american funds breakpoints dealer concession
For example, a mutual fund might charge a front-end load of 5.75 percent for share purchases of less than $50,000, but reduce the load to 4.50 percent for investments between $50,000 and $99,999, and further reduce or eliminate the load for larger investments. For retail accounts established directly at the fund company, the initial and subsequent minimums are different. When considering their obligations to provide all available breakpoint discounts on sales of Class A shares of front-end load mutual funds, member firms may review the following Breakpoint Checklist and Breakpoint Worksheet, which may help member firms evaluate their breakpoint compliance programs and confirm whether they are capturing all relevant categories of information to provide customers all available breakpoint discounts. 2 Listed are the front-end sales loads reallowed to dealers as a percentage of the offering price of certain of the funds Non Money Market Investor A Shares. To assess your clients' opportunities to receive breakpoint discounts, you should: For more guidance on how to ensure your clients receive the appropriate breakpoint discount, please see our Mutual Fund Breakpoints Web page. Investor C shares automatically convert to Investor A shares approximately eight years after the date of purchase. In the process of conducting routine firm examinations in 2002, NASD identified problems in mutual fund transactions, in which eligible customers did not always receive their entitled breakpoints. Net Asset Value (NAV) Purchases Subject to Dealer Concessions: Dealers receive concessions on Class A share purchases made within a 12-month period beginning with the first NAV purchase under the following circumstances: Purchases of $500,000 or more of select funds (in Table B above), or $1 million or more of all other funds; 5 The Distributor may pay a dealer reallowance or placement fee to the dealer as shown on NAV purchases of Investor A shares. Gross dealer concession (GDC) is the revenue paid to a brokerage firm when commissioned securities and insurance salespeople sell a product. Read the prospectus carefully before investing. 04/28/23. See the funds' prospectuses for more information. This additional sales charge represents the difference between the sales charge actually paid and the higher sales charge due. Derivatives entail risks relating to liquidity, leverage and credit that may reduce returns and increase volatility. If a dealer waives its right to receive a dealer reallowance, the fund may, at its own discretion, waive the CDSC related to NAV purchases of Investor A Shares. Any loss on short positions may or may not be offset by investing short-sale proceeds in other investments. *Excludes American Funds Preservation Portfolio, American Funds Tax-Exempt Preservation Portfolio and American Funds Tax-Aware Conservative Growth and Income Portfolio. Non-investment-grade debt securities (high yield/junk bonds) may be subject to greater market fluctuations, risk of default or loss of income and principal than higher rated securities. Group Employer-Sponsored Retirement Plans Serviced by Retirement Recordkeepers, Broker-Dealer Sponsored Wrap Programs/Fee-Based. We build funds based on investor needs, then we search the world to find time-tested portfolio teams with specialized expertise in those strategies. Find company research, competitor information, contact details & financial data for ALEF TRADE SP Z O O of Gdask, pomorskie. Direct purchases of the money market fund are excluded. The Advisor's affiliated broker-dealer, D.A. Contact Fidelity for a prospectus or a summary prospectus, if available, containing this information. Invesco SteelPath MLP Income Fund Class Y. We do not aggregate accounts of investors who are affiliated with each other by virtue of being in an association. Class A no load investor A shares no load - purchased with no sales charge at any investment amount. American Century Investments also may waive the minimum initial investment in other situations it deems appropriate. Financial intermediaries may require their clients to meet different investment minimums. To learn more about sales charge waivers and/or discounts for Class A/A1 shares, click on the 'Quantity Discounts' tab above. If a mutual fund offers breakpoint discounts, the breakpoint schedule will be listed in the fund's prospectus and statement of additional information. Read the mutual fund prospectus or Statement of Additional Information, check a mutual fund company's website, or ask a financial professional for information on the terms and conditions of any available breakpoints. To assist firms in fulfilling their obligation to provide all available breakpoint discounts on the sales of front-end load mutual funds, FINRA recommends that firms at the time of purchase or periodically thereafter provide investors with a Written Disclosure Statement explaining the availability of breakpoint discounts. Record this information in each investor's files so that future purchases of this fund may result in additional breakpoint discounts. 3.63% (m) 2.39% (m) CUSIPS. Growth, value, blend, global sector, asset allocation funds, and 529 options - class A. NAV purchases at specified breakpoints on BlackRock fixed income funds may be subject to a CDSC if liquidated within 9 months of purchase as follows: Short-Term Municipal: 0.25%. An ROA allows an investor to aggregate his own fund shares with the holdings of certain related parties, such as spouses and children, toward achieving the investment thresholds at which breakpoint discounts become available. Before investing in any state's 529 plan, investors should consult a tax advisor. You'll be familiar with this term if you're an insurance or securities salesperson, as your commission is often based on GDC. At the request of the Securities and Exchange Commission ("SEC"), NASD convened and led a Joint NASD/Industry Breakpoint Task Force, with representatives from, among others, Investment Company Institute ("ICI"), Securities Industry Association ("SIA"), National Security Clearing Corporation ("NSCC"), broker/dealers, mutual funds, and transfer agents, to examine the difficulties that the financial industry experienced delivering breakpoint discounts on Class A mutual fund share sales and to develop recommendations to facilitate the complete and accurate delivery of breakpoint discounts in the future. You can help your clients assess their opportunities to receive breakpoint discounts by taking the following steps: FINRA provides an outline for training associated persons involved in the sale of Class A shares of front-end load mutual funds. Reducing Your Sales Charge. You can reduce the sales charge you pay on Class A, 529-A and ABLE-A share purchases by establishing a statement of intention. The Joint NASD/Industry Task Force recommended two changes to mutual fund confirmations that are intended to help investors determine whether they received all the breakpoints discounts to which they were entitled on each mutual fund transaction. There is no deferred sales charge for the BlackRock Money Market Option; however, if you transfer assets from other Investment Options to the BlackRock Money Market Option and then withdraw from the BlackRock Money Market Option within the one-year holdings period that applied to the original Investment Option, the applicable contingent deferred sales charge that applied to the original Investment Option will continue to apply. The amount eligible for this "Reinstatement Privilege" may not exceed the amount of your redemption proceeds and is only allowed once per year.See the funds' prospectuses for more information. Trust accounts established by the above family members. Investors should also note that the . Use the training services of our company to understand the risks before you start operations. Have your client read it carefully. *Effective May 1, 2020, the fund was renamed to BlackRock Income Fund. Youll need to send a letter of instruction along with a new account application, if needed. What can I do to ensure that my clients receive breakpoint discounts? A 0.75% contingent deferred sales charge (CDSC) may be assessed if a redemption occurs within 18 months of purchase. Although Summit seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. In a letter to NASD Chairman and Chief Executive Officer Robert R. Glauber, dated January 15, 2003, former Securities and Exchange Commission (SEC) Chairman Harvey L. Pitt requested that NASD, joined by the Securities Industry Association (SIA) and the Investment Company Institute (ICI), convene a task force to recommend industry-wide changes to address errors and missed opportunities to provide discounts in the calculation of sales loads charged on the purchase of mutual fund shares that carry a front-end sales load. The size of the potential loss is limited to the funds held by us for and on your behalf, in relation to your trading account. An LOI allows investors to receive breakpoint discounts based on a commitment to buy a specified number of shares over a period of time, usually 13 months. Aquila Opportunity Growth Fund is a diversified, open-end mutual fund. Amount invested. A contingent deferred sales charge of 1.00% may be imposed, however, on redemptions made within 18 months of the date of purchase on shares that were purchased without an initial sales charge. Washington, DC 20006 As a global investment manager and fiduciary to our clients, our purpose at BlackRock is to help everyone experience financial well-being. The minimum initial investment amount is generally $5 million ($3 million for endowments and foundations) per fund. Excludes American Funds College Enrollment Fund. If you redeem Investor A or Institutional shares and within 90 days buy new Investor A Shares of the same or another fund, you will not pay a sales charge on the new purchase amount. Dealer commissions for Class 529-A and ABLE-A shares Ongoing service fees Investments made below the $1 million breakpoint are immediately eligible for ongoing service fees. The extent of the discount depends on the amount invested in a particular family of funds. Funds listed under the "Domestic Equity" category have a majority of their assets invested in U.S. issuers, but may also invest in non-U.S. issuers. If the fund makes short sales in securities that increase in value, the fund will lose value. Stock and bond values fluctuate in price so the value of your investment can go down depending on market conditions. Sales charges & breakpoints Account aggregation Concurrent purchases Rights of accumulation Statement of intention Right of reinvestment (reinstatement) Gift of shares Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value. These fees are paid over the life of the investment and you receive 1.00% immediately and an ongoing trail of 1.00% that begins in the 13th month, subject to certain broker/dealer payout policies. 1The Distributor may pay a dealer reallowance or placement fee to the dealer as shown on NAV purchases of Investor A Shares of $1 million or more. In order to research eligibility for a breakpoint discount, FINRA has created a Fund Analyzer. Please see FINRA OGC Interpretative Guidance for more information. If you have additional questions, please call 800-847-0200 to speak with a shareholder representative. In the tables below, you can look up sales charges for mutual fund purchases. FINRA operates the largest securities dispute resolution forum in the United States, To report on abuse or fraud in the industry. Current performance may be higher or lower than the performance shown. Registered investment products (including mutual funds and ETFs) and collective investment trusts managed by Fidelity Management Trust Company (FMTC) are offered by Fidelity Distributors Company LLC (FDC LLC), a registered broker-dealer. Mutual fund prospectuses and statements of additional information also may be available online at a fund company's website. It's relatively straightforward for the salesperson to compare potential compensation between brokerage firms, and allows him or her to see how much the firm is earning from their work. CollegeAmerica and ABLEAmerica are nationwide plans sponsored by Virginia529. 12.28. Life and annuity products are issued by Nationwide Life Insurance Company or Nationwide Life and Annuity Insurance Company, Columbus, Ohio. 3 NAV purchases on most equity and multi-asset funds will be subject to a 1.00% charge if liquidated within 18 months of purchase.4The following reallowance/placement fee to dealers will apply to mostMulti-Asset Funds:1.00% on $1,000,000 to $2,999,999, 0.50% on $3,000,000 to $14,999,999, 0.25% on $15,000,000 and above;BlackRock Balanced Capital / BlackRock Multi-Asset Income / BlackRock Dynamic High Income:0.75% on $250,000 to $2,999,999, 0.50% on $3,000,000 to $14,999,999, 0.25% on $15,000,000 and above;BlackRock Tactical Opportunities:0.75% on $1,000,000 to $2,999,999, 0.50% on $3,000,000 to $14,999,999, 0.25% on $15,000,000 and above;BlackRock Global Allocation:1.00% on $250,000 to $2,999,999, 0.50% on $3,000,000 to $14,999,999, 0.25% on $15,000,000 and above;BlackRock Managed Income:0.50% on $250,000 to $2,999,999, 0.25% on $3,000,000 to $14,999,999, 0.15% on $15,000,000 and above. The F1 share class of . A contingent deferred sales charge of .50% may be imposed, however, on redemptions made . Ask your clients for the information necessary to determine their eligibility for breakpoint discounts, such as their fund holdings and the holdings of their spouse or children, among other relatives. Select a fund for details on strategy, expenses, performance, and rankings. If you are making a gift of shares, you can purchase the shares at the sales charge discount allowed under the rights of accumulation of all your American Funds accounts. assets under management. FINRA's Office of General Counsel (OGC) staff provides broker-dealers, attorneys, registered representatives, investors and other interested parties with interpretative guidance relating to FINRAs rules. *American Legacy accounts established on or before March 31, 2007, may count toward a statement of intention. FIAM products and services may be presented by FDC LLC, a non-exclusive financial intermediary affiliated with FIAM and compensated for such services. These fees are paid over the life of the investment and you receive 1.00% immediately and an ongoing trail of 1.00% that begins in the 13th month, subject to certain broker/dealer payout policies. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. A 0.25% trail commission, which begins immediately, is paid to the broker-dealer every month for the average assets held in class A shares. custodial and transfer agent fees If a mutual fund adopts a so-called "12b-1" plan (so named for the SEC rule), it is permitted to charge, as an annual expense against net assets, the cost of soliciting new investment into the fund. The referenced initial and subsequent minimums are for accounts established through a financial intermediary. Bonds are an important asset class in financial markets that are often used in a diversified A share is a unit of ownership of a company. CollegeAmerica and ABLEAmerica are distributed by American Funds Distributors, Inc. and sold through unaffiliated intermediaries. This applies to all direct fund purchases (except the money market fund) into multiple accounts that you and/or your immediate family own. Class A UnitsPurchased with varying initial sales charges, depending on the fund and investment amount, and provide up-front commissions and ongoing trails that begin immediately. It also invests in securities issued and guaranteed by the U.S. government and by federal agencies and . Do Not Sell My Personal Information, Learn more about offering Nationwide mutual funds. You should check with your financial professional to determine if this applies to your account(s). The investment seeks conservation of capital, current income and long-term growth of capital and income. Investment returns and principal value will fluctuate so that when shares are redeemed, they may be worth more or less than their original cost. Please refer to our Risk Disclosure Statement. Commodity interest trading involves substantial risk of loss. However, if the investor does not actually make the required purchases at the end of the specified period, he or she will be required to forfeit the discounts received pursuant to the letter of intent. * Trail for BlackRock Summit Cash Reserves is 0%.Since all Investor C Shares of Summit must be purchased in an exchange transaction for Investor C Shares of a non-money market fund advised by BlackRock or its affiliates, a contingent deferred sales charge (CDSC) of 1.00% may apply to certain redemptions of Summits Investor C Shares. Only available to clients of certain intermediaries as defined in the latest program disclosure document which can be foundhere. Discuss with your clients whether breakpoint discounts are available before they buy mutual fund shares. 5. Since FINRA recognizes that every firm has a unique business model, firm element training methods and content may vary. Although the fund seeks to preserve the value of your investment at $1.00 per share, it cannot guarantee it will do so. This tool allows you to look up breakpoint schedules and linkage rules for mutual funds with sales charges to ensure discounts are given where applicable. Supplemental information containing changes to the original prospectus may have been added to the beginning of the document. Breakpoints/Volume Discounts and Sales Charge Waivers . A money market fund is not designed to offer capital appreciation. Mutual funds pool the money of many investors, who buy shares of the funds, to purchase a range of securities to meet specified objectives, such as growth, income or both. Typically, when interest rate rise, there is a corresponding decline in bond values. To purchase Nationwide funds, call 1-877-245-0761to talk to a specialist, or speak with your financial professional. Under $50,000. Summits sponsor has no legal obligation to provide financial support to Summit, and you should not expect that the sponsor will provide financial support to Summit at any time. California Privacy Rights Act If your account has been closed, the money can be reinvested into another fund provided: See your financial professional or the funds statement of additional information for details. Depending on your state of residence, there may be an in-state plan that provides state tax and other state benefits not available through CollegeAmerica (such as financial aid, scholarship funds and protection from creditors) or ABLEAmerica. 6. CDSC of 1.00% is applied if withdrawal is made within one year of purchase.*. 4. All rights reserved. If you do not complete your statement of intention during the 13-month period, an additional sales charge will be due on the investment(s) made under the agreement. You may be able to reduce the sales charge on Class A shares of the Fund 5.75%. In addition to issuing Investor Alerts, FINRA has developed a Fund Analyzer that may help investors choose the right mutual fund share class in order to minimize fees. Firm compliance professionals can access filings and requests, run reports and submit support tickets. The fund's prospectus or summary prospectus, which can be obtained by calling 1.800.345.2021, contains this and other information about the fund, and should be read carefully before investing. FR. The amount eligible for this "Reinstatement Privilege" may not exceed the amount of your redemption proceeds and is only allowed once per year. Special statement of intention rules apply to shareholders investing by payroll deduction. When recalculating sales charges for Class A purchases, should firms include the value of mutual fund holdings in Class B shares held in the same fund family? Cyber security Fidelity Institutional Asset Management (FIAM) investment management services and products are managed by the Fidelity Investments companies of FIAM LLC, a U.S. registered investment adviser, or Fidelity Institutional Asset Management Trust Company, a New Hampshire trust company. Small Business Retirement Plans include Business IRAs (SIMPLE, SEP and SARSEP), and Employer-sponsored retirement plans held in brokerage accounts whether a single account for all plan participants with the Fund or multiple accounts for each plan participant. Contact your financial professional orcall usto establish a statement of intention. American Legacy accounts established on or before March 31, 2007, may also be included. As of July 30, 2003, the 642 firms listed below submitted assessment results to NASD. The fund may use derivatives to hedge its investments or to seek to enhance returns. The initial sales charge can be reduced or eliminated through one or a combination of the following: a Letter of Intent, the Right of Accumulation or the reinstatement privilege. If you are eligible, you must inform Customer Service or your investment professional or other financial intermediary at the time of your purchase that you qualify for such a reduction or waiver in order to receive it. Additionally, some mutual funds allow investors to use an LOI retroactively to include the value of past purchases in the LOI period. Past profits do not guarantee future profits. Download Prospectus Mutual Fund or Exchange Traded Fund (ETF). Investing involves risk, including possible loss of principal. It also includes trust programs and trust services offered by Nationwide Trust Company, FSB. Investments made at or above the $1 million breakpoint become eligible for ongoing service fees after the assets are held for at least one year. You should consider your client's financial needs, goals, and risk tolerance before making any investment recommendations. Sales charge information for this fund is included in the table showing funds that have a 2.50% maximum sales charge. This list of Frequently Asked Questions covers topics such as Rights of Accumulation (ROA) and Letters of Intent (LOI), as well as resources to help you educate your clients. The Investor A front-end sales charges can be reduced or eliminated through one or a combination of the following: the Right of Accumulation, a Letter of Intent, the Reinstatement Privilege, quantity discounts or an applicable waiver of the sales charge. capitalization of less than $2 billion). Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value. MainGate MLP Fund Class A. Become familiar with breakpoint discounts offered by the mutual funds that you sell. This content, developed by Capital Group, home of American Funds, should not be used as a primary basis for investment decisions and is not intended to serve as impartial investment or fiduciary advice. Please see the funds' prospectuses for more information.
