Search results
Results from the WOW.Com Content Network
Taxes on mutual funds when you sell shares If the securities held in your mutual fund perform well, the fund’s NAV will appreciate, giving you a gain on your original purchase.
As a mutual fund owner, you may have to pay taxes on any income your shares generate. But how are mutual funds taxed when you sell? Being aware of your tax obligations whe you own a mutual fund can...
When investing in mutual funds, it’s important to understand the fees you’ll pay.A sales load is a commission fee that applies when you buy or sell shares of a mutual fund. There’s more than ...
Basis (or cost basis), as used in United States tax law, is the original cost of property, adjusted for factors such as depreciation. When a property is sold, the taxpayer pays/(saves) taxes on a capital gain /(loss) that equals the amount realized on the sale minus the sold property's basis.
One notable component of the expense ratio of U.S. funds is the "12b-1 fee", which represents expenses used for advertising and promotion of the fund. 12b-1 fees are paid by the fund out of mutual fund assets and are generally limited to a maximum of 1.00% per year (.75% distribution and .25% shareholder servicing) under FINRA Rules.
For premium support please call: 800-290-4726 more ways to reach us
Generally, unlike future performance, expenses are predictable. Funds with high expense ratios tend to continue to have high expense ratios. An investor can examine a fund's "Financial Highlights" which is contained in both the periodic financial reports and the fund's prospectus, and determine a fund's expense ratio over the last five years (if the fund has five years of history).
Buying and selling shares. Unlike stocks, mutual funds trade only once per trading day. You can buy more shares or sell your shares at the daily NAV price, and the fund executes your trades at the ...