Open end mutual funds may charge which of the following fees?
I. A front-end load at the time of purchase.
II. A back-end load when shares are sold.
III. Annual fees based on marketing and distribution costs.
IV. Annual performance fees up to 20% of increases in net asset value.

Question

Quizplus · Accepted Answer

Open end mutual funds may charge a front-end load at the time of purchase, a back-end load when shares are sold, and annual fees based on marketing and distribution costs (12b-1 fees). They do not typically charge annual performance fees based on increases in net asset value; such fees are more common in hedge funds and certain types of investment partnerships.

Open End Mutual Funds May Charge Which of the Following