Load vs No-load Mutual Funds

This video discusses the difference between a load and a no-load mutual fund. The "load" is a sales charge/commission paid to the financial advisor or broker who sold you the fund. A load can be front-end (charged when you buy shares in the fund) or back-end (charged when you withdraw money from the fund). No-load funds do not contain a load because they don't pay people to sell the fund. Historically, no-load funds have tended to outperform load funds.
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[@Foo3112]

This helped me understand load vs no load fund. Thanks!

[@Edspira]

No problem!

[@cmleonel]

This was very interesting, I’ll keep this in mind when looking for funds to invest in. Thank you!

[@jeremiah8437]

Now I see what happened when I invested in mutual funds last week. I think I'll make a loss bcuz I'm going to withdraw the money in less than or equal to a month's time. I learnt the hard way. Smh!

[@ranaleshalle7402]

You never spoke on maintenance fees. Normally a no load fund has a higher yearly maintenance fee than a loaded fund. So all things been equal, after 8-10 years it may be better to be in a loaded fund.

[@scooby7877]

Thats not necessarily true, it depends on the fund and also the different type of load, whether it be an a, b, or c class load. Typically they pay equal management expences ratios and the max maintenance fee that can be attached is only 1% of the investment which is called a 12b-1 fee

[@miantor672]

Thanks for the video....jeasus bless you

[@kynealdyr]

While you mentioned the expense ratio (12b-1 fees), the problem is that you did not go over the difference in expense ratios, which are traditionally higher in no load funds vs their front end fund counter parts. This can drastically alter the equations for long term investing.

[@eduardosanchez9708]

Thank You

[@wobinga7]

Thank you

[@Edspira]

No problem!