Vanguard founder John C. Bogle blasted American Enterprise Institute Scholar Peter Wallison’s claims that market forces keep mutual fund fees in check, in an editorial published by The Wall Street Journal.
“It’s hard to imagine that Peter Wallison is serious,” worte Bogle of Wallison’s contention that directors need not be concerned with setting fees for investors. Wallison compared boards to local utility commissions. Such commissions stifle free market forces, he said. Bogle countered: “It flies in the face of common sense.”