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Investing

Expense Ratio

Financial term in the Investing category

Definition

The annual fee that all funds or ETFs charge their shareholders, expressed as a percentage of assets. Lower expense ratios mean more of your money is invested rather than going to fees.

Frequently Asked Questions

What is Expense Ratio?

The annual fee that all funds or ETFs charge their shareholders, expressed as a percentage of assets. Lower expense ratios mean more of your money is invested rather than going to fees.

Why is Expense Ratio important in personal finance?

Expense Ratio is an important investing concept that helps individuals make better financial decisions. Understanding Expense Ratio can improve your financial planning and help you achieve your money goals.

How does Expense Ratio relate to Mutual Fund?

Expense Ratio and Mutual Fund are related financial concepts. An investment vehicle that pools money from multiple investors to purchase a diversified portfolio of stocks, bonds, or other securities, professionally managed by a fund manager.

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