Multiple choice

CDSC stands for

  1. Contingent Deferred Sales Charge

  2. Commission and Discounts Structure Committee

  3. Commonly Disclosed Commission

  4. Compounded and Discounted Sales Commitment Sales
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Explanation

CDSC stands for Contingent Deferred Sales Charge, a type of back-end load fee charged by some mutual funds when shares are sold within a specified time period. The charge decreases over time and eventually disappears, designed to encourage long-term investment and discourage early redemption.

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