New legislation aimed at providing greater balance in advertisements containing fund performance may open the door for firms to create even more misleading ads, industry critics claim.

The crux of the new rule is that fund companies have to provide a source for more current performance data within their advertisements that tout that performance. The ads also are now required to emphasize the notion that past performance doesn't guarantee anything. However, regulators also eased restrictions in other areas, a fact that makes some wary.

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