[wj]

From your link:

"That is, the price that investors pay to purchase mutual fund and most UIT shares is the approximate per share NAV, plus any fees that the fund imposes at purchase (such as sales loads or purchase fees). The price that investors receive on redemptions is the approximate per share NAV at redemption, minus any fees that the fund deducts at that time (such as deferred sales loads or redemption fees)."

In 401(k) the loads or purchase/redemption fees are usually waived (with the exception of short term redemption fees which are sometimes imposed for not holding funds at least 30-90 days to discourage people trying to "day trade" mutual funds).

Also, I did forget to mention that, in addition to waiving CDSC charges, large plans can usually qualify for cheaper share classes of the funds. For example Admiral or Signal shares at Vanguard rather than the retail Investor shares.

[saryant]

Right, there can be fees imposed on top of the fund's price itself but that doesn't mean the fund isn't trading at NAV.

[wj]

Well, I said "purchase" rather than "trading". And you can't purchase at the NAV price if they're adding fees on top of it.

[AjithAntony]

There are a great many no-load funds. A cost-sensitive investor will naturally buy index funds, and all the major IRA custodians offer at minimum, their in-house index funds fee free.