The fact that the mutual fund industry's primary trade organization, the Investment Company Institute (ICI), relies on the dues of mutual fund companies which in turn pass on the cost to shareholders, means the group represents two constituencies whose interests are sometimes diametrically opposed, some critics say.

For example, by not advocating lower fund fees but instead arguing that competition among fund advisers provides shareholders with low-cost fund choices, the ICI is representing the views of fund advisors rather than shareholders, these critics say.

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