No-load firm Value Line Funds of New York, wants to add a 25 basis point 12b-1 fee to 10 funds to increase advertising for the funds and to offset the costs of mutual fund supermarkets, said David Henigson, a vice president with the firm.

"We find that our fund family needs to advertise to compete," he said. "We're small. We have $5 billion or $6 billion in assets and to compete with the giants you need to spend money... We have a decent track record and we should have better visibility."

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.