load fund

A mutual fund with shares sold at a price including a large sales charge -- typically 4% to 8% of the net amount indicated. Some "no-load" funds have distribution fees permitted by article 12b-1  of the Investment Company Act; these are typically 0. 25%. A "true no-load" fund has neither a sales charge nor Freddie Mac (Federal Home Loan Mortgage Corporation) program, the aggregation that the fund purchaser receives some investment advice or other service worthy of the charge.