Wisconsin Insurance Commissioner plans action on segregated account of New York-based bond insurer; Heartland Select Value Fund named best multi cap value fund by Lipper
Wisconsin Insurance Commissioner plans action on segregated account of New York-based bond insurer
Sean Dilweg, insurance commissioner for Wisconsin, is seeking control of a segregated account of Ambac Assurance Corp. Ambac Assurance Corp. is domiciled in Wisconsin. Its corporate parent, Ambac Financial Group Inc., is based in New York.
Ambac Assurance created the segregated account last week for certain policies tied to credit derivatives, residential mortgage backed securities and related assets. The company created the segregated account at Dilweg’s request. It has also started rehabilitation proceedings to settle liabilities related to assets within the segregated accounts, the company said.
Dilweg has received court approval to impose a temporary halt on further claim payments to segregated account policyholders pending approval of a plan of rehabilitation.
“I am taking action to protect policyholders, including investors in thousands of state and local municipal bond issues and other public finance securities who rely on AAC’s guaranty,” Dilweg said. “I have a concrete plan for rehabilitation and details will be revealed in court in coming weeks.”
Ambac Assurance is a guarantor of public finance and structured finance obligations. Its corporate parent, Ambac Financial Group Inc., is a holding company whose portfolio companies provide financial services and financial guarantees to the public and private sector.
Michael Callen, chairman of the board of directors of Ambac Financial Group, pledged cooperation with Dilweg’s efforts.
“In light of OCI’s determination to make some sort of rehabilitative action with respect to Ambac Assurance, the board has determined, after thoughtful and careful consideration, that compliance with the direction of OCI to establish the segregated account of Ambac Assurance and to consent to the terms of the proposed settlement agreement of our CDO and ABS portfolio is the best alternative possible,” he said.
“While certain structured finance asset classes and other credits have been segregated for rehabilitation, virtually the entire insured municipal portfolio remains outside the rehabilitation proceedings.”
Heartland Select Value Fund named best multi cap value fund by Lipper
Lipper, an independent monitor of mutual funds, has named the Heartland Select Value Fund the best multi cap value fund over three and five years for the period ending Dec. 31, 2009.
The Heartland Select Value Fund is one of the Heartland Funds, which is advised by Milwaukee-based Heartland Advisors Inc.
The fund was selected from 267 and 211 competing funds in the three and five year categories. This was the fourth year in a row that Heartland’s Select Value Fund has been awarded the best multi cap value fund by Lipper’s.
“Our portfolio management team is proud to be the recipient of these prestigious awards,” said Dave Fondrie, co-portfolio manager for the Heartland Select Value Fund. “We believe the achievements demonstrate consistency in Heartland’s value investing process in various market environments.”
