WASHINGTON, Feb. 9 (UPI) -- John Bogle, the Vanguard Group's founder and former chief executive officer, endorsed a proposed mutual fund reform bill introduced Monday.
The proposed Mutual Fund Reform Act of 2004 was introduced by Sens. Peter Fitzgerald, R-Ill., Carl Levin, D-Mich., and Susan Collins, R-Maine.
"I've spent the greater part of my career speaking out on nearly all of the important legislative issues that Senator Fitzgerald's Mutual Fund Reform Act of 2004 addresses," Bogle said. "While nothing can solve the industry's problems overnight, I view the bill as the gold standard in putting mutual fund shareholders back in the driver's seat, and endorse it in its entirety."
The bill proposes requiring funds to disclose all of their costs and proposes terminating industry practices like soft dollar arrangements, direct brokerage and revenue sharing.
Fitzgerald said the bill, if enacted, could save investors billions of dollars annually and would enhance the level of retirement savings for many long-term investors.
