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2020-08-15
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In a family of multi-class mutual funds, this is the class that is usually characterized by a loaded fee structure. Class A mutual fund units will commonly have a front- or rear-end load, to compensate for the sales person's commission. Not all fund companies follow this class structure; however, it is the prominent method of distinction.
|||Typically, the class A fund has a lower management expense ratio compared to the other classes within the same family. This is due to the load that is added to the acquisition cost, or redemption.