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Janus Henderson reopens D share class to new investors & referral program
Several SAI filings for various funds. Class D reopens July 6, 2020. Below are several examples as well as news stories concerning the reopening of the D share class and direct referral program:
This is great. Janus Hederson has a number of good funds, and for years nearly the only way a new Janus investor could purchase shares was to pay an extra 10 basis points for T shares though a brokerage (NTF).
DIY investors do also have an option to purchase I shares through Fidelity (and only Fidelity) by paying a TF, but those shares save just 5 basis points over the cost of D shares. With such a small savings, it takes a long time or a large account to make I shares worthwhile.
Now that Janus is reopening its direct sales channel to new accounts, smaller investors have access to a low cost share class (D) of a relatively low cost family of actively managed funds.
Note that D shares continue to be sold only directly through Janus. I suspect this is due to brokerages refusing to sell retail shares unless they can collect their 40 basis points from the fund family to sell the retail shares NTF.
Ironic that American Beacon continues to maintain direct account services, but now they will not allow new direct accounts to be opened via exchanges or new applications. Janus Henderson reopens its "D" share class accounts after being closed for 11 years.
Comments
DIY investors do also have an option to purchase I shares through Fidelity (and only Fidelity) by paying a TF, but those shares save just 5 basis points over the cost of D shares. With such a small savings, it takes a long time or a large account to make I shares worthwhile.
Now that Janus is reopening its direct sales channel to new accounts, smaller investors have access to a low cost share class (D) of a relatively low cost family of actively managed funds.
Note that D shares continue to be sold only directly through Janus. I suspect this is due to brokerages refusing to sell retail shares unless they can collect their 40 basis points from the fund family to sell the retail shares NTF.
There's a 2018 thread that covers this (not some of my clearest writing, though).
https://mutualfundobserver.com/discuss/discussion/40037/series-d-n-mutual-funds-the-new-share-classes-of-the-future