In its simplest form, a market-linked investment product carries three kinds of costs. One, the cost to enter the product, also called a front load. If you invest Rs 100, and Rs 2 from that is cut out so that Rs 98 is invested, the Rs 2 is called a load. A load is part of the price of the product, or is embedded in the price – it is an invisible charge because it is not usually disclosed. Mutual funds have zero loads and are an extremely investor-friendly product.
