Definition of 'back-end load'

back-end load in British

noun

the final charges of commission and expenses made by an investment trust, insurance policy, etc, when the investor is paid out

Derived forms

back-end loading

noun

back-end load in Finance

(bæk ɛnd loʊd)

Word forms: (regular plural) back-end loads

noun

(Finance: Investment)

A back-end load is a charge that an investor pays when they sell shares in a mutual fund, or when they cancel a life insurance policy.

A back-end load can amount to as much as 5 or 6 percent of the investment.

Some back-end load funds impose a full commission if the shares are redeemed within a designated length of time, such as one year.

A back-end load is a charge that an investor pays when they sell shares in a mutual fund, or when they cancel a life insurance policy.

back-end load in Insurance

(bæk ɛnd loʊd)

Word forms: (regular plural) back-end loads

noun

(Insurance: Life insurance)

A back-end load is a charge that an investor pays when they cancel a life insurance policy.

Universal life policies usually carry a back-end load, often called a surrender charge, which ordinarily is a graded penalty applied against the cash value if the policy is terminated within a few years of issue.

When the investor exits a mutual fund, a back-end load is applied which reduces the redemption value.

A back-end load is a charge that an investor pays when they cancel a life insurance policy.

load

Nearby words of 'back-end load'

Source

Definition of back-end load from the Collins English Dictionary

Tense

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