held by the investment company. Thus, investors can select a fund that specializes in the types of investment vehicles with which they are comfortable.
Mutual funds may also be distinguished as either load or no load funds. A load fund charges a fee at the time of share purchase in the fund to cover selling and administrative expenses. A no load fund collects selling and administrative expenses out of the fund earnings. A load fund also collects a management fee; however, the load fund management fee is typically less than that of the no load fund. The load fee charged by a load fund is typically much higher than that associated with a common stock purchase from a broker. The load fee for a mutual fund, however, covers both the buying and the selling of the share in the mutual fund. While no load funds have an understandable appeal in relation to load funds, all no load funds are not necessarily a better deal than all load funds, although such may be the case most often. Most mutual funds are regulat
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