Finance Glossary

Redemption fee

Equivalent to exit fees, this commission is deducted from the amount of the sale during the redemption of certain funds.

When the holder of a SICAV or the bearer of an FCP subject to a redemption commission wishes to sell their shares (this is called redemption), the fund charges a redemption commission.

The amount of this commission must be known in advance and is most often calculated as a percentage of the amount sold.