Free Republic

Is the Pope Catholic? The latest evidence of manipulation came Monday, the last day of the quarter. On that day, the majority of mutual funds beat the market. While that would seem to be a mathematical impossibility, researchers take it as evidence of a manipulative practice that is known in the mutual fund world as "marking the close." The SEC defines "marking the close," which is illegal, as "attempting to influence the closing price of a stock by executing purchase or sale orders at or near the close of the market." Right before the close, in other words, funds will...