Fund fees take a hit

Fund fees take a hit

10 Comments
  • Tony De Thomasis 2015-02-05 11:00:42 AM
    The numbers above are misleading.
    The average fund fee class F in Canada is closer to the 1.35% range than the amount stated.
    Also many class F funds like DFA, Powershares and BMO ETF funds have mers closer to the 0.60%
    Add in trading fees and trustee or custodial fees and our fund fees as above in Canada are in line with the U.S. and ETF mer fees.
    Too many stories add in the advisory fee automatically when comparing fund fees
    The future belongs to the good advisory service provider - the funds will just be a product like a canvas is to the great artist
    Now it is the master artist who will be of true value and not the blank canvas.
    The average investor is still not quipped to be a great investor - no matter what product is issued. This is not due to any lack of intelligence or information, but due to their DNA disposition to handle risk-reward properly.
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  • Kevin O'Brien 2015-02-05 11:16:23 AM
    The craze in ETF's will falter when the next big fail happens in an index aka Nortel, Bre-x Investors love to save money - even if it means putting a blinder on in regards to quality and liquidity. The risk inside of some of the new micro indexes is way past the average investors risk tolerance. Let us not forget - ETF's are a portfolio building tool to take a temporary position in a country, index or sector with little regards to the quality of the securities inside the index. I agree that fund fees must come down further and that active management of securities must perform either higher than passive or provide some tangible form of value to the investor. Active share will be the next buzz word in the industry.
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  • Will Ashworth 2015-02-05 12:05:43 PM
    Both great comments.
    The fee debate certainly is an apples-to-oranges exercise. In many ways fee stats are as pliable as baseball stats. That's what makes this subject so frustrating.
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