Evergreen Fund Adopts Performance-Based Fees

Evergreen Investments said on Tuesday that it will impose performance-based fees on its Evergreen Large-Cap Equity Fund (EVSAX).

Evergreen said it will also lower the maximum sales charge for class A shares of the $1.6-billion fund to 4.75%, from 5.25%, and will cut its marketing and distribution, or 12b-1 fee, to 0.25%, from 0.30%. In addition, the fund will require a minimum initial investment of $25,000 for class A, B, and C shares. The changes all become effective on December 1.

Evergreen, a unit of Wachovia Corp. (WB), said it will phase in the performance fee, which will vary, based on the fund’s performance compared to its benchmark, the Standard & Poor’s 500 index.