ProductsCâu 8 / 110
Rights of accumulation differ from a letter of intent in that rights of accumulation:
a.Require the investor to commit to future purchases within a stated period
b.Have no time limit and let existing holdings count toward the next breakpoint
c.Apply only to shares purchased with reinvested dividends
d.Eliminate the sales charge entirely on all future purchases
Giải thích
Rights of accumulation allow the current value or total cost of shares already owned to be added to a new purchase so the combined amount reaches a breakpoint, and there is no deadline for using them. A letter of intent, by contrast, looks forward over 13 months. Rights of accumulation reduce, but do not eliminate, the sales charge and are not limited to reinvested shares.
Luyện miễn phí toàn bộ 110 câu hỏi — không cần đăng ký.
Câu hỏi liên quan cùng chủ đề
- Under FINRA rules, an open-end fund may impose the maximum permitted sales charge of 8.5% only if it offers which combination of features?
- A customer wants to invest $24,000 in a fund whose next breakpoint occurs at $25,000. The representative processes the $24,000 order without mentioning the breakpoint. This conduct is best described as:
- Which statement about a letter of intent (LOI) for mutual fund breakpoints is correct?
- A 12b-1 fee charged by a mutual fund is used primarily to pay for:
- A fund may describe itself as "no-load" only if its annual 12b-1 charges do not exceed:
- A 45-year-old investor has $250,000 to invest for retirement in about 20 years and expects to add money over time. Which share class is generally most appropriate?
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