While some mutual fund investors have been smarting from a perceived slight from the new tax law, there's still plenty of good news in there for fund investors. "There's a perception that the new law may not be as beneficial for fund investors as it is for stock investors, and there may be some truth to that," says Tom Roseen, an analyst with Lipper, a Reuters company. "But given the complexity of the new law, fund investors could be better off." The lower rate on capital gains and dividend payments might lead some investors to think the advantages of tax-managed funds have lessened, for instance. Not so, though. "Now fund managers have the opportunity to use different tools in their portfolio," Roseen says. Equity income funds -- a category that heretofore may have sounded like an oxymoron -- could benefit the most. Funds such as T. Rowe Price's ( PRFDX) Equity-Income fund can adjust their risk/reward profile to achieve their goals and take advantage of the new law. Taxes generated within the daily buying and selling of a mutual fund portfolio typically reduce investors' returns by as much as 25% -- an average of 1.5 percentage points to 1.8 percentage points, according to a Lipper study. (For more on the advantages of tax-managed funds, see this story ; for techniques these managers use, see this story .) The lower dividend and capital gains tax rates in the new law will mitigate that figure, but probably not as much as you would think.