Rights of Accumulation - ROA
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Definition of 'Rights of Accumulation - ROA'
A right that allows a shareholder to receive reduced sales charges when the amount of mutual funds purchased, plus the amount already held, equals an ROA breakpoint. In addition, there is no time limit on how long the mutual fund needs to be held to qualify for a ROA.
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Investopedia explains 'Rights of Accumulation - ROA'
For example: You wish to buy $2,000 of Fund ABC with a sales charge of 5.50% to add to your existing $19,000 of the same fund in your account. Given that Fund ABC is linked to an ROA and that the breakpoint is $20,000, you would qualify for a reduced sales charge (i.e. 5.25%). Also, the entire purchase ($2,000) would qualify for the reduced sales charge and not just the amount in excess of $20,000.
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Search results for 'Rights of Accumulation (ROA)'
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http://www.investopedia.com/exam-guide/finra-series-6/investment-companies/sales-charges.asp
... guide. This section discusses Breakpoints, Letters of Intent (LOI), Rights
of Accumulation (ROA) and exchanges within fund families. ...
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http://www.investopedia.com/exam-guide/series-26/investment-companies/breakpoints.asp
... Rights of Accumulation (ROA): Rights of accumulation allow the investor to qualify
for a reduced sales charge on a new purchase by using prior share ...
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http://www.investopedia.com/exam-guide/series-7/customer-accounts/costs-and-fees.asp
... Rights of Accumulation (ROA): a retroactive application of reduced breakpoint
sales charges based upon the accumulation of assets in the fund. ...
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http://www.investopedia.com/articles/mutualfund/08/breakpoints.asp
... Rights of accumulation (ROA) provides the benefit of breakpoints on new purchases
of any amount after you realize certain levels of total invested assets. ...
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http://www.investopedia.com/exam-guide/series-7/portfolio-management/mutual-fund-analysis.asp
... Right of accumulation (ROA). : This gives an investor a discount on current mutual
fund purchases by combining both current and previous fund transactions to ...
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http://www.investopedia.com/exam-guide/series-65/stocks-mutual-funds/mutual-fund-classes-charges-expenses.asp
... Another option is the right of accumulation (ROA), which allows the investor to
use amounts invested in the past to calculate the breakpoint discount. ...
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