The Broker Penalty for Load Index Funds: Triple Cost
Investors who buy index mutual funds through brokers are paying a steep broker penalty by being sold funds with much higher operating expense fees even before adding the distribution fees related to the cost of using the broker, according to a study by the Zero Alpha Group (ZAG) and Fund Democracy. The bottom line for investors: The extra operating costs paid over time for broker-sold load index funds are triple those paid by investors in true no-load mutual funds.
...To continue reading this article you must be registered with AAII.
Already registered with AAII? Login to read the rest of this article.
to read this article and receive access to future AAII.com articles.