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Front-end load

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front-end load investment & finance definition
A sales charge on a mutual fund that is assessed when shares of the fund are purchased. This charge often goes to pay the selling broker in the form of a commission.

 


Definition
Front-end load fund
A mutual fund that charges an initial commission when shares are purchased in the fund.
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Front-End Loads and Purchase Fees
Front-end loads and purchase fees are paid by the investor when shares of the mutual fund are purchased.

Front-end Load - an upfront sales charge investors pay when they purchase fund shares, generally used by the fund to compensate brokers. A front-end load reduces the amount available to purchase fund shares.

Front-End Load - Sales charge that is deducted from the purchase price of mutual fund shares.
Government Security - Debt obligation issued by the U.S. government.
Gross Margins - Percentage of Gross Profit relative to revenue.

Front-End Load
Sales charge paid when purchasing a mutual fund.
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Front-end load: A sales charge levied on the purchase o mutual fund units.

Front-End Load
A commission or sales charge applied at the time of the initial purchase for an investment, usually mutual funds and insurance policies.

Front-End Load
The commission charged when mutual fund units are bought.
Global Mutual Fund
A fund that invests in several countries, including its home nation. The fund may specialize in stocks, bonds, or money-market instruments.

Front-End Load
A mutual funds sales charge (applied when the mutual fund is purchased).
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FRONT-END LOAD - A sales charge or commission payable by an investor at the time of purchase of a municipal fund security. Compare: CONTINGENT DEFERRED SALES CHARGE. See: COMMISSION; LOAD; MUNICIPAL FUND SECURITY.

Front-end load
The fee applied to an investment at the time of initial purchase, e.g., on a mutual fund purchased from a broker or mutual fund company.
Front fee
The fee initially paid by the buyer upon entering a split-fee option contract.

Front-End Load (Front-End Sales Charge): A security with a front-end load is one where the sales charge is deducted at the time of sale.

Front-end load funds require you to pay the commission fee when you first buy shares of the fund. In this case, your fund manager will get money as soon as you join the fund.

Front-End Load (business term)
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Front-End Load
A sales charge in connection with the purchase of an investment, which is applied at the time of purchase. Generally this term is associated with mutual funds, but may also apply to life insurance policies and limited partnerships.

Front-End Load
The load, or sales charge, that you pay when you purchase shares of a mutual fund or annuity is called a front-end load.

For funds with front-end loads, the full amount of the load is deducted. For deferred, or back-end loads, the percentage, often coupled with a 12b-1 fee, usually disappears entirely after several years.

Load A sales commission paid when purchasing shares of a mutual fund (called a front-end load) or when redeeming shares of a mutual fund (called a back-end load).

A breakpoint is the mutual fund account balance you need to qualify to pay a reduced front-end load or sales charge on new purchases in the fund.

In such cases, investors must pay a front-end load for these mutual fund shares. A front-end load is an initial sales charge that an investor must pay when buying shares with the assistance of a financial advisor.

Mutual funds with front-end loads, or a sales charge, enable investors to reduce front-end sales charges as the amount of that investment increases to certain levels called "breakpoints".

Class A shares carry a front-end load, which means there is a sales charge that is taken immediately from the purchase of your shares, and therefore reduces the amount of shares you will own.

This is the fee investors must pay to buy shares in a mutual fund. There are front-end loads that are charged upon the initial investment and back-end loads (deferred sales charges) that are assessed upon withdrawal. See "Cost Control."
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load - the sales commission charged by mutual funds on share transactions. A front-end load is a commission charged on purchases; a back-end load is a commission charged on redemptions.

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.

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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For dividend-paying funds, discounts are granted on reinvested dividend amounts. In many cases, investors pay no, or only a discounted, front-end load. The size of the reinvestment discount is published together with the dividend announcement.

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).

Load
A sales charge investors must pay to acquire certain assets - shares in many mutual funds, for example. Also called front-end load or sales load. (See also Load fund.)
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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.

Our average fund recommendation has an expense ratio of 0.93%, compared with the average domestic fund's expense ratio of 1.11%, and none of our picks has a front-end load.

front-end load A sales charge paid when an individual buys an investment, such as a mutual... front-ending an order A block order in which the broker/dealer purchases a portion of the block and...

See also: Load, Share, Fund, Shares, Mutual Fund