XV. Risk Disclosure of Mutual Funds

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XV. Risk Disclosure of Mutual Funds
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Risk Disclosure of Mutual Funds

• Select a set of indexes and weightings that
  represents a funds intentions e.g. 75 SP
  Index, 25 Corporate Bond Index
• Discuss qualitatively risks not related to
  principle indexes. Likely divergence and sources
  eg. concentrated holding, rotation among asset
  classes
• Measure return and risk relative to benchmark .1
  above expost
• SEC grant safe haven
• Report with lag individual security holdings at
  end of each month

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SEC Response No investor could possibly
understand Industry Response a) Attempt by
economists roundtable to generate increased
consulting fees b) Publishing holding would be
so costly as to bankrupt the industry