October 27, 2010
I object to File Number S7-15-10 that allows broker dealers to issue a new share class of mutual funds without the 12 b-1 fee. I am not opposed to the fee being renamed for transparency.
I've been in this business for 14 years and that fee is compensation for me to service accounts that have been open for years and in many cases I did not receive the sales commission.
I feel the potential price war among funds will make it difficult for us to service the smaller investors and thus limit their access to investment advice.
thanks for listening
John Ungerman, CFP