When you invest in a typical load fund with an 8.5% load, the fund must appreciate by over 10% in value for you to break even on your investment.

Name: When you invest in a typical load fund with an 8.5% load, the fund must appreciate by over 10% in value for you to break even on your investment.
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Question

Quizplus · Accepted Answer

Assume a $1000 investment. The commission or load is 8.75% X $1000 or $85. $85/$100 - $85 = .0928 or 9.28%. Therefore the fund must grow by more than 9.28% for you to break even on your investment.

When You Invest in a Typical Load Fund with an 8.5