Am I reading this right?

Here’s a paragraph from the section on Class B mutual funds:

" 12b-1 fees are moderate with class B shares. The highest possible sales charge that can be assessed is 0.75%, and class B shares typically have their fees lower than the maximum. Funds that charge the maximum 12b-1 fee of 0.75% are limited from charging the maximum sales charge of 8.5%. Instead, their maximum possible sales charge is reduced to 7.25%. The regulators impose this rule to ensure that investors are not paying excessive fees."

Shouldn’t the second sentence be “The highest possible 12b-1 fee that can be assessed is 0.75%, and class B shares typically have their fees lower than the maximum.”

1 Like

Hey Trent,

Thanks for pointing out this typo. I’ve corrected it!

https://app.achievable.me/study/finra-sie/learn/investment-companies-open-end-management-companies-class-b-shares

1 Like