| Mutual funds are faced with a lot of expenses, | | | | decision becomes easier to make. Working with a |
| among them are the contingent deferred sales | | | | financial advisor even makes the process much |
| charges. This basically refers to the redemption | | | | easier. |
| fee that is reduced or eliminated for specified | | | | It is important that one gets to understand what |
| holding periods on a constant reducing rate. A | | | | these fees entail and how they differ from all the |
| redemption fee is that charge that is imposed on | | | | other fees that are bound to be charged on the |
| any share that an investor wishes to sell off or to | | | | investment. The fees are in many cases given in |
| liquidate. | | | | percentages and are transaction based, and this |
| These charges differ in regard to the type of | | | | applies to the CDSC fees as well. Some of the |
| stock or share that one holds. For that reason, an | | | | other fees that go hand in hand with the CDSC |
| investor is called upon to first scrutinize the | | | | fees include the 12b-1 fees, which is the charge |
| different types of stocks and securities there are | | | | that is paid for the cost of marketing and selling |
| under the mutual funds category. Selecting these | | | | the fund. They are normally charged at a 1% |
| categories can prove to be quite a challenge but | | | | rate. |
| with the contingent deferred sales charges, the | | | | |