To educate investors on how much they have to invest to receive breakpoints, the NASD has proposed that fund companies release written disclosure statements that outline thresholds for receiving them.

The NASD called on Mike Stone, a managing director and general counsel, with Morgan Stanley to prepare a sample disclosure statement that would "aid members and associated persons in educating investors regarding the availability of breakpoint discounts, which will, in turn, facilitate the delivery of breakpoint discounts, and help investors and investment advisors make appropriate choices."

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