Are 12b-1 fees about to fade into the sunset? The SEC has put a review of the fees on their agenda for this year. Today's WSJ FundTrack
says that the fees were created in the 1980's when the fund industry was struggling to keep it's head above water, due to sustained redemptions.
The worry was that if some money was not put into marketing the funds they would soon join the dinosaurs. Most of the mony collected in 12b-1 fees today goes to compensate financial advisers and administrators who help with shareholder services.
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