Alpari, a major global broker with most significant presence in Russia, reported that
its May trading turnover stood at $ 101.4 billion and is
Not exact matches
The underlying funds
may have low
turnover in their holdings but investors are increasingly
trading ETFs at ridiculous rates (lately SPY is averaging 76 million shares
traded a day).
Continued
turnover in the Trump administration
may have a ripple effect on global
trade and national security.
Empirically,
turnover barely moves the needle and it
may not be a good proxy for
trading costs.
Funds
may still pay
trading fees if they have portfolio
turnover due to index changes or rebalances, but the fee for putting new money to work (or redeeming money from the fund) is typically paid by the AP.
Investors clearly understand that higher fees can have a negative impact on their net return, as is evident in the price war in mutual fund fees, but a few basis - points difference in visible fees is far less meaningful in performance impact than the often - large hidden costs.14 For example, switching from a low -
turnover strategy to a sloppily constructed strategy that spends scores of basis points in incremental
trading costs can cost the investor dearly in performance.15 The same holds true for the buyers of opaque high - fee products (hedge funds and illiquid private investments), for which substantial costs
may be hidden from sight.
If this means less portfolio
turnover, that's probably a good thing, because it
may materially reduce
trading costs.