PIMCO STARTS STOCK FUND UNIT

Pimco Advisor Holdings Inc. of Newport Beach, Calif., is removing its own subsidiary, Columbus Circle Investors, as manager of four stock mutual funds. Instead, it’s setting up a New York growth shop called Pimco Equity Advisors staffed by new hires.The new unit is led by Michael Gaffney, managing director, who hails from Alliance Capital Management LP, and Ken Corba, chief investment officer, who formerly held the same post at Eagle Asset Management.

Columbus will continue to manage institutional money for the firm.

9 hit for Y2K delinquency

The Securities and Exchange Commission has charged nine transfer agents — companies that keep track of shareholders’ securities for brokers and mutual funds — with failing to file reports on their Year 2000 readiness, which were due Aug. 31.

The SEC says five firms accepted censure, and at least three of those — CSJ LLC of Houston, Davidson Trust Co. of Great Falls, Mont., and Ivy MacKenzie Services Corp. of Boca Raton, Fla. — agreed to pay a $7,500 penalty, while four are contesting. Jim Farrell, a trustee at Alpha Tech Stock Transfer Trust in Draper, Utah, says he also paid his fine, but complains he was treated unfairly. “We have been Y2K compliant since we started in 1988,” he says.

Ponzis and payola alleged

A Quincy, Mass., broker who told potential investors he was backed by Fidelity Investments was charged by federal authorities in connection with a Ponzi scheme that duped more than 100 people nationwide out of at least $7 million. According to federal prosecutors, Boston Investment Group chief Arthur F. Good bragged of having special deals both with Fidelity and with a non-profit organization run by the heirs to the Marriott hotel fortune. Mr. Good, who was charged with conspiracy to commit mail and wire fraud and money laundering, did not return calls to his office. His lawyer, Edward F. McLaughlin Jr., declined to comment.

Meanwhile, the Securities and Exchange Commission has charged the former top executives of a defunct firm in Springfield, Ill., with stock fraud. The regulator alleges that Strategic Investment Advisory Inc. promoted itself as an independent research firm, but was really getting paid $70,000 in securities and cash by companies it represented to publish “glowingly optimistic recommendations” of their stocks. Lawyers for the officials did not return telephone calls.

Alliance names CEO

Putting to rest speculation that Alliance Capital Management LP would go outside for a chief executive, the New York asset manager promoted its chief investment officer. Bruce W. Calvert will replace Dave H. Williams, 66, as part of the latter’s transition toward retirement. Mr. Williams remains as chairman, and John D. Carifa, the driving force behind the $242 billion-asset company’s marketing, will remain president.

Nuveen exec retires

Bruce Bedford, 58, executive vice president of John Nuveen Co., has taken early retirement. He joined the Chicago muni fund manager in January 1997 when it bought Flagship Resources Inc. of Dayton, Ohio, which he headed. At Nuveen, he oversaw the company’s $53 billion in open- and closed-end mutual funds and unit investment trusts. Chief financial officer John Amboian has temporarily assumed some of Mr. Bedford’s duties, according to a company spokesman. Mr. Bedford will continue as a consultant to Nuveen through 2001.

Bank sector fund eyed

The Retirement Planning Co., an investment advisory firm that oversees $20 million in Providence, R.I., is launching its first mutual fund at the end of the month. The portfolio, which will be sold through brokers, will be called the Imperial Bank Fund and invest mainly in banks and other financial service companies. The firm’s managing directors, David W. Allaire and Michael Laliberte, who run the fund, will compete with names like John Hancock, which manages $6.7 billion in its Regional Bank fund.

Evergreen snares sales head

First Union Corp. has hired a national sales manager to oversee sales for its group of Evergreen mutual funds through third parties. The Charlotte, N.C., bank, which manages $55.2 billion through Evergreen, lured Timothy Curtin from $48 billion-asset Munder Capital Management of Detroit. Mr. Curtin’s departure comes a month after Munder announced its sale to a South African insurer. Mr. Curtin replaces Joseph Hart, who recently went to BankAmerica Corp.

Etc.: Year’s first dereg bill

House Banking Committee Chairman James Leach, R-Iowa, reintroduced a bill during Congress’s first week in session that would allow banks, stockbrokers and insurance companies to get into each other’s businesses. A similar bill passed the House last year but failed in the Senate…The Labor Department reported that unemployment dropped to a 28-year low of 4.3% in December…Phoenix-based Pilgrim America Capital Corp.’s stock gained almost 85% last year, making it number one among publicly traded money managers.

Correction

A Dec. 14 story on the creation of a new trade association for financial-product wholesalers incorrectly identified the firm employing Dan Peoples, one of the group’s co-founders. It is Management Recruiters International.