SIE practice questioneasyMutual Funds - 12b-1 Fees
12b-1 fees in mutual funds are used to cover:
- AManager's performance bonus
- BMarketing and distribution expenses✓ Correct answer
- CFund redemption costs
- DRegulatory filing fees
Explanation
Why B — Marketing and distribution expenses
12b-1 fees are charged for marketing and distribution, not for performance, redemptions, or regulatory costs.
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