An 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%.
Related information about 12b-1 fee:
- 12B-1 Fee Definition | Investopedia
An annual marketing or distribution fee on a mutual fund. The 12b-1 fee is considered an operational expense and, as such, is included in a fund's expense ratio ...
- What Exactly Are 12b-1 Fees, Anyway? - WSJ.com
Jul 6, 2010 ... Many of the funds, in turn, charge investors a 0.25% 12b-1 fee to partially cover that cost ... That 12b-1 fee can be in addition to a front-end load.
- Mutual Fund Fees and Expenses
Aug 8, 2007... will be disclosed in the fund's prospectus. A fund or class with a contingent deferred sales load typically will also have an annual 12b-1 fee.
- Mutual fund fees and expenses - Wikipedia, the free encyclopedia
They also tend to have a lower 12b-1 fee and lower annual expenses than other ... One notable component of the expense ratio of U.S. funds is the "12b-1 fee", ...
- SEC Proposes New 12b-1 Fee Rules - CBS News
Jul 27, 2010 ... The SEC is proposing new 12b-1 fee rules. Is this a step in the right direction, or just more of the same?
- What is 12b-1 fee? definition and meaning
Definition of 12b-1 fee: An extra fee charged by some mutual funds to cover promotion, distributions, marketing expenses, and sometimes commissions to ...
- What Is a Mutual Fund 12b-1 Fee? - Mutual Funds - About.com
A fee that is charged by some mutual funds, which is used to pay marketing, distribution, and service costs, and is paid to the broker. The Financial Industry ...
- The True Cost of 12b-1 Fees
Nov 11, 2010 ... Collectively, these funds had an average net expense ratio of 1.19%, an average 12b-1 fee of 0.13%, and an average 15-year annualized ...