Oct. 16, 2003 — Class B share returns generally lag those of Class A and C shares, as adjusted for fees and expenses based on average results for domestic equity funds.
According to Standard & Poor’s data, Class B shares consistently underperformed Class A and C shares over the one- three-, and five-year periods through September. Some good reasons: B shares have an average 4.5% back-end load, as well as the highest expense ratio of the three share classes.
Class B shares frequently convert to A shares prior to being held for ten years, so they often aren’t the best option for investors with that time horizon given their higher expenses.