Fross Quoted on Effects of Fidelity’s No-Fee Funds

Partner Stuart Fross was quoted in a Board IQ article, “With Zero-Fee Funds, What’s a Board to Do at 15(c) Time?,” covering what Fidelity’s almost 20 no-fee funds mean for boards during their 15(c) contract renewal process.

Fross shares insights on all effects of the changes, including that, because of these changes, the need to have data on market behavior, investments and funds is now not vital during the 15(c) process. He also said that it’s now unnecessary to do the Gartenberg factors because there is no profitability in it. In addition, though, he points out other outcomes that will come of Fidelity’s new structure, saying that the no-fee funds make it a possibility to negotiate a fund’s investment management fee.