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Strategies & Market Trends : PBHG Funds

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To: Michael W. Brom who wrote (102)	1/23/1997 9:05:00 AM
From: Michael W. Brom	of 268

TO ALL: Did anyone read the recent Money magazine article discussing fee expenses by mutual funds? I have been pleased with the service and performance of my PBHG funds, but the fee expense article did bring some things to my attention. How come it costs the same to run Select Equity (30 issues) as it does to run Emerging Growth (about 75 issues and much larger)? The larger the fund, the more money it makes, so how come fees aren't reduced as funds get larger? It makes one wonder what the priority is: making money for shareholders or making money for the funds. I believe that a balance is a fair expectation. Will funds reduce fees when we have a down year? Are you kidding! Any thoughts. Michael

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