Corporate Class Funds
Tax-efficiency. As easy as 1-2-switch.
The mechanics of Corporate Class are really quite simple. A
mutual fund company may create a version of several funds from its
line-up in a corporate structure. Each unique fund represents a
class of shares of the corporation, therefore, exchanging shares of
one class for another is not taxable. While Corporate Class funds
can help to defer taxes, when you decide to redeem your Corporate
Class funds, taxes will be applicable.
Opportunity: Defer taxes and benefit from
compounding investment gains until class holdings are redeemed,
possibly when you're in a lower tax bracket
Flexibility: Change your fund investments over
time as your investment needs change
Choice: Pick from any of the Corporate Class
Funds