Cryptocurrency Q&A
Do advisors get paid on 12b-1 fees?
Do advisors get paid on 12b-1 fees?
MountFujiVista
Mon Sep 02 2024
|
6 answers
1353
Can you please clarify if financial advisors receive compensation through 12b-1 fees? If so, how does this system work, and what are the potential implications for investors? I'm particularly interested in understanding if there's a potential conflict of interest when advisors' compensation is tied to the performance of mutual funds that generate these fees.
6 answers
Federico
Wed Sep 04 2024
Cryptocurrency and finance have become increasingly intertwined in recent years, with investors and traders alike seeking to capitalize on the rapid growth and potential of digital assets.
Was this helpful?
332
22
BlockchainBaroness
Wed Sep 04 2024
As a professional practitioner in this field, it is essential to stay up-to-date on the latest trends, regulations, and best practices.
Was this helpful?
385
58
CryptoProphet
Tue Sep 03 2024
One aspect of this is understanding the various fees associated with investing in cryptocurrency, including 12b-1 fees.
Was this helpful?
161
82
KatanaSwordsmanship
Tue Sep 03 2024
12b-1 fees are typically broken down into two main charges: marketing and distribution fees. These fees are designed to compensate investment intermediaries, such as financial planners, advisors, and brokers, for their role in promoting and distributing investment products.
Was this helpful?
47
40
CryptoMystic
Tue Sep 03 2024
The marketing and distribution fees are often capped at 75 basis points, which is equivalent to 0.75% of the assets under management. This cap helps to ensure that the fees remain reasonable and do not excessively erode investor returns.
Was this helpful?
370
55
Load 5 more related questions
