Have brokers been tipping off hedge funds about pending mutual fund trades to help the hedgies (who have supplanted benefit mutual funds as brokers biggest client base) benefit from pending trades? Undoubtably this frontrunning practice exists and the SEC aims to find out exactly how endemic it has become. Morningstar's got the deets on the pending SEC investigation.

-- MDT

Labels: front running, hedge fund, homeland security, investigation, SEC