What should I know about mutual fund fees?

When investing in a mutual fund, it is important to understand the fees associated with the fund that can impact your returns. In West Virginia there are a few main types of fees that you should be aware of when investing in a mutual fund. The first type of fee is the sales load. A sales load is a commission paid to the broker or adviser who is advising you on the mutual fund. It can range from 1-7% of the amount invested and is usually charged when you purchase the mutual fund. The second type of fee is the management expense ratio. This is an annual fee that is charged based on the total size of the mutual fund. It is expressed as a percentage of the total assets in the fund and can range from 0.1-2%. This fee covers all of the expenses related to running the mutual fund, including the cost of the fund’s manager. The third fee is the redemption fee. This is a fee charged by some mutual funds when you sell your shares. It is usually a percentage of the sales price and can range from 0-4%. Finally, there are proxy fees. These are fees that are charged when investors vote on certain annual matters such as dividend distributions or changes in management. These fees can range from 0-3%. Investment fraud is a serious issue in West Virginia and it is important to be aware of all of the fees associated with investing in a mutual fund. Knowing these fees can help you make more informed decisions and protect yourself from fraud.

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What should I know about mutual fund fees?

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