In Brief

By Anamaria Wilson Sunday, May 14, 2000
    • FREE-FOR-ALL It had to happen. Eager e-brokers have reduced the price of trading to zero. , (an Ameritrade offshoot) and American Express are trying to reel in new customers by giving trades away. And who are we to complain? Zero beats the $5 a trade that even deep discounters like Brown & Co. charge--but there are some conditions. What's next? Free toasters?

    Free Online Trading
    Company -- The Catch
    American Express -- Must have minimum of $25,000 in account
    Freetrade.com -- Limit and odd lot orders cost $5.00
    FinancialCafe.com -- $16.95 + .01 per share for non market orders

    DE-FRAUD Internet fraud, like Internet usage, is on the rise. The National Consumers League reported 10,660 complaints last year--a 38% increase over 1998. So, the FBI and the National White Collar Crime Center have just launched , a site where consumers can report any suspected e-fraud. The center will route your complaints about anything from fraudulent investment offerings to failure-to-render scams--such as paying for goods that are never received--to the appropriate state, local or federal agency, even to international branches.

    FUNNY FUND NUMBERS Dreyfus Corp. is paying out $3 million to settle allegations that it wasn't being up front with its investors about the risks of its Aggressive Growth Fund. Take note: managers eager to boost the returns of new funds may load up on IPOs, which can later tank. That's what the Dreyfus fund did, gaining 81.92% in its first year but then losing 5.94% its second. So be wary of funds with great rookie seasons; the second time around is much tougher.

    Fund Name -- 12-month Return Since Inception -- 2nd-year return
    Mosaic Focus -- 44.25% -- -8.08%
    Rydex Ret. Inv. -- 35.4% -- -1.51%
    Papp Focus -- 29.76% -- -0.54%
    DLB Growth -- 31.52% -- 8.97%

    Source: Morningstar