For purposes of section 3(a)(4)(B)(v) of the act (15 USC
78c(a)(4)(B)(v)), the following terms shall have the meaning
provided:
(a) Deferred sales load has the same meaning as in 17 CFR
270.6c-10.
(b) Money market fund means an open-end company registered
under the Investment Company Act of 1940 (15 USC 80a-1 et seq.) that is
regulated as a money market fund pursuant to 17 CFR 270.2a-7.
(c) (1) No-load, in the context of an investment company or
the securities issued by an investment company, means, for securities of the
class or series in which a bank effects transactions,
that—
(i) that class or series is not subject to a sales load or a deferred sales
load; and
(ii) total charges against net assets of that class or series of the
investment company’s securities for sales or sales promotion expenses, for
personal service, or for the maintenance of shareholder accounts do not
exceed 0.25 of 1 percent of average net assets
annually.
(2) For purposes of this definition, charges for the following will not be
considered charges against net assets of a class or series of an investment
company’s securities for sales or sales promotion expenses, for personal
service, or for the maintenance of shareholder accounts:
(i) providing transfer agent or sub-transfer agent services for beneficial
owners of investment company shares;
(ii) aggregating and processing purchase and redemption orders for
investment company shares;
(iii) providing beneficial owners with account statements showing their
purchases, sales, and positions in the investment company;
(iv) processing dividend payments for the investment company;
(v) providing sub-accounting services to the investment company for shares
held beneficially;
(vi) forwarding communications from the investment company to the beneficial
owners, including proxies, shareholder reports, dividend and tax notices, and
updated prospectuses; or
(vii) receiving, tabulating, and transmitting proxies executed by beneficial
owners of investment company shares.
3-3561
(d) Open-end company has the same meaning as in section
5(a)(1) of the Investment Company Act of 1940 (15 USC
80a-5(a)(1)).
(e) Sales load has the same meaning as in section 2(a)(35)
of the Investment Company Act of 1940 (15 USC
80a-2(a)(35)).
