(1) A mutual fund which charges little or no commission (load charge) to the buyer of its shares. No sales organization is involved. The shares are sold directly to the public by the sponsoring firm.
(2) An open-end investment company, shares of which are sold without a sales charge. There can be other distribution charges, however, such as Article 12b-1 fees. A true "no load" fund will have neither a sales charge nor a distribution fee.