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Reaction to New Morningstar Stewardship Grades
Morningstar recently announced their revised Stewardship grades. The FPA Fund family has been included as one of the Top Ten Fund Families for stewardship by Morningstar (number 10)…
Based on the front-page article in the October 26, 2006, Wall Street Journal, we believe that the latest investigation by the SEC of 27 fund companies for allegedly accepting kickbacks from service providers requires us to revisit our commentary put forth in the wake of the 2003 mutual fund scandals.
More Comments on Mutual Fund Industry Transgressions
Based on the front-page article in the October 26, 2006, Wall Street Journal, we believe that the latest investigation by the SEC of 27 fund companies for allegedly accepting kickbacks from service providers requires us to revisit our commentary put forth in the wake of the 2003 mutual fund scandals.
In light of the continued robust performance of the Russell 2000 Value Index™, and the other Russell Value Indexes, we hope this letter helps our clients and investors better understand that there may be imperfections in the indexes that may distort return comparisons.
Ethics and Discipline: Speech to UCLA Anderson School of Business
We are in a period of challenge and questioning today. Many are questioning the ethics and integrity of corporate America and now, what was considered one of the cleanest segments of the business field, the mutual fund industry, is under that same microscope.
Comments on Transgressions in the Mutual Fund Industry
In light of recent articles concerning mutual-fund company transgressions, we believe a few comments are in order. It is with a degree of sadness but also contempt that we are witnessing a broad cross section of mutual-fund companies violating their investors’ trust.
Investments, including investments in mutual funds, carry risks and investors may lose principal value. The information included in this website is based on the assumptions and analysis made and believed to be reasonable by FPA. However, no assurance can be given that FPA’s opinions or expectations will be correct. The information included herein is intended for informational purposes only and should be not considered a recommendation or solicitation to purchase securities. Past performance is no guarantee of future results.
The FPA open-end mutual funds and ETFs are distributed by Distribution Services, LLC. 190 Middle Street, Suite 301, Portland, ME 04101. Distribution Services, LLC and FPA are not affiliated.
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