Should Government Also Regulate Mutual Fund Fees?

                    

The government has from time to time questioned fees charged by mutual funds Should the U.S. advise how high fees ought to be?

                       

Investors themselves ought to know how to compare funds’ expenses and why to choose those with the lowest costs. Funds give this information.

                       

Management of mutual funds often has little to do with success. Lower-cost funds which follow market indexes often perform better than managed funds. The overall success factor for choosing the right fund is low cost.

                       

However, that should not be government’s function. Politics have a nasty habit of interfering with choice, and politicians are not the wisest advisers. (See the Earl J. Weinreb NewsHole® comments and @BusinesNewshole at Twitter.)