SHORT INTERESTS: TIPS, TRENDS, OBSERVATIONS

Liberty from Fidelity

There are fast movers and then there’s John R. Hickling. Less than 24 hours after announcing his resignation from Fidelity Investments, Mr. Hickling said he — and three others — are forming a new Boston firm, Liberty Square Asset Management, to focus on international investing. Joining Mr. Hickling are Margaret McGetrick, formerly of Grantham Mayo Van Otterloo & Co.; Thomas J. Niedermeyer Jr., formerly of Teton Partners; and Claire A. Walton, formerly of Atlas Investments. They will run a diversified foreign fund, a hedge fund and an international small companies fund. In 15 years at Fidelity, Mr. Hickling managed a number of international funds, including the largest, Fidelity Overseas. Most recently, he ran the Fidelity International Growth & Income fund, with more than $1 billion in assets, which received three stars and an average return rating from Chicago-based fund researcher Morningstar Inc. William Bower replaced Mr. Hickling at the fund. Mr. Hickling was not available to comment on his move. A spokeswoman for Liberty Square says he is taking a “much-needed breather.”

Here comes the judge

It has everything but a swimsuit competition. In the industry’s answer to a beauty pageant, mutual funds’ web sites will be judged on design, function, quality, “connectivity” and information by technology and financial experts at McGladrey & Pullen LLP this summer.

Last year, the national accounting firm chose American Century Investments as the top mutual fund web site. Judges said the site was “one of the most user-friendly” in its category. Calvert Group came in second and Fidelity Investments rounded out the top three.

To be considered for this year’s competition, mutual fund firms must register their web sites by May 31 at www.top20mutualfunds.com.

Good year for millionaires

Even the financial crisis in Asia can’t stop the rich from getting richer, according to a new study conducted by Morristown, N.J.-based Gemini Consulting in association with Merrill Lynch & Co. Wealthy individuals, defined as folks with at least $1 million in investable assets, had more than $17.4 trillion at the end of 1997, up 5% from 1996, according to the companies’ World Wealth Report. Europeans (with $5.5 trillion) and North Americans (with $4.766 trillion) accounted for 59% of the wealth. Japanese high-net-worth individuals boasted $800 billion.

Nix to emerging markets

Talk about supply and demand. Warburg Pincus Asset Management Inc.’s newest international fund avoids emerging markets. The $24 million Warburg Pincus Major Foreign Markets Fund — launched in March 1997 as an institutional fund (minimum investment $1 million) and reorganized in December for the retail market (minimum investment $2,500) — invests only in companies headquartered in major European and Pacific Basin markets. “We had a lot of requests from institutional investors to have a fund without any emerging markets exposure,” says a spokeswoman for the New York-based adviser. The company is betting many retail investors feel the same.