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Expense ratio in ETF

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  1. #11

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    Quote Originally Posted by Windmill65:
    I took a look at a random iShares ETF and found this in the fact sheet:

    TER = Total Expense Ratio
    read my description. ER are not charged out of the fund like the management fee. it is the resultant figure of all the cost charged to the fund and it can fluctuate depending on the time of the year.. e.g. rebalancing cost, etc

  2. #12

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    hmmm.. i personally prefer the accurate description of terms. Expense ratio is something that is not indicated in the prospectus. For large blackrock funds the problem might be small, but for some of the small funds that i have come across over the years, the actual cost of the fund fluctuates substantially throughout the year due to transaction costs and using a figure like this becomes too vague

  3. #13

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    yes that is an accurate description. expense ratio is a marketing term used in factsheet and its not a promised number.


  4. #14

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    I wish I had your problems.......