Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
Consider a fund that holds $420m in financial assets and has 40m shares outstanding. The fund charges 5% front-end load. Each year, the funds assets
Consider a fund that holds $420m in financial assets and has 40m shares outstanding. The fund charges 5% front-end load. Each year, the funds assets value increases by 10%. The fund charges management fees of .5% and 12b-1 fees of .5% at the end of the year. What is the average realized annual return to an investor investing in the fund for 11 years? (Provide your answer in percent rounded to two decimals, omitting the % sign)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started