
                         Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: MONDAY, November 22, 1993                   TAG: 9311220003
SECTION: MONEY                    PAGE: A-8   EDITION: METRO 
SOURCE: 
DATELINE:                                 LENGTH: Short

MUTUAL FUNDS SOLD BY BANKS ARE NOT INSURED

Ever buy a mutual fund inside a brick-and-mortar bank and think you're buying a federally insured investment?

Think again. You're not.

But if it's any consolation, you're not alone.

A survey of 1,000 households nationwide found that 28 percent believe mutual funds sold in banks are covered by deposit insurance, according to a Securities and Exchange Commission report. And 66 percent of those polled assume the banker-peddled money-market mutual funds carry the same guarantees as savings accounts.

Some in Congress hope to change those misconceptions. Proposed legislation would tighten disclosure requirements for banks, savings institutions and credit unions that sell mutual funds and other uninsured investments.

- Associated Press

by CNB