You had to see this one coming. Today Coughlin Stoia Geller Rudman & Robbins LLP, a law firm, announced that a class action has been submitted in New York on behalf of people or entities that bought and held shares of certain funds offered by the Reserve Short-Term Investment Trust, including RYPQX.  You can be included in the class action suit if you held shares between July 27, 2007 and September 16, 2008.

The complaint alleges that many of the Fund’s purchasers were sold their interests in the Fund by TD Ameritrade and its employees who consistently …

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Last week I started increasing my position in the Reserve Yield Plus Fund (RYPQX: web, prospectus, fact sheet, Y!).  Two weeks ago I finally started buying in to the fund, which is a no-load fund and does not impose the typical $9.99 transaction fee from Ameritrade.  At the beginning of this month, I received the distribution for those shares, pro-rated for the previous month.

The distribution totaled $0.09 for 250 shares held over 3 trading days in the month of May.  Doing the math, this translates into about a 4.4% return on my money annually.

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Emigrant Direct has preempted any fed rate cut Bernanke could throw at us. Within the last couple of days, Emigrant bank has cut their online savings rate to 4.55%. Still better than I can get at Bank of America, but it’s making online savings accounts look less appetizing when compared to Canadian Royalty Trusts.

Sure, the money is guaranteed at Emigrant, so it’s still a great place to stash emergency funds, but the dropping rate could offset some of the risk in investing in stocks.

Question for the day: At what percentage rate do you quit stashing free cash in the savings account and contribute it to a online …