What are Y Shares?
Sometimes referred to as institutional shares, Y shares are a specific class of mutual fund shares that often appeal to institutional investors. Y shares are often acquired on both a load and a no-load basis. Often requiring a significant minimum investment on the part of the institutional investor, the Y share is often traded with no front end sales charges applied to the transaction. Large money managers are often interested in Y shares, since these types of investors often prefer to purchase larger amounts of mutual funds as part of a single transaction. Often, the minimum investment for a group or lot of Y shares will be in excess of $500,000.00 in US Dollars (USD), with lots that are valued at $1,000,000.00 USD becoming increasingly common even for smaller institutional investors. Because of the amount of Y shares involved in the transaction, the savings on back commission charges are often quite significant, which makes Y shares even more attractive to large scale investors. Part
