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Class A share

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In finance an A share is a designation for a 'class' of common or preferred stock that typically has weakened voting rights or other benefits compared to B share or C share that may have been created. The equity structure, or how many types of shares are offered, is determined by the corporate charter.

A share is also a way of pricing sales charges (loads) on mutual funds in the United States. In an A share, the sales load is up front, typically at most 5.75% of the amount invested. In contrast is the B share that does not have an upfront charge, but instead has higher ongoing expenses in the form of a higher 12B-1 fee, and a contingent deferred sales charge that only applies if the investor redeems shares before a specified period. The maximum A share sales load is decreased for larger investment amounts as a volume discount.

See also