Question
Kallan has selected the Globex Fund A Shares as meeting her investment objectives. She would like to invest $2 million into the fund, which charges
Kallan has selected the Globex Fund A Shares as meeting her investment objectives. She would like to invest $2 million into the fund, which charges a 5% front-end load. What do you recommend?
a. She should not invest in the Globex Fund because it has a front-end load. | ||
b. She should not invest in the Globex Fund because the A Shares have a higher 12b-1 fee than the B Shares. | ||
c. She should invest in the Globex Fund because it meets her objectives. | ||
d. She should invest in the Globex Fund because it meets her objectives and Globex will likely waive the front-end load. |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored 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