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Understanding Sales Charges

The AllianceBernstein Mutual Funds offer several ways for investors to reduce or eliminate sales charges. A brief summary of some of the ways is outlined below. For more details, read your Fund's Statement of Additional Information or speak with your financial advisor.

Quantity Discounts

Shareholders investing more than $100,000 in Class A shares of a Fund may receive a reduced sales charge as outlined in the chart below. Front-end sales charges are eliminated completely for purchases over $1 million for equity and taxable fixed income funds and over $500,000 for municipal fixed income funds, although a 1% 1- year contingent deferred sales charge may apply.

Class A Quantity Discounts for Equity and Taxable Fixed Income Funds

Amount of Purchase Sales Charges as a % of Offering Price
Less than $100,000 4.25%
$100,000 but less than $250,000 3.25%
$250,000 but less than $500,000 2.25%
$500,000 but less than $1 million 1.75%
$1 million and above 0.00*

Class A Quantity Discounts for Municipal Fixed Income Funds

Amount of Purchase Sales Charges as a % of Offering Price
Less than $100,000 3.00%
$100,000 but less than $250,000 2.00%
$250,000 but less than $500,000 1.00%
$500,000 but less than $1 million 0.00*

*Class A shares redeemed within one year are be subject to a contingent deferred sales charge ("CDSC") equal to 1% of the lesser of the initial cost of the shares being redeemed or their net asset value at the time of redemption. No CDSC is assessed on increases in net asset value above the initial purchase price. The CDSC may be waived on certain redemptions as described under "Waiver of Class C CDSC", below.

Combined Purchase Privilege

In determining whether a Quantity Discount applies, the AllianceBernstein Mutual Funds take into account the amount of a shareholder's existing investments in the Fund, as well as investments by the investor's spouse or children who are under the age of 21. In addition, amounts invested by a trustee or other fiduciary for the benefit of these individuals, even if more than one beneficiary is involved, as well as employee benefit plans for such.

Letter of Intent

A shareholder may not immediately invest a sufficient amount to reach a Quantity Discount, but may plan to make one or more additional investments over a period of time that, in the end, would qualify for a Quantity Discount. For these situations, the funds offer a Letter of Intent, which permits the shareholder to express the intention, in writing, to invest at least $100,000 in Class A shares of that Fund or any AllianceBernstein Mutual Fund within 13 months. The Sales Charge Fund will then apply the Quantity Discount to each of the shareholder’s purchases of Class A shares that would apply to the total amount stated in the Letter of Intent. In the event an existing shareholder chooses to initiate a Letter of Intent, the AllianceBernstein Mutual Funds will use the higher of cost or current NAV of the shareholder’s existing investments and of those accounts with which investments are combined via the Combined Purchase Privilege toward the fulfillment of the Letter of Intent. For example, if the combined cost of purchases totaled $80,000 and the current NAV of all applicable accounts is $85,000 at the time a $100,000 Letter of Intent is initiated, the subsequent investment of an additional $15,000 would fulfill the Letter of Intent. If a shareholder fails to invest the total amount stated in the Letter of Intent, the Fund will retroactively collect the sales charges otherwise applicable by redeeming shares in the shareholder’s account at their then current NAV. Shareholders qualifying for a Combined Purchase Privilege may purchase shares under a single Letter of Intent.

Shareholders purchasing Class B or C shares of an AllianceBernstein Mutual Fund should be aware that CDSCs are not assessed on redemptions of either Class B or Class C shares which were purchased through the reinvestment of dividends or capital gains distributions. In addition, CDSCs are not assessed on any increase in the net asset value of shares above the initial purchase price. CDSCs may also be waived in certain circumstances as described below. Please consult the Fund’s Statement of Additional information for more information.

Systematic Withdrawal Plan

Under a Systematic Withdrawal Plan, up to 1% monthly, 2% bi-monthly or 3% quarterly of the value at the time of redemption of the Class B or Class C shares in a shareholder's account may be redeemed free of any contingent deferred sales charge. Class B shares that are not subject to a contingent deferred sales charge (such as shares acquired with reinvested dividends or distributions) will be redeemed first and will count toward these limits. Remaining Class B shares that are held the longest will be redeemed next. Redemption of Class B shares in excess of these limits will be subject to any otherwise applicable contingent deferred sales charge. With respect to Class C shares, shares held the longest will be redeemed first and will count toward these limits. Redemptions in excess of these limits will be subject to any otherwise applicable contingent deferred sales charge.

Dividend Direction Plan

Shareholders may direct income dividends and/or capital gains on any class of shares of a Fund into the same class of another AllianceBernstein Mutual Fund without payment of any sales charges or CDSCs.

Reinstatement Privilege

A shareholder who has caused any or all of his Class B shares of a Fund to be redeemed may reinvest all or any portion of the redemption proceeds in Class A shares of the same Fund at NAV without any sales charge, provided that such reinvestment is made within 120 calendar days after the redemption date and a CDSC has been paid and the Principal Underwriter has approved, at its discretion, the reinvestment of such shares.

Waiver of Class B CDSC

The CDSC on Class B shares is waived on redemptions in the following circumstances:

  1. following the death or disability, as defined in the Internal Revenue Code of 1986, as amended (the "Code"), of a shareholder;
  2. to the extent that the redemption represents a minimum required distribution from an individual retirement account or other retirement plan to a shareholder who has attained the age of 70 1/2;
  3. shares purchased by present or former Directors or Trustees of the Fund, by the relative of any such person, by any trust, individual retirement account or retirement plan account for the benefit of any such person or relative, or by the estate of any such person or relative;
  4. pursuant to, and in accordance with, a systematic withdrawal plan;
  5. shares sold through programs offered by financial intermediaries and approved by AllianceBernstein where such programs offer only shares which are not subject to a contingent deferred sales charge, where the financial intermediary establishes a single omnibus account for each Fund, and where no advance commission is paid to any financial intermediary in connection with the purchase of shares, or
  6. to the extent that the redemption is necessary to meet a plan participant's or beneficiary's request for a distribution or loan from a group retirement.

Waiver of Class C CDSC

The CDSC on Class C shares is waived on redemptions in the following circumstances:

  1. following the death or disability, as defined in the Internal Revenue Code of 1986, as amended (the "Code"), of a shareholder;
  2. to the extent that the redemption represents a minimum required distribution from an individual retirement account or other retirement plan to a shareholder who has attained the age of 70 1/2;
  3. shares purchased by present or former Directors or Trustees of the Fund, by the relative of any such person, by any trust, individual retirement account or retirement plan account for the benefit of any such person or relative, or by the estate of any such person or relative;
  4. pursuant to, and in accordance with, a systematic withdrawal plan;
  5. shares sold through programs offered by financial intermediaries and approved by AllianceBernstein where such programs offer only shares which are not subject to a contingent deferred sales charge, where the financial intermediary establishes a single omnibus account for each Fund, and where no advance commission is paid to any financial intermediary in connection with the purchase of shares, or
  6. to the extent that the redemption is necessary to meet a plan participant's or beneficiary's request for a distribution or loan from a group retirement plan or to accommodate a plan participant's or beneficiary's direction to reallocate his or her plan account among other investment alternatives available under a group retirement plan.
 


Investors should consider the investment objectives, risks, charges and expenses of the Fund/Portfolio carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, click here or contact your AllianceBernstein Investments representative. Please read the prospectus and/or summary prospectus carefully before investing.


AllianceBernstein Investments, Inc. (ABI) is the distributor of the AllianceBernstein family of mutual funds. ABI is a member of FINRA and is an affiliate of AllianceBernstein L.P., the manager of the funds.


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