Investors are pouring more money into stock mutual funds in the U.S. than they have in 13 years, attracted by a market near record highs and stung by bond losses that would deepen if interest rates keep rising.
Pacific Investment Management Co. and BlackRock Inc. say the entire $3.7 trillion municipal market is at risk should Puerto Rico lose its investment-grade status, even though many funds aren’t obliged to unload bonds cut to junk.
Franklin Resources Inc., the manager of the Franklin and Templeton mutual funds that has the majority of its equity assets in global stocks, said fiscal fourth- quarter profit climbed 3.4 percent as rising markets boosted assets.
Legg Mason Inc., the money manager that has struggled with more than five years of net redemptions, said fiscal second-quarter profit rose 6.8 percent as a market rally lifted assets and fees tied to performance rose.
Stockton, the bankrupt California city, will give an office building it had planned to use as a new city hall to Assured Guaranty Corp. as part of a deal to end their fight over how to restructure $164.7 million in bonds the company had insured.
Franklin Resources Inc., manager of the Franklin and Templeton mutual funds, paid Chief Executive Officer Gregory Johnson $12.3 million in fiscal year 2012, a 25 percent increase from the previous year.
Green REIT Plc, a fund backed by billionaire John Paulson, is in exclusive talks to buy most of an Irish property portfolio from Danske Bank S/A after topping rival bids, three people with knowledge of the matter said.