A.G. Edwards will pay the Securities and Exchange Commission $3.86 million to settle charges that it failed to supervise brokers who used deceptive means to engage in mutual fund market timing. The fine includes a civil penalty of $1.5 million and $2.36 million in disgorgement and interest.

The firm also agreed to hire an independent consultant to review whether the changes it has made to its policies and procedures should prevent and detect future market timing activity.

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