July 29, 2018
OVERALL INVESTOR EXPERIENCE
1. How do you pick funds? What information do you want to know when you make an investment in a fund? What publications or websites do you review? What tools, online or otherwise, do you use? Do you look at the SECs website?
I pick a single inexpensive Target date fund to meet my needs because I want a well-diversified portfolio with a minimum amount of effort on my part. I am smart enough to pick my own individual investments, but rather spend my time doing other things.
I own one from Vanguard because of all fund groups, I think the way they would matches up best with my needs. They are inexpensive and I think looking out for my needs.
I do not use government websites or other publications.
2. Do you read current fund disclosure documents? Do you understand them? Is there information you do not receive from the fund that you would like to get?
Not really. I rarely open them. Though for a time, I was getting a bit harassed by Vanguard to vote my shares. (I didn't.)
3. How well do current fund disclosures (such as a summary prospectus, prospectus, or shareholder report) help you pick an investment? Is it easy to compare different funds? Are there technology-based tools that could make fund comparisons easier? What helpful features do those tools have?
I did not try to compare funds, but mainly because I did not know how to. Instead, I went with a company I trust.
4. Do you use the advice of a financial professional? Does a financial professional's help affect whether and how you use fund disclosures?
5. How do you prefer to receive communications about fund investments? For example, do you prefer mail delivery, email, website availability, mobile applications, or a combination?
I prefer email delivery. I wish to links would be directly to documents instead of requiring me to log on.
(It can be a pain to log-in, as they walways want to text me a code, which I find annoying.)
Also, everything (legal documents, fact sheets, etc)should be available online, in one easy to find place... not a page with a laundry list of 400 funds many of which sound the same.
6. What types of fund information do you prefer to access electronically? What types of fund information do you prefer to receive in paper? Are there other wayssuch as by video or audio, you would like to receive fund information?
Maybe something Kindle-friendly if it is longer.
7. How can the SEC better use technology and communication tools to help investors focus on important fund information?
Make it easy to compare funds and all you to filter based on funds I am eligible to buy. No point showing me a bunch of cheap institutional funds I cannot buy.
Brokers do this, but they only should you funds on their platform.
8. Is there too much technical writing in fund disclosure? Would you prefer more tables, charts, and graphs? Would these graphic displayes be in addition to, or in place of, text-heavy disclosures?
Yes. Simplify it where possible. Not just graphics, but also short-answers and comparable figures.
9. Do you prefer to receive shorter 'Summary' disclosures, with additional information available online or upon request?
Yes. This option should be available for all documents over 5 pages.
10. Should fund disclosures be more personalized? For example, should disclosures show the amount of fees you paid or your actual investment returns? If so, how?
Yes. Put my annual fees in my annual statement. Also give a breakdown of holdings across investments (and looking through funds).
Also regulate the services that put all of your financial information on a single App and make sure the data is reliable. These tools really help me look at my investment account and my 403B.
11. Do fund disclosures make the fund's strategies and the level of risk clear? How can funds improve these disclosures? Would a risk rating, such as a numerical or graphical measure of risk, be helpful?
Strategies and risk disclosure is way too long.
Yes, a risk rating would be hepful (as long as it is consistently applied)
12. Fund fees and expenses can significantly affect a fund's investment returns over time. Do you think funds clearly disclose their fees and expenses? How could funds improve the disclosure of fees and expenses? Would a comparison of your funds fees against other funds fees help?
Yes. Simplify fees and compare against similar funds.
13. Do you consider the past performance of a fund when making an investment decision? How could we improve the presentation of performance information?
Yes. Everybody does.
14. Aside from this questionnaire, are there other ways the SEC can engage with investors, like you, on key topics? Is there anything else you would like to tell us?
Pilot different disclosure solutions.
Test disclosures with investors before rolling out changes.