Subject: File 33-7809 - After tax returns for Mutual Funds
Author:  Dale Barnes 
Date:    03/21/2000 11:00 AM
     
     
I believe it is imperative that Mutual Funds disclose their after tax 
returns to their investors.  A lot of investors in Mutual are first time or 
somewhat unsophisticated investors which is why they choose to invest in a 
Mutual Fund in the first place.  When an investor sees a 30% versus a 20% 
return, but does not realize that the higher return is due to a high 
turnover in the fund, thereby creating short term capital gains and that the 
20% return is lower due to lower turnover generating lower capital gains, 
they might assume they will make more money in the fund returning 30%.  In 
reality, they could end up making the wrong investment decision on an after 
tax basis.  If all Mutual Funds were required to publish after tax returns, 
an investor could easily make an apples to apples comparison.