Kirk W Posted October 3, 2015 Report Share Posted October 3, 2015 If you do, you may find this information to be useful. What do the major mutual funds charge customers? Good travelin !...............KirkFull-time 11+ years...... Now seasonal travelers.Kirk & Pam's Great RV Adventure Link to comment Share on other sites More sharing options...
BooneDocks Posted October 3, 2015 Report Share Posted October 3, 2015 With just a quick eyeballing, I seriously question some of these data and find them a bit misleading. Maybe the "brokerage" arm of Fidelity offers others' mutual funds which have low fees, but the expense ratio for Fidelity's own mutual funds is over 1% I would thoroughly expect Merrill Lynch and Morgan Stanley to promote actively managed funds which have higher costs. Scottrade must recommend more passively managed funds (i.e., index funds) which have lower fees. So, comparing them is like comparing an apple and a banana. The only valid way is to look at the fees and performance of individual funds in the same categories of funds. Presently MotorHomeLessFollow Our Full-Time Travels Through Our Blog Link to comment Share on other sites More sharing options...
Kirk W Posted October 4, 2015 Author Report Share Posted October 4, 2015 You might need to have the author's definition of a mutual fund. How managed is the particular fund as I suspect that varies widely. But I did find it interesting reading but since our funds are now actively managed in a directly managed fund that isn't classed mutual, I don't have any current fees to compare this to. Good travelin !...............KirkFull-time 11+ years...... Now seasonal travelers.Kirk & Pam's Great RV Adventure Link to comment Share on other sites More sharing options...
Randyretired Posted October 4, 2015 Report Share Posted October 4, 2015 Averaging fund expenses is not informative. A company that specializes in actively managed funds will always have fees higher than a company that specializes in index funds. These high expenses are the primary reason index funds out perform most actively managed funds. However, approximately 20% of the active funds, with higher fees beat index funds. Randy 2001 Volvo VNL 42 Cummins ISX Autoshift Link to comment Share on other sites More sharing options...
KandJBm Posted October 4, 2015 Report Share Posted October 4, 2015 With just a quick eyeballing, I seriously question some of these data and find them a bit misleading. Maybe the "brokerage" arm of Fidelity offers others' mutual funds which have low fees, but the expense ratio for Fidelity's own mutual funds is over 1% I don't know what the point of the OP is, but these fees are only part of the story. If you read the whole report and go to its link titled The Real Cost Of Fees which explains all fees or total fees you get a very different picture than the original graph which shows only one type of fee. As I talked about in another thread on this forum ("Hidden Fees") expense ratios are only one of many fees and the rest are often hidden in the fine print. Quote from the link: "Total Fees For each financial institution, the average total fee, combining advisory fees and mutual fund /ETF fees, was calculated by adding the average advisory fee percentage to the average mutual fund/ETF expense ratio. Personal Capital found that average total fee percentages range from 1.06% (USAA) to 1.98% (Merrill Lynch)." Link to comment Share on other sites More sharing options...
Ron Posted October 4, 2015 Report Share Posted October 4, 2015 It's interesting that "Personal Capital" does not include Vanguard in the analysis. Perhaps it is because Vanguard's fees are much lower than Personal Capital's and they would therefore have eliminated themselves at the top contender. Vanguard charges an advisory fee of 0.3% of AUM vs. 0.89% for Personal Capital. And, Vanguard generally has the lowest fund expense ratios in the industry. ----ron Ron Engelsman http://www.mytripjournal.com/our_odyssey Full-Timing since mid 2007 23' Komfort TT 2004 Chevy Avalanche 4x4 8.1L Link to comment Share on other sites More sharing options...
BooneDocks Posted October 4, 2015 Report Share Posted October 4, 2015 You are all correct. It just goes to show you that just because it's a graph and a pretty graph, doesn't make it a meaningful graph. Presently MotorHomeLessFollow Our Full-Time Travels Through Our Blog Link to comment Share on other sites More sharing options...
stevekk Posted October 4, 2015 Report Share Posted October 4, 2015 I am also surprised Vanguard is not included. For example I have the Vanguard SP 500 Admiral shares mutual fund, with expense ratio of 0.05%. You can not beat Vanguard for low management fees. They also offer brokerage service. Steve LIFETIME MEMBER 2011 Born Free Class C OR/ CA border NEWBIE, so I have everything to learn ! Link to comment Share on other sites More sharing options...
KodiakJack Posted October 5, 2015 Report Share Posted October 5, 2015 3X Vanguard. Later, J 2012 Landmark, San Antonio 2013 Silverado CC, 3500HD, Duramax, DRW, 4x4 Backup, side and hitch cameras, Tireminder TPMS Link to comment Share on other sites More sharing options...
Barbaraok Posted October 5, 2015 Report Share Posted October 5, 2015 X4 for Vanguard. Barb & Dave O'Keeffe 2002 Alpine 36 MDDS (Figment II), 2018 Ford C-Max HYBRID Blog: http://www.barbanddave.net SPK# 90761 FMCA #F337834 Link to comment Share on other sites More sharing options...
2gypsies Posted October 5, 2015 Report Share Posted October 5, 2015 x5 for Vanguard Full-timed for 16 YearsTraveled 8 yr in a 2004 Newmar Dutch Star 40' Motorhome and 8 yr in a 33' Travel Supreme 5th Wheel Link to comment Share on other sites More sharing options...
mkc Posted October 7, 2015 Report Share Posted October 7, 2015 X6 for Vanguard. The 0.3% AUM fee is only if you use their Personal Advisory Services, but is great if you prefer someone else do the managment. We don't use it. I am absolutely appalled by the AUM fees and front-loads (and capital gains churn) a couple of the "big" brokerage houses cost my mother and what Merrill Lynch continues to cost my m-i-l (my mother moved to VG). Michelle Link to comment Share on other sites More sharing options...
KandJBm Posted October 7, 2015 Report Share Posted October 7, 2015 but since our funds are now actively managed in a directly managed fund that isn't classed mutual, I don't have any current fees to compare this to. ??Do you mean your funds are actively managed for free? No fees? Link to comment Share on other sites More sharing options...
Smitty77_7 Posted October 7, 2015 Report Share Posted October 7, 2015 Up to 6X's on Vanguard, is probably the reason they were not included:)! We have a mix of one Fidelity fund, some TD Ameritrade, and a mix of New York Life and their Eagle funds. I nudged my daughter and MIL into Vanguard. In general, I belive Vanguard and Fidelity are the place to go when first establishing mutual/etf based investments. Even individual stocks can be purchased thru them too. For those with actively managed funds, I feel it is more important to build a relationship with a FA that you feel understands and follows your belief and desires while investing. For this, expect to pay a bit more then this active management. Only you can decide if these higher fees are warranted for the services the active managed funds are providing for you. 1, 2, 3%+ can be 'OK' - depending upon total return, and your desire for FA's active management. Best to all, Smitty Be safe, have fun, Smitty 04 CC Allure "RooII" - Our "E" ride for life! Link to comment Share on other sites More sharing options...
Kirk W Posted October 7, 2015 Author Report Share Posted October 7, 2015 ??Do you mean your funds are actively managed for free? No fees? I don't believe that I said that. What I did say is that I'm no longer invested in any mutual funds but am in a much more actively managed fund pool. which isn't classed a mutual fund. Good travelin !...............KirkFull-time 11+ years...... Now seasonal travelers.Kirk & Pam's Great RV Adventure Link to comment Share on other sites More sharing options...
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