It's a great time to ask your financial advisor if there's anything they'd like to reveal about the mutual fund shares they put you in.
The Securities and Exchange Commission this week said investment advisory firms will get a pass on fines if they come clean about failing to disclose conflicts of interest when they bought high-fee shares of mutual funds for clients. They would also need to reimburse clients for those higher fees and any gains they missed out on.
"These concerns are not new at the SEC, but they've moved up the priority list," said Jim Lundy, a partner with law firm Drinker Biddle in Chicago. "Many firms have already heeded the warnings … and apparently there are some that haven't heeded that message yet."