SIE practice questioneasyMutual Funds - 12b-1 Fees
Which fee is specifically designated for the marketing and distribution of mutual fund shares?
- AManagement fee
- B12b-1 fee✓ Correct answer
- CBack-end sales load
- DExchange fee
Explanation
Why B — 12b-1 fee
12b-1 fees cover marketing and distribution expenses. Management fees pay for investment management (B), back-end loads are redemption charges (C), and exchange fees apply to moving between funds (D).
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