Chuck Jaffe of MarketWatch worries
that mutual fund directors are not willing enough to rock the boat when necessary.
According to data from Management Practice Inc, the total board compensation is $18.01 per $1 million of managed funds, while overall fees might total $10,000, i.e. 100 basis points. Jaffe argues that, when it comes to mutual fund boards, shareholders are getting what they pay for, i.e. very little.
"Boards make no fuss and investors basically ignore them and settle for cheap, basic oversight," Jaffe writes. "Shareholders deserve better."
Stay ahead of the news ... Sign up for our email alerts now