1. Contact your financial advisor or mutual fund company
Get in touch with the advisor who sold you the fund, or someone in their company. If you bought directly from the mutual fund company, contact them directly.
You may pay fees to sell your mutual fund units or shares. Find out how much before you decide to sell. If you bought a mutual fund with a deferred sales charge, you may have to pay a sales charge. The size of the sales charge depends in part on how long you have held the fund, and the company you’re dealing with.
If you’re buying a fund with a deferred sales charge, ask if you can sell a certain number of units or shares (often 10%) for free each year.
The price of most mutual funds is calculated at the end of each business day, so you won’t know how much you sold them for right away.
You may have to sign a form stating that you want to sell your units or shares. This stops anyone from selling them when you don’t want them to. For example, if you give the order to sell the units or shares over the phone, you may be asked to fax a confirming letter.
If you want to move your money to another fund at the same mutual fund company, you can usually do a simple exchange. This may save you some time and money.
You can enter an order to buy or sell mutual fund shares at any time, but your trade won't be executed until the closing of the current trading session or the next trading session if you place your order after hours.
When an investor sells mutual fund shares, the redemption process is straightforward, but there might be unexpected charges or fees. Class A shares usually have front-end sales loads, which are fees charged when the investment is made, but Class B shares may impose a charge when shares are sold.
However, if you have noticed significantly poor performance over the last two or more years, it may be time to cut your losses and move on. To help your decision, compare the fund's performance to a suitable benchmark or to similar funds. Exceptionally poor comparative performance should be a signal to sell the fund.
Hobby: LARPing, Kitesurfing, Sewing, Digital arts, Sand art, Gardening, Dance
Introduction: My name is Amb. Frankie Simonis, I am a hilarious, enchanting, energetic, cooperative, innocent, cute, joyous person who loves writing and wants to share my knowledge and understanding with you.
We notice you're using an ad blocker
Without advertising income, we can't keep making this site awesome for you.