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Load Definition
Load: A sales fee charged by some funds is called a load. Loads never present any benefit to your investment, so be sure to put your money in no-load mutual funds.
The value of the load varies significantly. There are mainly three types of loads:
- Class A or front-end load - the fee is charged when you purchase the fund.
- Class B or back-end load - the fee is charged when you exit the fund.
- Class C or constant load - the fee is charged annually.
Alternative names - loaded mutual fund sales charge, loaded fund, class A, Class B, Class C, back-end load, front-end load, constant load.
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