SEC Moves To Check Mutual Fund Sales Fees

Law360, New York (July 21, 2010, 6:21 PM EDT) -- The U.S. Securities and Exchange Commission moved a step closer Wednesday to revamping the way mutual funds are marketed and sold when it voted to draw up regulations to better protect investors from outsize fees taken directly from the funds themselves.

The SEC voted unanimously to propose new regulations limiting the so-called distribution fees mutual funds charge investors and opening the market up to competition among broker-dealers as well as disclosures about the size and destination of fund payments.

In particular, the SEC will seek to...
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