Share class


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Related to Share class: Class A Stock, Class B Share

Classified Stock

1. A type of stock in a publicly-traded company that issues more than one type of stock. Each type of classified stock has distinct rights attached to it. Two common classified stocks are preferred stock, which carries the right to guaranteed dividends, and common stock, which carries the right to vote in the annual meeting.

2. In mutual funds, a stock with a particular load. The load, which is the sales fee for buying into the mutual fund, is charged at different times depending on the stock class. For example, a class A stock has a load that is paid up front, while a class B stock has a load that is paid when one sells the shares in the mutual fund.

Share class.

Some stocks and certain mutual funds subdivide their shares into classes or groups to designate their special characteristics.

For example, the differences between Class A shares and Class B shares of stock may focus on voting rights, resale rights, or other provisions that enhance the power of certain shareholders.

In fact, in the United States, most dual class shares involve one class that is publicly traded and another class that is privately held.

In some overseas countries, Class A shares can be purchased by citizens only, while Class B shares can be purchased by noncitizens only.

In the case of mutual funds, class designations indicate the way that sales charges, or loads, are levied. Class A shares have front-end loads, Class B shares have back-end loads, also called contingent deferred sales charges, and Class C shares have level loads.

References in periodicals archive ?
Notes Christopher Sugrue, Chairman of PlusFunds, "This new share class further illustrates the strength and flexibility of the S&P Hedge Fund Index, which is solidly established by the 40 institutional-quality hedge funds included in the Index.
S&P 100 There are currently four companies with two or more publicly listed share class lines in the S&P 100.
The new free-float factor reflects the number of tradable shares of the tendered share class based on current information.
They would complement the existing US dollar share class.
The reduction of share classes would lead to enhanced liquidity of the remaining share class.
As plan providers deal with the implementation of new government regulation for greater fee transparency, Prudential Investments is introducing the Q Share Class for select funds to help them fulfill that responsibility to plan participants," said Michael Rosenberg, head of Prudential Investments' Investment Only Defined Contribution group.
There are currently 13 companies with two or more publicly listed share class lines in the S&P 500.
The new Institutional Income GBP Hedged Share Class is a further designation of the Institutional Income Share Class launched last month.
The introduction of this new share class is the latest step in our continued support of the advisor market," said Kristen Capuano, Director of Marketing for Van Eck's mutual funds.
Schroders announces the creation of a new R6 share class across ten of its mutual funds, offering eligible institutional clients a "clean" fee share class with no embedded shareholder servicing fees.
This class will be added to expand on the current no-load Investor Share Class of the Fund.