-
Mutual Fund Fees Explained - In Under 3 Min!
A simple, easy to follow video explaining all of the fees calculated when purchasing Mutual Funds, from MERs to Sales Charges.
If you've ever purchased Mutual Funds, you may or may not be aware of fees that you are paying not only to purchase this fund but also every year as part of the professional fund management. Common questions that people ask are: What is a good expense ratio for a mutual fund?, What is the average fee for mutual funds?, How are fees paid on mutual funds?, and What is a good investment management fee? After watching this video, you will be able to confidently research and understand all of these answers and understand what fees you pay when investing in Mutual Funds.
An example of this is an MER. MER stand for Management Expense Ratios. A Management Expense Ration ...
published: 23 Mar 2019
-
Understanding mutual fund fees, management fees, and hidden costs
What is the real cost of investing?
You probably already know about management fees, but there may be other costs and fee structures that can surprise you if you’re not sure where to look.
In this video, Alex Langevin from Claret Asset Management will explain the different types of management fees and other costs that may be charged on your investments.
LICENSE CERTIFICATE: Envato Elements Item
=================================================
This license certificate documents a license to use the item listed below
on a non-exclusive, commercial, worldwide and revokable basis, for
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Item Title: Virtual Tour
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Item ID: ...
published: 08 Jun 2021
-
Why Mutual Fund Fees of 1% Are Really 15%
Brought to you by http://www.rebalance-ira.com
Dr. Charles D. Ellis, former chairman of the Yale Investment Committee and Rebalance IRA Investment Committee member, on how mutual fund managers obscure the true cost of their services and how those high mutual fund fees seriously diminish your retirement investing results. More from Ellis on the true impact of mutual fund fees at Rebalance IRA: http://www.rebalance-ira.com/news/how-much-does-your-money-manager-cost-you/?utm_medium=social&utm_source=youtube&utm_campaign=charley-ellis-why-mutual-fund-fees-of-1-percent-are-really-15-percent
Please share on Facebook and Twitter
published: 12 Sep 2013
-
Fees | How Investments Cost You
The Plain Bagel Episode VIII
Investments are a great way to expand one's wealth, but don't be fooled - there are still fees to pay for the services provided to you. In this video, we'll go over the types of costs you'll pay as an investor, as well as how you can learn more about the specific fees you face.
MUTUAL FUND SERIES INFORMATION:
- https://www.getsmarteraboutmoney.ca/invest/investment-products/mutual-funds-segregated-funds/mutual-fund-series/
Intro/Outro Music: https://www.bensound.com/royalty-free-music
Episode Music: http://freemusicarchive.org/music/Podington_Bear/
Sources: https://s3.amazonaws.com/nw-public-images/marketing/downloads/cost-of-investments-supporting-doc.pdf
published: 16 Feb 2018
-
Mutual fund charges: Expense Ratio & Fees in mutual fund investment | Mutual fund for beginners
Mutual fund charges: Expense Ratio & Fees in mutual fund investment | Mutual fund for beginners
In this video, we have spoken about different types of charges associated with mutual funds and how they are incurred or can be avoided.
#mutualfundcharges #mutualfund #mutualfundforbeginners
Subscribe to Groww Mutual Fund Channel: http://bit.ly/2FX57wj
We also have a Kannada, Tamil, Telugu & a Malayalam channel
Please subscribe here:
👉 Groww Kannada - https://bit.ly/3ekyeKP
👉 Groww Tamil - https://bit.ly/3cbhN3Z
👉 Groww Telugu - https://bit.ly/39aLpwC
👉 Groww Malayalam https://bit.ly/3enG2LV
Follow us on:
Facebook: https://www.facebook.com/growwapp/
Twitter: https://twitter.com/_groww
Instagram: https://www.instagram.com/groww_official
LinkedIn: https://in.linkedin.com/company/groww.in
...
published: 09 Dec 2021
-
Mutual Fund Fees and Expenses explained: Front & back load Vs. 12b-1 charges. No Load Mutual funds.
IN this recording, I discuss mutual fund fees and expenses. Mutual fund fees generally fall into two big buckets: Annual fund operating expenses. Mutual fund fees and expenses are charges that may be incurred by investors who hold mutual funds.
Farhat Accounting lectures has the best "mutual fund fees and expenses explained" video on youtube.
✔️Accounting students and CPA Exam candidates, check my website for additional resources: https://farhatlectures.com/
📧Connect with me on social media: https://linktr.ee/farhatlectures
#CFAEXAM #CPAREVIEW #mutualfundsfees
OPERATING EXPENSES Operating expenses are the costs incurred by the mutual fund in operating the portfolio, including administrative expenses and advisory fees paid to the investment manager. These expenses, usually expressed a...
published: 26 Jul 2020
-
How Do Expense Ratios Get Charged in Mutual Funds? | FinShort#43
#shorts #youtubeshorts
How Do Expense Ratios Get Charged in Mutual Funds?
How Do Expense Ratios Get Charged?
Every LIKE, SHARE, COMMENT & SUBSCRIPTION is always appreciated.
Support my work and join as a member to get exclusive stuff on Patreon: https://patreon.com/pratikchauhan
----------------------------------------------------
RECOMMENDED READING LIST:
Rich Dad Poor Dad (Personal finance book of all time)
https://amzn.to/36UAPY5
The Millionaire Next Door (Great Read to know how money works)
https://amzn.to/3nXnzZV
One Up On Wall Street (Peter Lynch's Best Advice to Stock Market Beginners)
https://amzn.to/35RgwM1
Think and Grow Rich (the ultimate book on money mindset and wealth)
https://amzn.to/3lTUkpY
The Little Book of Common Sense Investing (Awesome book on index funds)
https:...
published: 07 Apr 2021
-
Mutual Funds में EXPENSE RATIO क्या होता है? | Financial Advice | SST Ep02
💸 Download Kuvera: https://link.lla.in/kuvera
📚Payroll, Excel & Labour Law Courses for career growth: https://lpt.institute/courses/
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Investment in mutual funds is one of the most effective ways to create wealth in the long term but there are things that you must know before you jump in blindly. There are a number of expenses attached to your fund investment such as advertising expense, distributor fee, commission, and all these sums up your expense ratio. This can never go higher than 2.5% per annum in the case of equity mutual funds and 2.25% per annum in the case of debt mutual funds.
.....................................................
Chapters:
00:41 What is Expense Ratio?
03:40 Case exa...
published: 26 Jul 2019
-
Mutual Fund Fees: Front vs. Back Load
Mutual Fund Fees: Front vs. Back Load
The basics. What is a Mutual Fund? Learn more: https://claytrader.com/videos/what-is-a-mutual-fund/
One of the most popular ways to invest into the stock market and grow wealth is through a mutual fund. There are many different types of mutual funds you can choose from and one of the big determining factors for people are the fees being charged to them. Two of the most common types of fees is that of a front end load verses a back end load. How do these work and what is the difference? Let me explain.
published: 30 Sep 2019
-
Mutual Fund Fees Explained
Curious about how Mutual Fund Fees work? Learn how Mutual Fund fees benefit you and how they are broken down, how returns on Mutual Funds are calculated, and how this may affect you.
published: 19 Dec 2014
2:44
Mutual Fund Fees Explained - In Under 3 Min!
A simple, easy to follow video explaining all of the fees calculated when purchasing Mutual Funds, from MERs to Sales Charges.
If you've ever purchased Mutual ...
A simple, easy to follow video explaining all of the fees calculated when purchasing Mutual Funds, from MERs to Sales Charges.
If you've ever purchased Mutual Funds, you may or may not be aware of fees that you are paying not only to purchase this fund but also every year as part of the professional fund management. Common questions that people ask are: What is a good expense ratio for a mutual fund?, What is the average fee for mutual funds?, How are fees paid on mutual funds?, and What is a good investment management fee? After watching this video, you will be able to confidently research and understand all of these answers and understand what fees you pay when investing in Mutual Funds.
An example of this is an MER. MER stand for Management Expense Ratios. A Management Expense Ration is a percentage charged to investors, based on the total amount they have invested in a particular mutual fund.
Sales Fees
These are fees that you pay to the broker or institution that is selling you the fund.
Other Types of Fess Are:
Front-end Load Fee: A front-end load is a fee that is paid when you initially purchase the investment and is usually a % of the amount you are investing.
Back-end Load / Low-load Fee: A back-end / Low-load Fee is when you are charged a percentage of of what you are withdrawing when you sell the fund, usually if you end up selling it before a certain date (ie) 5 years.
On top of these fees, you may also be paying additional fees to your advisor.
RELATED VIDEOS:
Here is my video explaining questions you should ask your Advisor and HOW ADVISORS ARE PAID: https://youtu.be/60ZdSefWw-o
Mutual Fund Facts & Profiles Explained: https://youtu.be/lNjb6tGf6kM
Mutual Fund Basics: https://youtu.be/Pa8CeBT983M
// LINKS
Weekly blog, resources & tools: https://theindependentdollar.com
Follow The Independent Dollar on Twitter: https://twitter.com/IndepDollar
// MAIL
The Independent Dollar
P.O. Box 85011
1250 Stittsville Main Street
Stittsville, ON K2S 1X6
***** IS THERE A TOPIC YOU WOULD LIKE TO LEARN ABOUT
OR HAVE QUESTIONS ABOUT A FINANCIAL SITUATION? *****
If there is a scenario or example you would like to see, comment to let me know, send me an email or msg on twitter.
#MUTUALFUNDS #MUTUALFUNDFEES #FINANCIALLITERACY
https://wn.com/Mutual_Fund_Fees_Explained_In_Under_3_Min
A simple, easy to follow video explaining all of the fees calculated when purchasing Mutual Funds, from MERs to Sales Charges.
If you've ever purchased Mutual Funds, you may or may not be aware of fees that you are paying not only to purchase this fund but also every year as part of the professional fund management. Common questions that people ask are: What is a good expense ratio for a mutual fund?, What is the average fee for mutual funds?, How are fees paid on mutual funds?, and What is a good investment management fee? After watching this video, you will be able to confidently research and understand all of these answers and understand what fees you pay when investing in Mutual Funds.
An example of this is an MER. MER stand for Management Expense Ratios. A Management Expense Ration is a percentage charged to investors, based on the total amount they have invested in a particular mutual fund.
Sales Fees
These are fees that you pay to the broker or institution that is selling you the fund.
Other Types of Fess Are:
Front-end Load Fee: A front-end load is a fee that is paid when you initially purchase the investment and is usually a % of the amount you are investing.
Back-end Load / Low-load Fee: A back-end / Low-load Fee is when you are charged a percentage of of what you are withdrawing when you sell the fund, usually if you end up selling it before a certain date (ie) 5 years.
On top of these fees, you may also be paying additional fees to your advisor.
RELATED VIDEOS:
Here is my video explaining questions you should ask your Advisor and HOW ADVISORS ARE PAID: https://youtu.be/60ZdSefWw-o
Mutual Fund Facts & Profiles Explained: https://youtu.be/lNjb6tGf6kM
Mutual Fund Basics: https://youtu.be/Pa8CeBT983M
// LINKS
Weekly blog, resources & tools: https://theindependentdollar.com
Follow The Independent Dollar on Twitter: https://twitter.com/IndepDollar
// MAIL
The Independent Dollar
P.O. Box 85011
1250 Stittsville Main Street
Stittsville, ON K2S 1X6
***** IS THERE A TOPIC YOU WOULD LIKE TO LEARN ABOUT
OR HAVE QUESTIONS ABOUT A FINANCIAL SITUATION? *****
If there is a scenario or example you would like to see, comment to let me know, send me an email or msg on twitter.
#MUTUALFUNDS #MUTUALFUNDFEES #FINANCIALLITERACY
- published: 23 Mar 2019
- views: 11455
5:37
Understanding mutual fund fees, management fees, and hidden costs
What is the real cost of investing?
You probably already know about management fees, but there may be other costs and fee structures that can surprise you if ...
What is the real cost of investing?
You probably already know about management fees, but there may be other costs and fee structures that can surprise you if you’re not sure where to look.
In this video, Alex Langevin from Claret Asset Management will explain the different types of management fees and other costs that may be charged on your investments.
LICENSE CERTIFICATE: Envato Elements Item
=================================================
This license certificate documents a license to use the item listed below
on a non-exclusive, commercial, worldwide and revokable basis, for
one Single Use for this Registered Project.
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License Date: March 11th, 2021
Item License Code: 7PKVURCTZF
https://wn.com/Understanding_Mutual_Fund_Fees,_Management_Fees,_And_Hidden_Costs
What is the real cost of investing?
You probably already know about management fees, but there may be other costs and fee structures that can surprise you if you’re not sure where to look.
In this video, Alex Langevin from Claret Asset Management will explain the different types of management fees and other costs that may be charged on your investments.
LICENSE CERTIFICATE: Envato Elements Item
=================================================
This license certificate documents a license to use the item listed below
on a non-exclusive, commercial, worldwide and revokable basis, for
one Single Use for this Registered Project.
Item Title: Virtual Tour
Item URL: https://elements.envato.com/virtual-tour-KEALSU9
Item ID: KEALSU9
Author Username: BrownHouseMedia
Licensee: Carlos Pacheco
Registered Project Name: Claret
License Date: March 11th, 2021
Item License Code: 7PKVURCTZF
- published: 08 Jun 2021
- views: 2963
2:12
Why Mutual Fund Fees of 1% Are Really 15%
Brought to you by http://www.rebalance-ira.com
Dr. Charles D. Ellis, former chairman of the Yale Investment Committee and Rebalance IRA Investment Committee me...
Brought to you by http://www.rebalance-ira.com
Dr. Charles D. Ellis, former chairman of the Yale Investment Committee and Rebalance IRA Investment Committee member, on how mutual fund managers obscure the true cost of their services and how those high mutual fund fees seriously diminish your retirement investing results. More from Ellis on the true impact of mutual fund fees at Rebalance IRA: http://www.rebalance-ira.com/news/how-much-does-your-money-manager-cost-you/?utm_medium=social&utm_source=youtube&utm_campaign=charley-ellis-why-mutual-fund-fees-of-1-percent-are-really-15-percent
Please share on Facebook and Twitter
https://wn.com/Why_Mutual_Fund_Fees_Of_1_Are_Really_15
Brought to you by http://www.rebalance-ira.com
Dr. Charles D. Ellis, former chairman of the Yale Investment Committee and Rebalance IRA Investment Committee member, on how mutual fund managers obscure the true cost of their services and how those high mutual fund fees seriously diminish your retirement investing results. More from Ellis on the true impact of mutual fund fees at Rebalance IRA: http://www.rebalance-ira.com/news/how-much-does-your-money-manager-cost-you/?utm_medium=social&utm_source=youtube&utm_campaign=charley-ellis-why-mutual-fund-fees-of-1-percent-are-really-15-percent
Please share on Facebook and Twitter
- published: 12 Sep 2013
- views: 21046
8:20
Fees | How Investments Cost You
The Plain Bagel Episode VIII
Investments are a great way to expand one's wealth, but don't be fooled - there are still fees to pay for the services provided to...
The Plain Bagel Episode VIII
Investments are a great way to expand one's wealth, but don't be fooled - there are still fees to pay for the services provided to you. In this video, we'll go over the types of costs you'll pay as an investor, as well as how you can learn more about the specific fees you face.
MUTUAL FUND SERIES INFORMATION:
- https://www.getsmarteraboutmoney.ca/invest/investment-products/mutual-funds-segregated-funds/mutual-fund-series/
Intro/Outro Music: https://www.bensound.com/royalty-free-music
Episode Music: http://freemusicarchive.org/music/Podington_Bear/
Sources: https://s3.amazonaws.com/nw-public-images/marketing/downloads/cost-of-investments-supporting-doc.pdf
https://wn.com/Fees_|_How_Investments_Cost_You
The Plain Bagel Episode VIII
Investments are a great way to expand one's wealth, but don't be fooled - there are still fees to pay for the services provided to you. In this video, we'll go over the types of costs you'll pay as an investor, as well as how you can learn more about the specific fees you face.
MUTUAL FUND SERIES INFORMATION:
- https://www.getsmarteraboutmoney.ca/invest/investment-products/mutual-funds-segregated-funds/mutual-fund-series/
Intro/Outro Music: https://www.bensound.com/royalty-free-music
Episode Music: http://freemusicarchive.org/music/Podington_Bear/
Sources: https://s3.amazonaws.com/nw-public-images/marketing/downloads/cost-of-investments-supporting-doc.pdf
- published: 16 Feb 2018
- views: 66240
5:16
Mutual fund charges: Expense Ratio & Fees in mutual fund investment | Mutual fund for beginners
Mutual fund charges: Expense Ratio & Fees in mutual fund investment | Mutual fund for beginners
In this video, we have spoken about different types of charges ...
Mutual fund charges: Expense Ratio & Fees in mutual fund investment | Mutual fund for beginners
In this video, we have spoken about different types of charges associated with mutual funds and how they are incurred or can be avoided.
#mutualfundcharges #mutualfund #mutualfundforbeginners
Subscribe to Groww Mutual Fund Channel: http://bit.ly/2FX57wj
We also have a Kannada, Tamil, Telugu & a Malayalam channel
Please subscribe here:
👉 Groww Kannada - https://bit.ly/3ekyeKP
👉 Groww Tamil - https://bit.ly/3cbhN3Z
👉 Groww Telugu - https://bit.ly/39aLpwC
👉 Groww Malayalam https://bit.ly/3enG2LV
Follow us on:
Facebook: https://www.facebook.com/growwapp/
Twitter: https://twitter.com/_groww
Instagram: https://www.instagram.com/groww_official
LinkedIn: https://in.linkedin.com/company/groww.in
#groww #mutualfund
Disclaimer: These are not any recommendations for any funds or stocks and are meant only for educational purposes.
https://wn.com/Mutual_Fund_Charges_Expense_Ratio_Fees_In_Mutual_Fund_Investment_|_Mutual_Fund_For_Beginners
Mutual fund charges: Expense Ratio & Fees in mutual fund investment | Mutual fund for beginners
In this video, we have spoken about different types of charges associated with mutual funds and how they are incurred or can be avoided.
#mutualfundcharges #mutualfund #mutualfundforbeginners
Subscribe to Groww Mutual Fund Channel: http://bit.ly/2FX57wj
We also have a Kannada, Tamil, Telugu & a Malayalam channel
Please subscribe here:
👉 Groww Kannada - https://bit.ly/3ekyeKP
👉 Groww Tamil - https://bit.ly/3cbhN3Z
👉 Groww Telugu - https://bit.ly/39aLpwC
👉 Groww Malayalam https://bit.ly/3enG2LV
Follow us on:
Facebook: https://www.facebook.com/growwapp/
Twitter: https://twitter.com/_groww
Instagram: https://www.instagram.com/groww_official
LinkedIn: https://in.linkedin.com/company/groww.in
#groww #mutualfund
Disclaimer: These are not any recommendations for any funds or stocks and are meant only for educational purposes.
- published: 09 Dec 2021
- views: 21923
17:52
Mutual Fund Fees and Expenses explained: Front & back load Vs. 12b-1 charges. No Load Mutual funds.
IN this recording, I discuss mutual fund fees and expenses. Mutual fund fees generally fall into two big buckets: Annual fund operating expenses. Mutual fund f...
IN this recording, I discuss mutual fund fees and expenses. Mutual fund fees generally fall into two big buckets: Annual fund operating expenses. Mutual fund fees and expenses are charges that may be incurred by investors who hold mutual funds.
Farhat Accounting lectures has the best "mutual fund fees and expenses explained" video on youtube.
✔️Accounting students and CPA Exam candidates, check my website for additional resources: https://farhatlectures.com/
📧Connect with me on social media: https://linktr.ee/farhatlectures
#CFAEXAM #CPAREVIEW #mutualfundsfees
OPERATING EXPENSES Operating expenses are the costs incurred by the mutual fund in operating the portfolio, including administrative expenses and advisory fees paid to the investment manager. These expenses, usually expressed as a percentage of total assets under management, typically range from 0.2% to 1.5%. Shareholders do not receive an explicit bill for these operating expenses; however, the expenses periodically are deducted from the assets of the fund. Shareholders pay for these expenses through the reduced value of the portfolio.
The simple average of the expense ratio of all equity funds in the U.S. was 1.28% in 2016. But larger funds tend to have lower expense ratios (and investors place more of their assets in lower-cost funds), so the average expense ratio weighted by assets under management is considerably smaller, 0.63%. Not surprisingly, the average expense ratio of indexed funds (weighted by assets under management) is substantially lower, 0.09%, while that of actively managed funds is higher, 0.82%.
In addition to operating expenses, most funds assess fees to pay for marketing and distribution costs. These charges are used primarily to pay the brokers or financial advisers who sell the funds to the public. Investors can avoid these expenses by buying shares directly from the fund sponsor, but many investors are willing to incur these distribution fees in return for the advice they may receive from their broker.
FRONT-END LOAD A front-end load is a commission or sales charge paid when you purchase the shares. These charges, which are used primarily to pay the brokers who sell the funds, may not exceed 8.5%, but in practice they are rarely higher than 6%. Low-load funds have loads that range up to 3% of invested funds. No-load funds have no front-end sales charges. About half of all funds today (measured by assets) are no load. Loads effectively reduce the amount of money invested. For example, each $1,000 paid for a fund with a 6% load results in a sales charge of $60 and fund investment of only $940. You need cumulative returns of 6.4% of your net investment (60/940 = 0.064) just to break even.
BACK-END LOAD A back-end load is a redemption, or “exit,” fee incurred when you sell your shares. Typically, funds that impose back-end loads start them at 5% or 6% and reduce them by one percentage point for every year the funds are left invested. Thus, an exit fee that starts at 6% would fall to 4% by the start of your third year. These charges are known more formally as “contingent deferred sales loads.”
12b-1 CHARGES The Securities and Exchange Commission allows the managers of so-called 12b-1 funds to use fund assets to pay for distribution costs such as advertising, promotional literature including annual reports and prospectuses, and, most important, commissions paid to brokers who sell the fund to investors. These 12b-1 fees are named after the SEC rule that permits use of these plans. Funds may use annual 12b-1 charges instead of, or in addition to, front-end loads to generate the fees with which to pay brokers. As with operating expenses, investors are not explicitly billed for 12b-1 charges. Instead, the fees are deducted from the assets of the fund. Therefore, 12b-1 fees (if any) must be added to operating expenses to obtain the true annual expense ratio of the fund. The SEC requires all funds to include in the prospectus a consolidated expense table that summarizes all relevant fees. The 12b-1 fees are limited to 1% of a fund’s average net assets per year.2
12b-1 fees
Annual fees charged by a mutual fund to pay for marketing and distribution costs.
Many funds offer “classes,” which represent ownership in the same portfolio of securities, but with different combinations of fees. Typical Class A shares have front-end loads and a small 12b-1 fee, often around 0.25%. Class C shares rely more on 12b-1 fees. Class I shares are sold to institutional investors. These are sometimes called Class Y shares and carry no loads or 12b-1 fees.
https://wn.com/Mutual_Fund_Fees_And_Expenses_Explained_Front_Back_Load_Vs._12B_1_Charges._No_Load_Mutual_Funds.
IN this recording, I discuss mutual fund fees and expenses. Mutual fund fees generally fall into two big buckets: Annual fund operating expenses. Mutual fund fees and expenses are charges that may be incurred by investors who hold mutual funds.
Farhat Accounting lectures has the best "mutual fund fees and expenses explained" video on youtube.
✔️Accounting students and CPA Exam candidates, check my website for additional resources: https://farhatlectures.com/
📧Connect with me on social media: https://linktr.ee/farhatlectures
#CFAEXAM #CPAREVIEW #mutualfundsfees
OPERATING EXPENSES Operating expenses are the costs incurred by the mutual fund in operating the portfolio, including administrative expenses and advisory fees paid to the investment manager. These expenses, usually expressed as a percentage of total assets under management, typically range from 0.2% to 1.5%. Shareholders do not receive an explicit bill for these operating expenses; however, the expenses periodically are deducted from the assets of the fund. Shareholders pay for these expenses through the reduced value of the portfolio.
The simple average of the expense ratio of all equity funds in the U.S. was 1.28% in 2016. But larger funds tend to have lower expense ratios (and investors place more of their assets in lower-cost funds), so the average expense ratio weighted by assets under management is considerably smaller, 0.63%. Not surprisingly, the average expense ratio of indexed funds (weighted by assets under management) is substantially lower, 0.09%, while that of actively managed funds is higher, 0.82%.
In addition to operating expenses, most funds assess fees to pay for marketing and distribution costs. These charges are used primarily to pay the brokers or financial advisers who sell the funds to the public. Investors can avoid these expenses by buying shares directly from the fund sponsor, but many investors are willing to incur these distribution fees in return for the advice they may receive from their broker.
FRONT-END LOAD A front-end load is a commission or sales charge paid when you purchase the shares. These charges, which are used primarily to pay the brokers who sell the funds, may not exceed 8.5%, but in practice they are rarely higher than 6%. Low-load funds have loads that range up to 3% of invested funds. No-load funds have no front-end sales charges. About half of all funds today (measured by assets) are no load. Loads effectively reduce the amount of money invested. For example, each $1,000 paid for a fund with a 6% load results in a sales charge of $60 and fund investment of only $940. You need cumulative returns of 6.4% of your net investment (60/940 = 0.064) just to break even.
BACK-END LOAD A back-end load is a redemption, or “exit,” fee incurred when you sell your shares. Typically, funds that impose back-end loads start them at 5% or 6% and reduce them by one percentage point for every year the funds are left invested. Thus, an exit fee that starts at 6% would fall to 4% by the start of your third year. These charges are known more formally as “contingent deferred sales loads.”
12b-1 CHARGES The Securities and Exchange Commission allows the managers of so-called 12b-1 funds to use fund assets to pay for distribution costs such as advertising, promotional literature including annual reports and prospectuses, and, most important, commissions paid to brokers who sell the fund to investors. These 12b-1 fees are named after the SEC rule that permits use of these plans. Funds may use annual 12b-1 charges instead of, or in addition to, front-end loads to generate the fees with which to pay brokers. As with operating expenses, investors are not explicitly billed for 12b-1 charges. Instead, the fees are deducted from the assets of the fund. Therefore, 12b-1 fees (if any) must be added to operating expenses to obtain the true annual expense ratio of the fund. The SEC requires all funds to include in the prospectus a consolidated expense table that summarizes all relevant fees. The 12b-1 fees are limited to 1% of a fund’s average net assets per year.2
12b-1 fees
Annual fees charged by a mutual fund to pay for marketing and distribution costs.
Many funds offer “classes,” which represent ownership in the same portfolio of securities, but with different combinations of fees. Typical Class A shares have front-end loads and a small 12b-1 fee, often around 0.25%. Class C shares rely more on 12b-1 fees. Class I shares are sold to institutional investors. These are sometimes called Class Y shares and carry no loads or 12b-1 fees.
- published: 26 Jul 2020
- views: 2500
0:53
How Do Expense Ratios Get Charged in Mutual Funds? | FinShort#43
#shorts #youtubeshorts
How Do Expense Ratios Get Charged in Mutual Funds?
How Do Expense Ratios Get Charged?
Every LIKE, SHARE, COMMENT & SUBSCRIPTION is alwa...
#shorts #youtubeshorts
How Do Expense Ratios Get Charged in Mutual Funds?
How Do Expense Ratios Get Charged?
Every LIKE, SHARE, COMMENT & SUBSCRIPTION is always appreciated.
Support my work and join as a member to get exclusive stuff on Patreon: https://patreon.com/pratikchauhan
----------------------------------------------------
RECOMMENDED READING LIST:
Rich Dad Poor Dad (Personal finance book of all time)
https://amzn.to/36UAPY5
The Millionaire Next Door (Great Read to know how money works)
https://amzn.to/3nXnzZV
One Up On Wall Street (Peter Lynch's Best Advice to Stock Market Beginners)
https://amzn.to/35RgwM1
Think and Grow Rich (the ultimate book on money mindset and wealth)
https://amzn.to/3lTUkpY
The Little Book of Common Sense Investing (Awesome book on index funds)
https://amzn.to/3fxaEed
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This content is for education and entertainment purposes only. I do not provide tax or investment advice. The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. All investing involves risk, including the possible loss of principal.
This description contains affiliate links that allow you to find the items mentioned in this video and support the channel at no cost to you. I am a participant in the Amazon Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to www.amazon.in. Thank you for your support!
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https://wn.com/How_Do_Expense_Ratios_Get_Charged_In_Mutual_Funds_|_Finshort_43
#shorts #youtubeshorts
How Do Expense Ratios Get Charged in Mutual Funds?
How Do Expense Ratios Get Charged?
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RECOMMENDED READING LIST:
Rich Dad Poor Dad (Personal finance book of all time)
https://amzn.to/36UAPY5
The Millionaire Next Door (Great Read to know how money works)
https://amzn.to/3nXnzZV
One Up On Wall Street (Peter Lynch's Best Advice to Stock Market Beginners)
https://amzn.to/35RgwM1
Think and Grow Rich (the ultimate book on money mindset and wealth)
https://amzn.to/3lTUkpY
The Little Book of Common Sense Investing (Awesome book on index funds)
https://amzn.to/3fxaEed
__________
Business Inquiries:
[email protected]
__________
DISCLAIMERS & DISCLOSURES
This content is for education and entertainment purposes only. I do not provide tax or investment advice. The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. All investing involves risk, including the possible loss of principal.
This description contains affiliate links that allow you to find the items mentioned in this video and support the channel at no cost to you. I am a participant in the Amazon Associates Program, an affiliate advertising program designed to provide a means for sites to earn advertising fees by advertising and linking to www.amazon.in. Thank you for your support!
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Music: chill. by sakura Hz https://soundcloud.com/sakurahertz
Creative Commons — Attribution 3.0 Unported — CC BY 3.0
Free Download / Stream: http://bit.ly/chill-sakuraHz
Music promoted by Audio Library https://youtu.be/pF2tXC1pXNo
- published: 07 Apr 2021
- views: 300800
8:24
Mutual Funds में EXPENSE RATIO क्या होता है? | Financial Advice | SST Ep02
💸 Download Kuvera: https://link.lla.in/kuvera
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💸DEMAT Account: https://li...
💸 Download Kuvera: https://link.lla.in/kuvera
📚Payroll, Excel & Labour Law Courses for career growth: https://lpt.institute/courses/
💸DEMAT Account: https://link.lla.in/Demat
.....................................................
Investment in mutual funds is one of the most effective ways to create wealth in the long term but there are things that you must know before you jump in blindly. There are a number of expenses attached to your fund investment such as advertising expense, distributor fee, commission, and all these sums up your expense ratio. This can never go higher than 2.5% per annum in the case of equity mutual funds and 2.25% per annum in the case of debt mutual funds.
.....................................................
Chapters:
00:41 What is Expense Ratio?
03:40 Case examples
05:27 Is MF with a higher Expense Ratio worthless?
.....................................................
PLAYLISTS :
Money Frauds You Must Know: https://link.lla.in/LLA-PL-Money-Frauds
Life Insurance Guide: https://link.lla.in/LLA-PL-life-insurance
Demat Account Guide: https://link.lla.in/LLA-PL-Demat-Account-Guide
Income Tax: https://link.lla.in/LLA-PL-Income-Tax-TDS
Jagruk Talks S2: https://link.lla.in/LLA-PL-Jagruk-Talks-S2
Business Basics: https://link.lla.in/LLA-PL-Business-Basic
ABC of Personal Finance: https://tinyurl.com/LLA-Financial-Advisor-Playlist
Labour Law Crash Course Series: https://tinyurl.com/Labour-Law-Crash-Course
Social Security Schemes: https://tinyurl.com/LLA-Social-Security-Schemes
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#FinancialAdvice #MutualFunds #ExpenseRatio #LLA
https://wn.com/Mutual_Funds_में_Expense_Ratio_क्या_होता_है_|_Financial_Advice_|_Sst_Ep02
💸 Download Kuvera: https://link.lla.in/kuvera
📚Payroll, Excel & Labour Law Courses for career growth: https://lpt.institute/courses/
💸DEMAT Account: https://link.lla.in/Demat
.....................................................
Investment in mutual funds is one of the most effective ways to create wealth in the long term but there are things that you must know before you jump in blindly. There are a number of expenses attached to your fund investment such as advertising expense, distributor fee, commission, and all these sums up your expense ratio. This can never go higher than 2.5% per annum in the case of equity mutual funds and 2.25% per annum in the case of debt mutual funds.
.....................................................
Chapters:
00:41 What is Expense Ratio?
03:40 Case examples
05:27 Is MF with a higher Expense Ratio worthless?
.....................................................
PLAYLISTS :
Money Frauds You Must Know: https://link.lla.in/LLA-PL-Money-Frauds
Life Insurance Guide: https://link.lla.in/LLA-PL-life-insurance
Demat Account Guide: https://link.lla.in/LLA-PL-Demat-Account-Guide
Income Tax: https://link.lla.in/LLA-PL-Income-Tax-TDS
Jagruk Talks S2: https://link.lla.in/LLA-PL-Jagruk-Talks-S2
Business Basics: https://link.lla.in/LLA-PL-Business-Basic
ABC of Personal Finance: https://tinyurl.com/LLA-Financial-Advisor-Playlist
Labour Law Crash Course Series: https://tinyurl.com/Labour-Law-Crash-Course
Social Security Schemes: https://tinyurl.com/LLA-Social-Security-Schemes
_____________________________________________________
Follow us on Social Media📲
Twitter: https://link.lla.in/LLAtwitter
Instagram: https://link.lla.in/LLAinsta
Telegram: https://t.me/JoinLLA
Facebook: https://link.lla.in/LLAFB
.....................................................
📰Get the LLA newsletter for FREE: https://labourlawadvisor.in/newsletter/
🕵️Employment Consultancy, Contract Review, Salary Structure Review: https://www.consult.lla.in/
.....................................................
#FinancialAdvice #MutualFunds #ExpenseRatio #LLA
- published: 26 Jul 2019
- views: 213955
7:57
Mutual Fund Fees: Front vs. Back Load
Mutual Fund Fees: Front vs. Back Load
The basics. What is a Mutual Fund? Learn more: https://claytrader.com/videos/what-is-a-mutual-fund/
One of the most popu...
Mutual Fund Fees: Front vs. Back Load
The basics. What is a Mutual Fund? Learn more: https://claytrader.com/videos/what-is-a-mutual-fund/
One of the most popular ways to invest into the stock market and grow wealth is through a mutual fund. There are many different types of mutual funds you can choose from and one of the big determining factors for people are the fees being charged to them. Two of the most common types of fees is that of a front end load verses a back end load. How do these work and what is the difference? Let me explain.
https://wn.com/Mutual_Fund_Fees_Front_Vs._Back_Load
Mutual Fund Fees: Front vs. Back Load
The basics. What is a Mutual Fund? Learn more: https://claytrader.com/videos/what-is-a-mutual-fund/
One of the most popular ways to invest into the stock market and grow wealth is through a mutual fund. There are many different types of mutual funds you can choose from and one of the big determining factors for people are the fees being charged to them. Two of the most common types of fees is that of a front end load verses a back end load. How do these work and what is the difference? Let me explain.
- published: 30 Sep 2019
- views: 6977
1:55
Mutual Fund Fees Explained
Curious about how Mutual Fund Fees work? Learn how Mutual Fund fees benefit you and how they are broken down, how returns on Mutual Funds are calculated, and ho...
Curious about how Mutual Fund Fees work? Learn how Mutual Fund fees benefit you and how they are broken down, how returns on Mutual Funds are calculated, and how this may affect you.
https://wn.com/Mutual_Fund_Fees_Explained
Curious about how Mutual Fund Fees work? Learn how Mutual Fund fees benefit you and how they are broken down, how returns on Mutual Funds are calculated, and how this may affect you.
- published: 19 Dec 2014
- views: 9090