AT THE BELL

Nationwide loses sales champ

Nationwide Financial Services Inc. vice president Edward Tessmer, 57, unexpectedly took early retirement last week. Mr. Tessmer, a 32-year veteran of the Columbus, Ohio-based insurer, oversaw variable annuity sales through broker-dealers and independent financial planners — generating one-third of the company’s $12.8 billion in sales last year. Richard Karas, president of the company’s NFS Distributors sales unit, is temporarily assuming Mr. Tessmer’s duties. A Nationwide spokesman declined to comment on the departure. Mr. Tessmer couldn’t be reached.

Waterhouse taps 21 managers

Waterhouse Securities rolled out its separate account program, Managed Assets Network, at its annual adviser conference in San Diego. Twenty-one money managers can be accessed through the program, which follows similar launches by Charles Schwab Corp. and Fidelity Investments. Among the firms: Warburg Pincus Asset Management, Atalanta Sosnoff Capital Corp., Bank One Investment Advisors, Berger Associates Inc., Delaware Investment Advisors, Lexington Capital Management, Pioneer Investment Management Inc., Scudder Stevens & Clark Inc. and M.J. Whitman Advisors Inc.

Advisers will pay between 0.5% and 1% in management fees and 0.1% to 0.35% of assets in custody fees, based on account size, turnover rate of the manager and the number of securities. Advisers, in turn, are expected to charge clients another 0.5% to 1%.

Nvest-ing in Japan

Nvest Cos. LP has joined forces with Japan’s No. 5 insurer, Asahi Mutual Life Insurance Co., to form a money management unit. It’s Nvest’s first attempt to take advantage of Japan’s “big bang” financial reforms. Nvest manages $135 billion through its 11 affiliates and expects some to begin running Asahi money by this summer. Nvest’s also in talks with its 48% owner, Metropolitan Life Insurance Co., on Japan efforts.

Vanguard closes a high-flier

Vanguard Group closed its $10 billion Health Care Fund to new shareholders. It also revised its redemption policy, requiring investors to stay in the fund five years, rather than one, lest they incur a 1% fee. The fund returned 40.8% last year. “They wanted to close the floodgates now. The question is whether (manager) Ed Owens is already drowning in too much cash,” says Daniel P. Wiener, editor of the Independent Adviser for Vanguard Investors.

“If it’s true that it is too big and has too much cash, how could he possibly have posted those numbers?” counters Vanguard spokesman Brian S. Mattes.

Stock options online at Solly

Salomon Smith Barney Inc. became the first big brokerage to offer employees of its corporate clients the ability to analyze and sell stock in employee stock option programs online. Martin Phillips, head of the corporate client group, is expecting heavy competition.

“We may be first to be up and running,” he says, “but within six months I’m sure all of our competitors will be looking to offer their clients this service.”

AMG offering raises $150M

Affiliated Managers Group Inc., which buys sizable stakes in money management firms, raised $150 million by selling 5.53 million shares to the public. Boston-based AMG pulled down $108.5 million by selling 4 million shares for $27.125 a share. The remaining 1.5 million shares were sold for a total of $40 million by AMG’s original investors, including TA Associates Inc., a Boston-based private equity firm. AMG will use the proceeds to reduce its debt.

H&R Block talking CPA deal

Kansas City, Mo.-based H&R Block Inc. confirmed it is in talks to acquire McGladrey & Pullen LLP, the country’s seventh-largest accounting firm. Industry sources say a letter of intent has been signed. A McGladrey & Pullen spokeswoman says that no agreement has been reached, but that discussions are continuing. The Bloomington, Minn., firm reported revenues of $296 million for its fiscal year ended last April.

Small-cap pro exits Lindner

Donald Wang, manager of the Lindner/Ryback Small-Cap Fund, has resigned, according to Ryback Management Corp. The St. Louis firm named a team to run the $45 million portfolio. Mr. Wang had run the fund since 1996 and turned in a three-year average annual return of 17.6%, according to Morningstar Inc. He could not be reached.

‘Flaming Ferrari’ suspended

Credit Suisse First Boston suspended London trader James Archer, 24, after the Swedish Stock Exchange opened an investigation into attempted manipulation of its leading index, the BBC reports. The son of Jeffrey Archer, the novelist and Conservative member of the House of Lords, he belonged to the Flaming Ferraris, a bunch of bold traders who got their name from their favorite drink, imbibed Friday evenings after a hard week’s work.