Economics Mutual Funds Questions
A load mutual fund is a type of mutual fund that charges a sales commission or fee, known as a load, when an investor buys or sells shares of the fund. This load is typically a percentage of the total investment amount and is paid to the financial advisor or broker who sells the fund. On the other hand, a no-load mutual fund does not charge any sales commission or fee when buying or selling shares. Investors can directly purchase or redeem shares from the fund without incurring any additional costs.