Regulators appear to be going after the big boys as they investigate sales practices of mutual funds. Today, Morgan Stanley admitted in its 10-Q quarterly filing that the SEC started a probe into how it sold B class shares earlier this year.

The SEC started a formal investigation into those sales practices on April 29, according to the filing. It added that it is cooperating with the SEC and other regulatory agencies on document and information requests.

Although Morgan Stanley did not state in the filing that the investigation specifically related to B share sales, the timing of the probe corresponds to start of the SEC's examination into how B shares are sold by broker-dealers. 

Stay ahead of the news ... Sign up for our email alerts now
CLICK HERE