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To: russwinter who wrote (60029)	5/1/2006 5:28:56 PM
From: shades	Respond to of 110194

Senate panel to weigh regulatory relief Thursday today.reuters.com By Kristin Roberts WASHINGTON, May 1 (Reuters) - A Senate panel on Thursday will debate a long-anticipated bill aimed at easing oversight of the financial services industry but which excludes many provisions contained in a similar bill approved by the House. The Senate Banking Committee on Monday said it would hold its mark-up session, where panel members consider various provisions of proposed legislation, on May 4. Any planned amendments to the bill must be submitted by Tuesday afternoon. While thinner than legislation advanced by the House of Representatives in March, the Senate bill from Republican Michael Crapo of Idaho includes a host of provisions affecting banks, credit unions and savings associations. Many are supported by both the industry and its federal regulators. The bill would, for example, increase to $500 million from $250 million the asset threshold that qualifies a small bank to be examined every 18 months rather than every year. That would still be below the threshold some regulatory agencies sought. The Senate bill also would clarify state regulators' authorities. It would underscore that state regulators have authority for the institutions chartered in their states. Those regulators, known as home state regulators, have primary responsibility for assuring the safety and soundness of financial institutions in their states, under the bill. Host state regulators -- those in states where banks have a presence but are not based -- must enter cooperative agreements with the bank's home state in order to examine the institution for compliance with host-state laws, under the bill. Crapo's bill, however, does not include other provisions hoped for by industry, such as a measure that would reduce the number of cash transaction reports that banks must file under the Bank Secrecy Act. Instead, the Senate legislation would require the U.S. Comptroller General, head of the Government Accountability Office, to study the volume of those cash transaction reports and make recommendations for changes to the filing system. Another study on the cost and overall regulation of financial services would also be required under the bill. Industry lobbyists said they expected few amendments would be proposed on Thursday. If advanced out of committee, the legislation would have to be cleared on the Senate floor and then House and Senate negotiators would work out the differences between their bills.

To: russwinter who wrote (60029)	5/1/2006 5:55:12 PM
From: shades	Respond to of 110194

Dalton Investments Liquidates Two Hedge Funds By Marietta Cauchi Of DOW JONES NEWSWIRES NEW YORK (Dow Jones)--Dalton Investments said Monday it is closing its two distressed-debt funds and will return some $300 million to investors. The Los Angeles-based hedge fund said opportunities in the distressed-debt market had dried up because there was more capital chasing fewer high yield bonds, driving up prices. For the 12-month period ending March 31, 2006, the Global Opportunities Fund, which launched in 1999, had a compound annual growth rate of 2.6%. The Distressed Debt Fund, a 2004 vintage fund, rose just 0.4%. This compares with 7.2% for the Merrill Lynch High Yield Master II Index over the same period. "We believe it will become increasingly difficult to produce above-average returns with a distressed strategy in the foreseeable future and think it's in the best interests of all investors to have an orderly liquidation," said Steven Persky, co-founder of Dalton Investments and portfolio manager of both funds. The funds' 20 or so investors - a mix of pension funds, endowments and funds of funds - should get most of their capital repaid in the next 60 to 90 days and returns weren't expected to be significantly different from the end of March figures, Persky said in an interview. Returns for the first quarter were 0.5% on the Global Opportunities Fund and 1.6% for the Distressed Debt fund. Dalton Investments manages a total $1.3 billion in assets across a number of strategies. Its other six funds include a global small-capitalization fund and a global equity long/short fund, as well as funds invested according to various strategies in Asia. Persky said he didn't expect the closure of the distressed debt funds to affect investment in the other hedge funds. -By Marietta Cauchi, Dow Jones Newswires; 201-938-2129; mariettacauchi@dowjones.com (END) Dow Jones Newswires May 01, 2006 10:31 ET (14:31 GMT) Copyright (c) 2006 Dow Jones & Company, Inc.- - 10 31 AM EDT 05-01-06

To: russwinter who wrote (60029)	5/1/2006 5:57:05 PM
From: shades	Read Replies (1) \| Respond to of 110194

IndyMac Eyes IPO For Its Reverse-Mortgage Business . By Steve Gelsi IndyMac Bancorp Inc. (NDE) said Monday said it is considering an initial public offering for its Financial Freedom Senior Funding Corp. as net income at the reverse-mortgage unit doubled in the first quarter. The Pasadena, Calif.-based IndyMac Bancorp Inc. said the IPO would drive "growth and opportunities" for Financial Freedom, help attract and retain talent, raise cash and enhance shareholder value. Shares of IndyMac rose 25 cents to $48.57 Monday. The Financial Freedom unit, which employed 984 people as of March 31, nearly doubled its net income to $8 million from $4.2 million in the first quarter, as it lined up $1.1 billion in reverse mortgages, up from $507 million in the year-ago period. IndyMac said Monday its board of directors authorized management to "evaluate and plan" for the "potential sale" of about 20% of Financial Freedom Senior Funding, which holds an estimated 56% in reverse-mortgage originations and 53% of reverse-mortgage servicing. According to reversemortgage.org, a reverse mortgage enables homeowners aged 62 and older to convert part of the equity in their homes into tax-free income without having to sell the home, give up title, or take on a new monthly mortgage payment. Since reverse mortgages tap into the value of a home, they don't require income verification. Critics charge that reverse mortgages only pay up to 80% of the value of your home and that they charge interest on what is essentially your own money. "A quick thumbnail calculation shows you could gain more by selling your home, moving into a rental or less expensive house and putting your money in ultra-safe Treasury bills. This would eclipse any reverse mortgage calculation," Thomas Kostigen, author of MarketWatch's Sophisticated Investor, said in a recent column. Nevertheless, mortgage industry insiders see rapid growth ahead for reverse mortgages amid a demographic shift to senior citizens as Baby Boomers approach retirement age. The population of citizens 65 years and older is projected to increase by 147% between 2000 and 2050, according to the U.S. Census. "Reverse mortgages can be an ideal source of additional income for these consumers who don't wish to sell their assets to meet the rising cost of living," said a recent statement from Seattle Mortgage. -Steve Gelsi; 415-439-6456; AskNewswires@dowjones.com (END) Dow Jones Newswires May 01, 2006 10:56 ET (14:56 GMT) Copyright (c) 2006 Dow Jones & Company, Inc.- - 10 56 AM EDT 05-01-06