Sales Charge Waivers - Are You Getting Yours?

If you are a mutual fund investor, check your mutual fund prospectus for fee waivers. Look for language such as “Waivers for Certain Investors.” For example, one prospectus I reviewed provided waivers for “an employer-sponsored retirement plan with at least 100 participants or $500,000 in plan assets.” 

In July of 2015, FINRA ordered three brokerage firms to pay more than $30 million in restitution to customers for failing to waive mutual fund sales charges for certain charitable and retirement accounts. According to a FINRA release, Wells Fargo, Raymond James and LPL paid affected customers an estimated $15 million, $8.7 million and $6.3 million, respectively.  

These firms are not alone.  For a few other FINRA orders, see and

The takeaway for investors who are customers of brokerage firms is this: be informed.

This blog is an excerpt from Julie Jason's weekly column (Sept. 29, 2016).  Email for a full version. 

Website Design For Financial Services Professionals | Copyright 2018 All rights reserved