Back-end load
A sales commission charged to investors for the sale of shares in a mutual fund. Loads can be as much as 7% of the value of shares sold, but many back-end loads tend to decline if an investor holds the fund for more than 5 years.
Back-end loads are charged when the investor sells the investment. Often the sales charge, which is called a load, decreases the longer the investment is held, until some point, often several years out, when the sales charge disappears.
A back-end load is not always charged on every type of investment. Typically, investments that are structured to include the payment of an up front sales charge or a commission will not also be subject to back-end loads.
Back-end load
A sales charge that is imposed when investors redeem shares of a mutual fund. Also known as the contingent deferred sales charge (CDSC), a back-end load generally declines over time.
back-end load - the sales commission on mutual fund transactions that is charged at the time of redemption or sale, rather than at the time of purchase. The latter is a front-end load.
Back-end Load - a sales charge (also known as a "deferred sales charge") investors pay when they redeem (or sell) mutual fund shares, generally used by the fund to compensate brokers.
Back-end load fund
A mutual fund that charges investors a fee to sell (redeem) shares, often ranging from 4% to 6%. Some back-end load funds impose a full commission if the shares are redeemed within a designated length of time, such as one year.
Back-end load - This is the charge paid at redemption of a mutual fund or annuity, usually designed to discourage the withdrawal of funds from an investment.
Back-end load - A back-end load is a fee such as a sales charge or a commission, which investors pay when selling their mutual funds within a certain number of years, which is usually 5 or 10 years.
Back-End Load
A fee that an investor pays when redeeming (withdrawing) funds from an investment--also called "deferred sales charge." The fee is usually dependent on how long the investment is held--the longer the time period, the smaller the fee.
Back-end loads and redemption fees are paid by the investor when shares of the mutual fund are sold. Back-end loads are usually paid to the mutual fund broker, while redemption fees go to the mutual fund's management team.
-B- Back-End Load
The payment of a surrender or sales charge upon the discontinuance of annuities or life insurance or sale of securities. (Also known as a contingent deferred sales charge.)
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b Back-end Load A sales charge paid when mutual fund shares are sold. Also may be called deferred sales charge.
back-end load A sales charge or commission paid when an individual sells an investment, such... back-to-back loans An arrangement in which two firms in different countries borrow each other's...
Some back-end load funds impose a full commission if the shares are redeemed within a designated time period after purchase, such as one year, reducing the commission the longer the investor holds the shares.
Donovan and Lee concur that all prospective investors should steer clear of brokers, who work on commission and will recommend only mutual funds with front-end or back-end loads, ...
A contingent deferred sales load, also called a back-end load, is a sales charge you may pay on some mutual funds purchases if you sell shares in the fund within a certain period of time after you buy them.
Some mutual funds impose a back-end load, or a contingent deferred sales charge, if you sell shares in the fund during the first six or seven years after you purchase them. The charge is a percentage of the value of the assets you're selling.
When you are looking at a front-end or back-end load mutual fund, you should first find out what the commission rate is. Most mutual funds will have a percentage commission. This percentage can vary between a tenth of a percent and 5-10%.
Unlike a back-end load, which profits the fund company, redemption fees go back into the fund itself and thus do not represent a net cost to shareholders.
CONTINGENT DEFERRED SALES CHARGE (CDSC) - A sales charge, sometimes referred to as a "back-end load," payable by an investor at the time of redemption of a municipal fund security.
The cost difference is more evident when compared with mutual funds that charge a front-end or back-end load as ETFs do not have loads at all.
Contingent Deferred Sales Charge (CDSC): A form of commission that is a back-end load on mutual funds that decline over time.
A class in a family of multi-class mutual funds. This class is characterized by a back-end load structure that is paid only when the fund is sold.
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Mutual Fund (insurance term)
No-Load Fund (business term)
Twisting (finance term)
Back-End Load (finance term)
Asking Price (business term)
Acquisition Cost (finance term)
Load (finance term)
Offering Price (finance term) ...
You cannot exhange class C shares for A shares. If you want to sell your shares, your back-end load is typically around 1% (even less or none, depending on how long you have owned the shares).
Some mutual funds impose a charge when you sell your shares within a certain period of time, which can vary. A redemption fee is also known as a back-end Load. See the fund prospectus for details about the designated holding period.
A mutual fund that charges a permanent sales charge, usually at some fixed percentage. See: Front-end loads and back-end loads.
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Sales charge paid when selling a mutual fund - also known as deferred load. (For instance, alimony can be said to be a back-end load)
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Distribution Fees
Assessments levied by some mutual fund companies on the value of units purchased through a back-end load sales option.
It refers to the fee paid when a shareholder sells shares in a mutual fund within a certain number of years. It is the formal name for the load in a back-end load fund.
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Shares offered with a front-end load are commonly called "Class A shares," and those with a back-end load "Class B shares." A fund's performance figures and NAVs will be different for different share classes.
Bid or Sell Price - The price at which a mutual fund's shares are redeemed by the fund. The bid or redemption price is the current net asset value per share, less any redemption fee or back-end load.
A shares generally carry a front-end load. B has a back-end load (you pay at the end based on how long you held the fund) with a higher expense ratio than A. C shares often have higher 12b-1 fees, but no up-front or back-end charges.
Load
A sales commission paid when purchasing shares of a collective investment scheme (called a front-end load) or when redeeming shares of a collective investment scheme (called a back-end load).
 See also: Load, Mutual Fund, Share, Sales, Shares
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