Costs & Fees
Distribution Fee
Definition
What is Distribution Fee?
A fee used to compensate parties that market or distribute an investmentAn asset or commitment of money made with the expectation of future income, growth, or both. product.
Example in practice
How This Looks in Practice
The retail share classA fund class intended for individual investors, often with lower minimums than institutional classes. includes a distributionIncome or realised gains paid by a fund to its unitholders. fee.
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Related Terms
Costs & Fees
Management Fee
The recurring fee paid from fund assets to the fund manager for managing the portfolio.
Costs & FeesExpense Ratio
A fund's annual operating expenses expressed as a percentage of its average net assets.
Costs & FeesEntry Load
A charge deducted when an investor subscribes to a fund.
Plans & OptionsAccumulation Option
A fund option that retains or reinvests income so it contributes to unit-value growth.