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C-Share

What is a 'C-Share'

A C-share is a class of mutual fund with a level load. Class C shares tend to not have front-end loads, but they often carry small back-end loads. These loads are typically around 1% and may vanish once the investor has held the shares of the mutual fund for a year.

Explaining 'C-Share'

Class C shares often have lower expense ratios than class B shares but higher expense ratios than class A shares. Class C shares may be a good option for investors who plan to sell after a relatively short period but will hold the shares for at least a year.

Fees Associated with Class C Shares

In addition to the back-end load of contingent deferred sales charge (CDSC) associated with class C shares, these shares may also charge a 12b-1 fee. A fund charges a 12b-1 fee to cover its distribution and marketing costs. Total 12b-1 fees are capped at 1% annually and are reflected in the fund's expense ratio. Of the 1% fee, distribution and marketing expenses can be up to 0.75%, while service fees max out at 0.25%.

Example of a Fund Offering Class C Shares

The Calamos Growth Fund is an example of a fund with both class A and class C shares. The class A shares charge an expense ratio of 1.32%, 0.25% of which is a 12b-1 fee, and a maximum 4.75% front-end load that decreases based on the amount that is invested. The fund's class C shares don't have a front-end load, but they carry a maximum 1% CDSC on shares held less than one year. The class C shares also impose the maximum 1% 12b-1 fee, pushing the fund's overall expense ratio to 2.07%.


Further Reading


Macro-economic effects of stabilisation under financial repression
www.jstor.org [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …

Economic effects of VAT reforms in GermanyEconomic effects of VAT reforms in Germany
www.tandfonline.com [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …

Economic aspects of decentralized government: Structure, functions and financeEconomic aspects of decentralized government: Structure, functions and finance
academic.oup.com [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …

Financial markets, financial dependence, and the allocation of capitalFinancial markets, financial dependence, and the allocation of capital
www.sciencedirect.com [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …

The role of trade finance in the US trade collapse: A skeptic's viewThe role of trade finance in the US trade collapse: A skeptic's view
elibrary.worldbank.org [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …

Computing efficient financial strategies: An extended compromise programming approachComputing efficient financial strategies: An extended compromise programming approach
www.sciencedirect.com [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …

The Algerian Retrenchment System: a financial and economic evaluationThe Algerian Retrenchment System: a financial and economic evaluation
academic.oup.com [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …

Financial repression, the new structuralists, and stabilization policy in semi-industrialized economiesFinancial repression, the new structuralists, and stabilization policy in semi-industrialized economies
www.sciencedirect.com [PDF]
… Firms are assumed to finance their capital stock by borrowing from either banks or the … Lectures on structuralist macro economic theory (the MIT Press) Wijnbergen Van, 1983 a, Credit … and growth in a financially repressed economy, Journal of Development Economics, 13 Aug …



Q&A About C-Share


What are the main differences between class A and class C shares?

Class A shares have front end loads while Class C shares do not. However, Class C shares have back end loads that can be up to 1 percent. Both classes charge 12b-1 fees.

How does the Calamos Growth Fund differ from other funds in its category?

The Calamos Growth Fund has both class A and class C shares. The class A share charges an expense ratio of 1.32, .25 of which is a 12b-1 fee, and a maximum 4.75 front end load that decreases based on the amount invested by the investor. The fund's class C share don't have front end loads but carry maximum 1% back end loads on shares held less than one year and also impose maximum 1% 12b-1 fee pushing the fund's overall expense ratio to 2.7%.

What is collaborative consumption?

Collaborative consumption involves a shared creation, production, distribution, trade or consumption activity among peers who make use of information technology such as mobile devices or computers to connect with each other for these purposes. It includes activities such as carpooling, peer-to-peer ridesharing, crowdfunding etc., where people share resources for their mutual benefit.

What is P2P lending?

P2P lending involves a person's ability to lend money directly to another individual or entity through an online platform without going through a financial institution. It can be contrasted with crowd funding which funds projects rather than individuals' needs/wants directly via small contributions from multiple sources . P2P lending platforms provide various kinds of loans including unsecured personal loans , business loans , student loans etc . In many cases borrowers may receive offers from multiple lenders competing for their business before they choose one based on factors like interest rate and loan amount offered . A key difference between peer-to-peer lending and traditional banking methods is that there are no middlemen involved in providing these services – hence it has been described as "

Who is Lawrence Lessig?

Lawrence Lessig is possibly first to use the term in 28.

How did the Great Recession influence the growth of this type of economy?

The Great Recession influenced this type of economy by enabling social technologies, and an increasing sense of urgency around global population growth and resource depletion.

What is a C-share?

A C-share is a class of mutual fund with a level load.

What are two types of sharing economies?

There are two main types of sharing economies; Collaborative consumption and Peer-to-peer (P2P) lending.

What does the sharing economy entail?

The sharing economy entails a way of purchasing goods and services that differs from the traditional business model of companies hiring employees to produce products to sell to consumers.

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