Subject: File No. S7-07-08
From: Ron DeLegge
Affiliation: Editor,

April 9, 2008


I agree that Exchange-traded funds (ETFs) should be relieved of the regulatory burdens and bureaucracies that aren't experienced by other registered financial products.

It's time to create a new level playing field where one financial product doesn't haven't an advantage over the other, from a regulatory oversight and product registration perspective. For too long, ETFs have been at a disadvantage in this regard, compared to traditional mutual funds.

With regard to allowing mutual funds greater liberty to invest their assets in ETFs - I support this move, so long as certain conditions are met.

One of those that I'm particularly concerned about is the fee impact on mutual fund shareholders. It should be cleary stated and disclosed that mutual funds that invest in ETFs are creating an additional layer of fees which reduces the returns shareholders get to keep.


Ron DeLegge