Stop the insanity!

How lovely is it to pick up the morning paper and read that those mutual funds some broker was recommending to you may have helped him or her (and certainly their firms) more than they helped you? Yesterday, the SEC detailed a far-reaching mutual fund payola scandal that should make any investor’s skin crawl — even DIY’s like me. Of the 15 brokerage firms the SEC looked at, they found 10 that were being paid to push particular funds. One of those firms was Morgan Stanley (MWD) , which had already agreed to pay a $50 million fine back in November when the earlier mutual fund scandal involving market-timing came to light. An SEC official told the Post that they were likely to find more. Some firms apparently disclosed this practice — in the fine print, of course. But investors clearly deserve to be treated with a lot more respect.