Vanguard CEO Bill McNabb said Morgan Stanley had decided to stop selling its mutual funds because it wants "to be compensated for being on their platform in one way or another, and that's something we just won't do."
Over the decades, active mutual funds have gotten fat on big fees, investor ignorance and a rising market that let people overlook the costs. That era is over.
The technology company invests in corporate bonds, U.S. treasuries and money market funds to avoid bringing money back to the U.S. from abroad and triggering corporate income taxes on the earnings.
