In a recent speech, Barry P. Barbash, director of the Securities and Exchange Commission's investment management division, cautioned mutual fund executives to polish their sales practices or risk alienating their customers.

The second of three installments of his speech follows. In part one, published Monday, he laid out reasons why investors have begun focusing on the drawbacks on mutual funds. In part two, he focused on the shortcomings of some verbal and written disclosures. The final installment will appear shortly.

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