The Government Accountability Office told a Congressional subcommittee that proposed SEC guidelines to curb market timing and late trading could harm shareholders. Mutual fund investors could face another increase in administrative expenses if regulators succeed in implementing new standards for deterring market timers, CBS MarketWatch reports.

The GAO said in a public statement earlier this week that guidelines proposed by the Securities and Exchange Commission to deter market timing and late trading could harm long-term mutual fund investors by layering more costs on mutual fund companies.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.