Investors Fled to Low-Cost Funds: Morningstar Investors paid less in fund fees last year mostly because they went for low-cost funds, according to Morningstar’s U.S. Fund Fee Study, an annual review. “Asset-weighted fund fees fell to 0.37 percent in 2022 from 0.40 percent in 2021. This might not sound like much, but it amounted… Read More >>
Equitable Pays $50M to Resolve Annuity Fees Case
The Securities and Exchange Commission (SEC) reports that it has charged Equitable Financial Life Insurance Company with fraud, “for providing account statements to about 1.4 million variable annuity investors that included materially misleading statements and omissions concerning investor fees.” Equitable has agreed to compensate harmed investors, most of whom are public school teachers and staff… Read More >>
SEC Hits WL Ross with $2.3M Penalty
SEC officials report that WL Ross & Co. LLC, a New York-based private equity fund adviser, founded and chaired by investor Wilbur L. Ross, will pay a civil penalty of $2.3 million, plus reimbursements, to settle charges that it failed to disclose its fee allocation practices to the WLR Funds and their investors, resulting in… Read More >>
Hedgie CFOs Worry Over EU’s Push to Split Research, Commissions
As European authorities consider a “hard unbundling” of research payments from commissions, a majority of chief financial officers (CFOs) at hedge funds recently polled by execution broker and research provider ITG say they would prefer to segregate the accounts of their European clients and use commission sharing agreements (CSAs) for their non-European clients. ITG surveyed… Read More >>
