A front-end load is an initial sales charge or commission incurred by an investor when buying a financial product, used to cover administration fees and agent commissions.
The term 'load' can refer to different concepts in computing and finance. In computing, it involves moving a program from a disk to a computer's memory. In finance, it typically refers to a sales charge paid by an investor when buying shares in a mutual fund.
A sales charge is a fee paid on purchasing an investment or product, typically associated with mutual funds, to compensate brokers or financial advisors for their service.
