Ok. Let’s turn our focus to management fees. I bet most of you reading this have owned a professionally managed investment or two either in the past or currently. Do you have any idea what fee(s) you’re paying for them? Do you want to know? I would. Sometimes you may have to work really hard to find them. They may not be too clear, and may be found deep within product documents. You may not be familiar with some of the language or titles, or where within the document to locate them. My personal favorite is when fees are called “other expenses.” Pretty sweet how some fees get disclosed to you isn’t it? So, with all that said why should you care? I’ll give you 2 reasons:
- Fees can be like an anchor on your performance. They can really drag down your potential growth.
- Every dollar in fees that you don’t pay, you get to keep!! Right? Pretty simple huh?
So there you go. Fees are something I think you should really care about. They can be a big deal if you don’t investigate them. I mean, price matters on every other product you buy, why shouldn’t it matter on the investments you buy? It should in my opinion. Contact my office today for a free mutual fund fee review. Try saying that 5 times fast.
Investing involves risk including loss of principal. No strategy assures success or protects against loss. The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.