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12B-1 Plan

Contents

Demystifying 12B-1 Plans: Understanding Mutual Fund Distribution Strategies

Explore the intricacies of 12B-1 plans, essential structures utilized by mutual fund companies for fund distribution through intermediaries. Delve into sales commissions, 12B-1 expenses, and regulatory disclosures to grasp the dynamics of these plans.

Deciphering 12B-1 Plans

Gain insight into the purpose and function of 12B-1 plans, which facilitate partnerships between mutual fund distributors and intermediaries. Understand how these plans play a crucial role in fund sales and distribution strategies.

Unveiling Sales Commissions

Explore the nuances of sales commission schedules within 12B-1 plans, crucial for compensating intermediaries involved in mutual fund transactions. Learn about various sales load structures and their impact on different share classes.

Analyzing 12B-1 Expenses

Dive into the realm of 12B-1 expenses, payments made from mutual funds to distributors and intermediaries for marketing and distribution efforts. Discover the regulatory framework surrounding 12B-1 fee structures and their implications for investors.

Ensuring Disclosure and Transparency

Understand the importance of full disclosure in 12B-1 plans, as mandated by regulatory authorities. Explore the role of prospectuses in providing investors with essential information about fund expenses and distribution strategies.