute (EBRI). Overall, about 53 percent of Americans who have reached age 65 recently were found to have no decline in household income ... About 60 percent had a decline in either household income or total wealth, but less than 20 percent had a decline in both ... R-I-S-K NOT REALLY A FOUR-LETTER WORD - Is R-I-S-K really a four-letter word? It is to some - and it is certainly something that most people try to avoid. However, as the American Association of Individual Investors notes, risk is impossible to avoid. In fact, risk and long-term rewards are generally related. For long-term investors, risk can actually be a good thing. Indeed, successful long-term investors understand that, without risk, there is no potential for reward ... FOREX ALERT FOR INVESTORS - As participation in forex trading by retail investors has increased dramatically, so has the amount of forex fraud. National Futures Association has issued a forex investor alert to raise awareness among individuals who are considering participating in the forex market that it is critical for them to understand the risks associated with this product and to conduct due diligence before making any investment decisions ... INVESTMENT TAX TIME QUIZ - Not sure about which investments you have to pay taxes on? Unclear about when the long-term capital gains tax kicks in? Need more information about the tax treatment of qualified stock dividends? As we approach the April 15 deadline, you can brush up on your knowledge of investment taxes by taking this quiz from Path to Investing ... IS YOUR SPOUSE READY TO HANDLE FINANCIAL PLANNING? - The death of a spouse is clearly going to be a trying and emotional time for the survivor. But it will be particularly hard if the surviving spouse is unfamiliar with the family finances. The best plan, of course, is to familiarize your spouse as much as possible with your investment approach. This American Association of Individual Investors article outlines key contingency-planning issues to keep in mind in such a situation ... FUTURES 101 - National Futures Association (NFA) is launching an electronic newsletter for individuals who trade futures, options on futures and off-exchange foreign exchange (FOREX) products. The newsletter will provide investors with information they need to better understand both the opportunities and the risks inherent in trading these financial products and how to avoid becoming victims of fraudulent activity ... RISKY (TEEN MONEY) BUSINESS - The National Council on Economic Education, in partnership with The Allstate Foundation, has produced a new DVD, "Risky Business: What Every Teenager Needs to Know about Living Smart," aimed at 16-19 year olds and their parents. Produced in English and Spanish on one comprehensive DVD, the video shows teenagers how sound decision-making can empower people and provide greater opportunities for success, financial freedom, and overall well-being ...
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