If you feel confused, even dazed, by the proliferation of mutual funds in the marketplace, you're forgiven. Somehow, there are almost as many funds available as there are listed stocks, and most of them aren't exactly shy about tooting their own horn. So for our annual Kiplinger 25 survey, we've explored this vast universe for you and picked the best stock and bond funds to help you meet your wealth-building goals.

Our rigorous selection process is part science, part art. We only consider funds that do not levy a sales load, and we generally avoid funds with high ongoing fees. Like sales fees, steep expenses are a serious drag on your efforts to compound money over the years. We favor funds with modest minimum initial investments, typically $2,500 or less. And we shy away from unwieldy funds afflicted with asset bloat.

We also closely examine the track records of portfolio managers -- the longer, the better. Outstanding long-term

Daily FX
Australian, Canadian and New Zealand Dollars All Up Strongly
Monday August 6, 5:15 pm ET
By Kathy Lien, Chief Strategist strategist@dailyfx.com

The Australian, New Zealand and Canadian dollars are all up strongly today despite the drop in both oil and gold prices.

New Zealand labor costs increased more than expected in the second quarter, which suggests that the labor market remains tight. Actual employment data will be released later this week. Australian ANZ job advertisements fell by 0.5 percent, but the market is still looking for a nice rebound in jobs last month. Before we get that data however, we have the Reserve Bank of Australia interest rate decision. The market is pricing in a quarter point rate hike tomorrow night. When the central bank raises rates, they also release a statement. The high level of inflation suggests that the RBA could still raise rates again this year, but they will probably pause given global economic conditions.

Here's a fact: The speculators and hedge fund managers who run today's stock market need market volatility in order to make money.

They can't make enough money if the market stays flat or moves only a bit, so they like extreme and unexpected price movements. They especially like sudden, surprise movements down, when they can make money off stocks they borrow and sell -- or, as they say, "sell short."

Money Lust Satisfied

That's what's been happening the past couple of weeks. But it's not interesting to say that the speculators are whipping the market around to satisfy their money lust. So the speculators themselves make up reasons for why the market is fluctuating, flog those reasons to the media, and then profit if some other speculators believe the jive reasons and jump

NEW YORK (AP) -- Oil and gasoline futures plunged Monday on concerns about the economy's health and as investors sold to lock in profits from last week's record-setting rally.
September oil fell more than $3 a barrel, and gas futures slid more than 10 cents to settle below $2 a gallon. Both contracts extended declines that began Friday after the government issued weaker-than-expected employment numbers. That data added to the sentiment of a series of other government reports analysts say suggest the economy might be slowing.

"The weaker ... numbers are raising the prospect of softening U.S. commodity demand in general, and energy demand in particular," wrote MF Global UK Ltd. analyst Ed Meir in a research note.

But investors are also taking profits from the rally that sent oil prices to record levels last week, analysts said.

"It's all related to the (investment) funds dumping a portion of their long holdings," said Jim Ritterbusch, president of

Reuters
American Home Mortgage files for bankruptcy
Monday August 6, 8:01 am ET

NEW YORK (Reuters) - American Home Mortgage Investment Corp. (NYSE:AHM - News) filed for Chapter 11 bankruptcy protection on Monday, completing a rapid descent for a large U.S. home loan provider that lent to people considered to be good credit risks.
The Melville, New York-based real estate investment trust, one of the largest independent U.S. home loan providers, filed for protection from creditors with the U.S. Bankruptcy Court in Delaware.

The filing came after American Home closed most operations on Friday, laying off all but about 750 workers. It said it had started the year with more than 7,400 employees.

(Reporting by Tim McLaughlin, Jonathan Stempel and Joe Giannone)

DETROIT (AP) -- Chrysler's new private owners say they have picked former Home Depot boss Bob Nardelli to head the No. 3 U.S. automaker in its effort to return to financial health.
The board of the reorganized Chrysler LLC elected Nardelli as chairman and chief executive, the company said in a news release Sunday night.

Nardelli, who became chief executive of The Home Depot Inc. in 2000, resigned abruptly in January after criticism over his pay and the company's slumping share price.

"Chrysler has many deeply talented and dedicated people, and I am confident that together we can continue the momentum of Chrysler's recovery," Nardelli said in the statement.

Former Chrysler executive Wolfgang Bernhard, a senior adviser to Cerberus, had been widely expected to be named chairman. He was offered a position with the company but elected not to accept it.

Tom LaSorda, Chrysler's chief executive since Jan. 1, 2006, was named vice chairman and president of Chrysler, reporting to Nardelli. LaSorda, who took over the