NEW YORK (CNN/Money) - The Securities and Exchange Commission said Wednesday that Janus Capital Management will pay $100 million to settle fraud charges for allowing certain investors to enter so-called market timing agreements.

The SEC said Janus will pay a $50 million civil penalty and $50 million in surrendered profits, and has agreed not to repeat its infraction and is being censured by the agency.

"The $100 million that Janus has agreed to pay and the significant reforms that it has agreed to implement reflect the seriousness with which the staff views market-timing arrangements," Stephen Cutler, director of the SEC's Division of Enforcement, said in a statement.

"We will continue to investigate these improper arrangements in an effort to hold all responsible parties accountable."

Several funds have been fined and censured for allowing investors, such as hedge funds, to frequently trade mutual funds to take advantage of price changes in securities that are held in the respective portfolios. The frequent trading of market timers often causes the costs of a fund to rise, thus harming regular investors.

The SEC alleged that Janus entered market-timing agreements with 12 investors, although the prospectuses for the funds involved stated that Janus prohibited market-timing in those funds.

In exchange for allowing the market-timing, the investors, who weren't identified, agreed to make long-term investments in the specific funds while Janus waived all redemption fees that would have been assessed for the frequent trading, according to the agency.

As is typical under settlements with the SEC, Janus neither admitted nor denied that it permitted the market-timing.

The SEC also said Janus benefited from the agreements by receiving additional advisory fees because of the amount of long-term investments from the market timers.