A Mutual Fund with a back-end load

Question

Quizplus · Accepted Answer

A mutual fund with a back-end load charges a fee when you sell your shares, not when you purchase them. Therefore, choice A is incorrect. While a fund with a back-end load may not have a front-end load, it is not a requirement and therefore choice B is incorrect. A mutual fund with a back-end load will still have annual management fees, making choice C incorrect. Choice D is correct because when you sell your shares, you will receive the net asset value (NAV) of the shares, which includes any gains or losses on the holdings within the fund.

A Mutual Fund with a Back-End Load