12b-1 fee
DefinitionAn extra fee charged by some mutual funds to cover promotion, distributions, marketing expenses, and sometimes commissions to brokers. A genuine no-load fund does not have 12b-1 fees, although some funds calling themselves "no-load" do have 12b-1 fees (as do some load funds). 12b-1 fee information is disclosed in a fund's prospectus, is included in the stated expense ratio, and is usually less than 1%.
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12b-1 fee is ...
... part of the Mutual Funds subject.
... part of the Mutual Funds subject.
Related Terms
Rule 12b-1 fee, service fee, C shares, institutional shares, Y shares
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