A load fund will often offer several share classes, each with a different load and expense-ratio combination. The idea is to give investors a choice of whether they want to get smacked with a load right away or whether they want to put off the inevitable.
Represent ownership in the same fund, but charge different fees. This can enable shareholders to choose the type of fee structure that best suits their particular needs.
Represent ownership in the same fund, but charge different fees and/or provide different shareholder services, enabling shareholders to choose the type of structure that best suits their particular needs.
Some mutual funds use multiple share classes for the same underlying portfolio. For example, Class A shares would allow an investor to pay an upfront sales charge to enter a fund, whereas a Class B share would defer the sales charge based on how long the investor stays in the fund. Some mutual fund families only offer conventional share classes. Others, like Vanguard’s VIPERs are offering ETF versions of their funds.
Distinct groups of fund share offerings representing ownership in the same fund while offering different fee charges. This feature of fund ownership enables shareholders to choose the type of fee structure that best suits their particular needs.
A fund may offer different "classes" of shares of the same mutual fund. Multiple classes of shares - Class A, Class B, Class C, etc. - represent ownership in the same mutual fund, but charge different fees. This allows the investor to choose the fee structure that best fits their needs and investment horizon.