From: Phyllis Murphy
SEC Chairman Christopher Cox
Dear SEC Chairman Cox,
My 401K mutual fund went in the dumpster. I lost a lot of money so this is close to my heart. I'll be lucky to get 1/2 my investment back. As for my other mutuals, they were practially wiped out. I am not a rich person by any means so I can't afford to lose any more.
A recent study by AFSCME and The Corporate Library found mutual funds provide a rubber stamp for excessive management pay, supporting more than three-quarters of all management pay proposals. Ninety percent of institutional investors think the current system overpays executives. We need independent directors to stand up to the excesses of the money managers.
The Investment Company Act requires that mutual funds be managed in the interests of their shareholders. Requiring independent directors and chairpersons will help ensure this safeguard for the small investor, to make sure the little person gets a fair shake.