SEC Proposes an Overhaul of Fund Disclosures
This is a great opportunity to empower investors, but Morningstar recommends doing more.
The Securities and Exchange Commission is considering a major proposal that would dramatically change the disclosures that investors receive when investing in a mutual fund. The heart of the proposal is a new, concise annual report that is visually engaging and presents important information to investors in an easy-to-read format. The updated report will include information on the fund's performance, material changes, principal risks, and other appropriate information.
The proposal is a great opportunity to empower investors, but it could do more.