Sales Charge

A sales charge is a fee that some mutual funds take when an investor buys or sells shares, usually to pay the broker or adviser who sold them. It is another name for a load, and the types are explained in full on the Mutual Fund Loads page.

A charge taken when shares are sold is a contingent deferred sales charge, and larger purchases may qualify for a lower rate at a breakpoint. The charge is built into the public offering price.