C-Share

Dictionary Says

Definition of 'C-Share'

A class of mutual fund with a level load. Class C shares don't have front-end loads, but have small back-end loads that are typically around 1% and may vanish once the shares have been held for a year. They have lower expense ratios than class B shares, but higher expense ratios than class A shares. Class C shares can be a good option for investors who will sell after a relatively short period, but will hold the shares for at least a year.
Investopedia Says

Investopedia explains 'C-Share'

Investors who plan to withdraw funds within a year may want to avoid C-shares because of the back-end load that is typically charged on short-term redemptions. At the same time, the higher ongoing expenses associated with C-shares make them an unappealing option for long-term investors. Countless mutual funds offer both low ongoing expenses and no front- or back-end loads, so it is easy to avoid the drawbacks associated with C-shares. Higher mutual fund fees are not associated with higher mutual fund returns.

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. A-Share

    In a family of ...
  2. B-Share

    A class in a ...
  3. Back-End Load

    A fee (sales ...
  4. Expense Ratio

    A measure of ...
  5. Front-End Load

    A commission or ...
  6. Load Fund

    A mutual fund ...
  7. Mutual Fund

    An investment ...
  8. Net Asset Value - NAV

    A mutual fund's ...
  9. Reclassification

    The process of ...
  10. Z-Share

    A class of ...

Articles Of Interest

  1. The ABCs Of Mutual Fund Classes

    Do you understand how the various types of shares differ? We give you the pros and cons of each.
  2. Mutual Fund Basics Tutorial

    Learn about the basics - and the pitfalls - of investing in mutual funds.
  3. 4 Strategies For Managing A Portfolio Of Mutual Funds

    Discover some common strategies to devise a plan and maintain your holdings to reflect it.
  4. 5 Ways To Measure Mutual Fund Risk

    These statistical measurements highlight how to mitigate risk and increase rewards.
  5. Socially Responsible Mutual Funds

    It is possible to avoid unethical investments and still profit from mutual funds. Find out how!
  6. Socially (Ir)responsible Mutual Funds

    Not concerned about being an ethical investor? Maybe "sinful stocks" have a place in your portfolio.
  7. Should You Follow Your Fund Manager?

    Learn how to tell if a fund in flux is still a suitable investment.
  8. Build A Model Portfolio With Style Investing

    This sophisticated approach will add flair to your returns.
  9. 12b-1: Understanding Mutual Fund Fees

    Many mutual funds charge investors a 12b-1 fee to pay for marketing and promotion expenses.
  10. Tips For Controlling Investment Losses

    A profit/loss plan helps investors recognize mistakes and invest logically, rather than emotionally.

comments powered by Disqus
Recommended
Loading, please wait...
Trading Center