Understanding the Costs Involved in Mutual Fund Investments The following table presents information on four different...

 

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Understanding the Costs Involved in Mutual Fund Investments The following table presents information on four different open-end mutual funds. Use the information in the table to answer the questions that follow. FUND NAV NET CHG YTD % RET MinT p 17.32 0.03 3.0 TmRE r 15.77 0.13 5.9 GMAR 40.81 0.27 8.4 BRRT 39.21 0.36 9.5 The mutual fund charges a 12b-1 fee. True or False: You can generally expect funds that charge 12b-1 fees to outperform funds that do not charge these fees. True False Suppose BRRT has a front-end load fee of 7%. If you purchase 100 shares of this fund at the NAV, you will pay a commission of s one month, you sell the shares, you pay a redemption fee at that time. . If, in If you are interested only in funds without any fee, you quotations as listed in the table, it is to use additional online resources to find no-load funds, because using only the to determine the amount of any front-end load fee that the fund may charge. Understanding the Costs Involved in Mutual Fund Investments The following table presents information on four different open-end mutual funds. Use the information in the table to answer the questions that follow. FUND NAV NET CHG YTD % RET MinT p 17.32 0.03 3.0 TmRE r 15.77 0.13 5.9 GMAR 40.81 0.27 8.4 BRRT 39.21 0.36 9.5 The mutual fund charges a 12b-1 fee. True or False: You can generally expect funds that charge 12b-1 fees to outperform funds that do not charge these fees. True False Suppose BRRT has a front-end load fee of 7%. If you purchase 100 shares of this fund at the NAV, you will pay a commission of s one month, you sell the shares, you pay a redemption fee at that time. . If, in If you are interested only in funds without any fee, you quotations as listed in the table, it is to use additional online resources to find no-load funds, because using only the to determine the amount of any front-end load fee that the fund may charge.