Monday, September 13, 1999
MONEY BRIEFING
Investors to open, fund Invesco accounts online
Starting Oct. 1, mutual fund investors will be able to open and fund new Invesco Funds Group accounts online. Funds for the new account will be drawn directly from the investor's bank account.
Invesco said it is the first mutual fund company to offer the service, designed to give its customers more convenience. Invesco is based in Denver and has almost $30 billion in assets under management.
— Amy Higgins
Mortgages stable even after Fed's rate hikes
The Federal Reserve has made headlines this summer by raising interest rates twice, but if you are a prospective home buyer focused on getting a mortgage, maybe you haven't noticed.
In fact, according to Freddie Mac, interest rates on conventional 30-year mortgages are about the same as those that prevailed just before the central bank raised its rate target by a quarter-point Aug. 24.
The Fed's increases typically raise the entire interest-rate spectrum, including mortgage rates. So why didn't it happen?
This summer, investors correctly anticipated what the Fed would do. Pleased that the increases were no more than had been expected, the bond market rallied after the Fed's announcements, driving interest rates down — and letting mortgage shoppers breathe a sigh of relief.
— New York Times
Racking up miles on car will cost more in L.A.
It's no surprise that it costs more to live in places like Los Angeles than it does in Sioux Falls, S.D. But imagine having to spend $3,000 more just to drive your car under the palm trees.
Runzheimer International, a management consultancy, found that it costs $8,907 a year to drive a Ford Taurus 15,000 miles a year within a 50-mile radius of Los Angeles, when you consider costs such as fuel, oil, tires, maintenance, insurance, depreciation and license and registration fees. Driving the same car the same distance around Sioux Falls costs $5,843 annually.
Insurance is a big reason for the difference — premiums in Los Angeles run about $2,800 a year, compared with less than $700 in Sioux Falls.
— The Associated Press
Advice: Shopping around will win low premium
Consumer Reports magazine advises car owners who want to cut their insurance premiums to shop around, and keep shopping until they find a better deal.
Ellen Braitman, an editor at the magazine, called insurance companies, searched the Internet and checked with insurance information services such as InsurQuote, based in Provo, Utah, and a service provided by Consumer Reports publisher Consumers Union. Her research was time-consuming, but in the end, she was able to find a premium $800 below the $2,200 she was already paying.
— The Associated Press
More women than men pursue higher education
More bachelor's degrees have gone to women than to men in the United States every year since 1982. And of last year's 1.8 million high school graduates, according to the Bureau of Labor Statistics, 69.1 percent of the women pursued further education vs. 62.4 percent of the men. Women, earning 74 cents for every dollar earned by men, “just have a more powerful incentive to get that degree,” said Anthony Carnevale, the vice president for public leadership at the Educational Testing Service in Princeton, N.J.
— The New York Times
Co-signing loans can be risky
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INVESTMENT PRIMER
MONEY BRIEFING
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