A fund that has
much higher management fees than its peers will probably stay that way — its costs aren't likely to go down.
Mutual funds have
much higher management fees than index funds and almost always will make you less money over longer periods of time.
Not exact matches
Its flagship fund, the Medallion fund, is known to charge
much higher: a 5 %
management fee, and 44 % cut of the profits.
Alternatively, working with a
high - quality asset
management company that charged no more than 1.50 % in per annum in
management fees but who provided the white - glove service that made comprehensive tax, estate, and portfolio planning easier, might have made it possible to achieve financial independence and multi-generational wealth
much more quickly.
What all this boils down to is that present NBA club
management is perfectly willing to let Marion join the fraternity, but the initiation
fee — in terms of several years of struggle to assemble a respectable team — may be
much higher than even a St. Louis millionaire anticipated.
High Interest savings accounts offered through discount brokers currently offer an yield of 1.25 %, which is pretty
much exactly the same as XFR's yield of 1.46 % less the
management fee of 0.20 %.
Making late payments could allow creditors to opt of out of the debt
management plan, which could mean you'll revert to the
much higher interest rates and
fees that you were trying to escape in the first place.
5 And if we take away the low - cost index funds, what's left are the active managers, whose investment
management fees are
much higher.
If you buy mutual funds through a bank or mutual fund sales specialist (as many investors do), you're likely going to be charged
management fees (or MERs) well above 2 % — but for investors just starting out, those
high fees aren't going to make
much of an impact on their fledgling portfolio.
Second, when a hedge fund charges excessive
management fees, which are based on size of assets under
management, rather than performance
fees which are based on how
much money they make for you, a hedge fund manager tends to focus more on growing AUM rather than generating the
highest possible risk adjusted returns.
Then the funds they can buy in Europe, for example, have both
much higher management and trading
fees.
This causes many to pay
high management fees and give too
much control over their retirement portfolio to outsiders.
In totality active
management fees are
much higher than you think.