The effective fee on a fund with a 6% front-end load is

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A front-end load is a charge applied at the time of the initial purchase of the investment. The effective fee can be calculated by considering the percentage of the actual investment that goes towards the fee. If there's a 6% front-end load, it means that 6% of the intended investment is taken as a fee upfront. For a $100 investment, $6 goes to the fee, leaving $94 actually invested. The effective fee percentage is then calculated by dividing the fee amount by the actual invested amount ($6/$94), which equals approximately 0.0638 or 6.38%.

The Effective Fee on a Fund with a 6% Front-End