This podcast is made by Ran Chen, who holds an EA license, Insurance and Securities licenses (Series 6, 63, 65), and CFP designation. He is passionate about opening up information to help everyone prepare better for financial certification exams. This episode covers content for the Series 6 Exam.
In this episode you will learn:
- The definition of mutual fund breakpoints and how they reduce sales charges for larger investments.
- How to use a Letter of Intent (LOI) to receive a breakpoint discount by committing to future investments over 13 months.
- How Rights of Accumulation (ROA) allow you to combine the current value of existing shares with new purchases to qualify for lower fees.
- The key differences between an LOI, which is based on intended future purchases, and ROA, which is based on current account value.
- How to identify and avoid the prohibited practice of "breakpoint selling," a major exam topic.
For more resources visit https://open-exam-prep.com/ and connect on LinkedIn at https://linkedin.com/in/chenran818
![[Series 6] 4, Breakpoints and Sales Charge Reductions](https://artwork.captivate.fm/abe4183a-4dfa-4a03-97da-92d15c5d473d/_bZUi6Yzjq6h3zQu_ZsaQB5Y.jpeg)