Rule 12b-1 Fee

Business, Legal & Accounting Glossary

Definition: Rule 12b-1 Fee


Rule 12b-1 Fee


Full Definition of Rule 12b-1 Fee


An extra fee charged by some mutual funds to cover promotion, distributions, marketing expenses, and sometimes commissions to brokers. A genuine no-load fund does not have Rule 12b-1 fees, although some funds calling themselves “no-load” do have Rule 12b-1 fees (as do some load funds). Rule 12b-1 fee information is disclosed in a fund’s prospectus, is included in the stated expense ratio, and is usually less than 1%. also called 12b-1 fee.


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Definition Sources


Definitions for Rule 12b-1 Fee are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 20th November, 2021 | 0 Views.