June 11, 2004
I believe it would be in the public interest to require clear and concise mutual fund costs be disclosed to the individual retail investor. These costs be computed in a matter that they can be compared and are simple to understand for someone without a background in accounting. In particular, these costs should include the total compenstation of key fund managers, i.e.per manager. Along with what is paid to public accounting firms for their opinion on the fairness of accounting data for the mutual fund.
A Andersen had a long history of providing worthless or misleading opinions to the Public, along the other remaining accounting firms. The State Board of Accountancy does not always do their job. Therefore, I think your agency should provided a history of adverse rulings against public accounting firms to the general public to alert the individual investors of what accounting are only in the business to collect fees.