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A contractual plan that seeks to spread the sales charge over a longer period of time, as detailed in The Spread Load Plan Act of 1970. The maximum sales charge over the life of the plan is 9%, while the maximum sales charge in any one year is 20%.
An investor who wishes to invest in a mutual fund who can not meet a significant minimum investment may be able to purchase the shares through a contractual plan. The investor in a contractual plan agrees to make certain contributions over a fixed period of time.