front-end load

[ fruhnt-end ]

noun

1. the sales commission and other fees taken out of the first year's payment under a contractual plan for purchasing shares of a mutual fund front-endloadfund over a period of years.

front-end load

noun

1. commission and other expenses paid for as a large proportion of the early payments made by an investor in an insurance policy or a long-term investment plan

Derived Forms

• front-end loading, noun

Word History and Origins

Origin of front-end load¹

First recorded in 1960–65

Example Sentences

Typically, Class A shares will have front-end load fees that are as high as 5 percent.

From Encyclopedia.com

That would offset the front-end load fees you would pay.

From Encyclopedia.com

You do not have to pay a front-end load fee with Class C shares and typically, the backend load will be equivalent to 1 percent or less.

From Encyclopedia.com

"The question is whether the economy can avoid recession and that would depend on what the Fed does. If the Fed raised by 50 and they say they're willing to consider 75, then we know that they're not going to get ahead of inflation. You need to front-end load the hikes."

From Reuters

Investors in a mutual fund’s A share class pay a sales load as an upfront cost, called a front-end load.

From Seattle Times