STUDY FOR THE SERIES 66 EXAM

If you plan on sitting for the Series 66 Exam, be prepared for test questions that ask about the various Share Classes for Mutual Funds. NASAA publishes Test Specifications for the Series 66 Exam that specifically list knowledge of Share Classes in Section II (H) (1). Bob Eder in his  Study for the Series 66 Exam  discusses Share Classes of Mutual Funds. Here is an example of Bob Eder's treatment:   Class C Shares                                                           II (H) (1 & 4) With Class C shares, holders pay a daily charge, based on the amount of their assets invested. This charge comes out on a daily basis as a small percentage of the value of shares that a person owns. It is called a 12b-1 charge. It usually hovers around 50 basis points or 0.005 or 0.5 percent. For example, Jason owns $100,000 of XYZ Fund's Class C shares. His daily 12b-1 charge is calculated as follows: [$100,000* .005]÷365. That equals a charge of $1.37 per day. It does not seem like much,