Low-Load Open-End Funds

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Question

Low-load open-end funds -

Answers

A. never charge sales or redemption fees.

B. never charge sales fees.

C. charge sales fees of about 0.5 to 1% of NAV.

D. charge sales fees of about 3% of NAV.

E. charge sales fees of about 5 to 6% of NAV D

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Explanations

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A. B. C. D. E.

Explanation

Low-load open-end funds typically charge front-end sales fees in the 3% range (rather than 7 to 8%) when the fund is bought. These funds typically are used for bond funds or equity funds offered by management companies that also offer no-load funds.

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