trailing commission

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Trailing Commission

A commission that the salesperson of a mutual fund receives each year an investor remains a shareholder. That is, the salesperson receives the first trailing commission when the investor first buys shares in the fund, and a new trailing fee each year thereafter. Critics of this practice point out that it can create a moral hazard that the salesperson will aggressively sell a fund because of his own financial incentive, rather than because he believes it to be a good investment for the potential shareholder. Not all mutual funds pay their sales staff trailing commissions. A trailing commission is also calling a trailer fee. See also: Load.

trailing commission

A commission paid annually to a sales agent for as long as a client's money remains in an account. Also called trailer fee.
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Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments.
Multiple TD Mutual Funds received award
My understanding is that we'll be able to continue to receive trailing commissions for advice provided prior to the rule's effective date in April 2017.
DOL rule: Ex-NAIFA chief readies practice for the new regime
There may be commissions, trailing commissions, management fees and expenses associated with mutual fund investments.
Canada : RBC Global Asset Management Inc. announces February sales results for RBC Funds and PH&N Funds
During the period, for instance, sales commissions and net recruiting "slowed," and lower asset levels "reduced trailing commissions, advisory fees and asset-based fees.
LPL Beats Q3 Estimates, Plans $500M Buyback
Advisors that were earning trailing commissions on bundled, pre-RDR investment products are also impacted by the new rules.
Global regulations: The vise on agents and advisors tightens
Typically, trailing commissions -- the commissions from unfinished deals that follow a broker when they switch firms -- are "rife with concerns," said Laurie McPherson, a partner at the law firm Blank Rome.
Seeking breakups without blowups
The new contracts rewarded agents with more commission up-front for sales, rather than trailing commissions over several years.
Fraternal face-off: Thrivent Financial for Lutherans, the largest fraternal benefit society in the United States, doesn't turn the other cheek when it comes to former agents allegedly violating noncompete agreements
This may include so-called 12(b)1 fees, trailing commissions, surrender charges and back-end fees.
Managing client assets
It now represents nearly 69% of net revenue and includes revenue from asset-based fees, advisory fees, trailing commissions, cash-sweep revenue and other advisor- and account-based fees.
LPL Beats Q4 Estimates, Tops 14,000 Reps
Presumably, substituting leveled or trailing commissions for the traditional payout method would be to their advantage, as they could boost sales and their products' internal rate of return and, thus, the price to the consumer.
Imagining the future of the tech titans' juggernaut
CCIIO exchange navigators can be licensed as insurance agents or brokers but cannot get commissions or other compensation, including trailing commissions, from health insurers.
Feds post exchange navigator grant applications

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