MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Thursday, June 17, 2004 Dreyfus Roars Back in 12b-1 Case Dreyfus announced on Thursday that an investor's lawsuit against the firm filed in late 2003 was voluntarily dropped. The investor, Milton Pfeiffer, charged that Dreyfus' 12(b)-1 fees on closed funds were excessive. Without going into details, a Dreyfus press release stated "Dreyfus successfully demonstrated to the plaintiff that it had complied with Rule 12b-1, under which fees may legitimately be charged to funds that are closed to new investors." A Dreyfus spokesperson did not immediately return a call seeking comment. Dreyfus also stated, "[s]ince it generally takes six years for the distributor to recoup the commissions it has paid out upfront, the distributor — when a fund closes — is entitled to be reimbursed for amounts it has advanced." The suit was filed in a Manhattan federal court. Printed from: MFWire.com/story.asp?s=7425 Copyright 2004, InvestmentWires, Inc. All Rights Reserved |