Costs & Fees
Soft-Dollar Arrangement
Definition
What is Soft-Dollar Arrangement?
An arrangement in which trading commissions help pay for research or services used by an investment manager.
Example in practice
How This Looks in Practice
The manager discloses how client commissions fund research.
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Related Terms
Costs & Fees
Management Fee
The recurring fee paid from fund assets to the fund manager for managing the portfolio.
Costs & FeesExpense Ratio
A fund's annual operating expenses expressed as a percentage of its average net assets.
Costs & FeesEntry Load
A charge deducted when an investor subscribes to a fund.
Plans & OptionsAccumulation Option
A fund option that retains or reinvests income so it contributes to unit-value growth.