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Exit Fee

Discussion in 'Investing Glossary' started by Glossary, 27th Sep, 2006.

  1. Glossary

    Glossary Active Member

    Joined:
    12th Sep, 2006
    Posts:
    25
    Definition:

    A punitive fee which may be imposed upon an investor in a managed fund for withdrawing their investment within a certain timeframe e.g. 2% if withdrawn within the 1st two years.

    Although investing should not be a short-term activity, investors should be wary of funds which feel the need to charge exit fees.

    See also: