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Investing/Strategies / Retirement Investing
|Subject: Re: Portfolio Management Fee?||Date: 3/21/2006 9:54 AM|
|Author: jrr7||Number: 50635 of 76418|
I don't know where you get that idea. I and R shares are always cheaper than their comparable A share. That is why they often require 1 million plus to buy an I, R, or select share class.
Ah! So one benefit of going with your plan is that the clients get charged the Institutional rate on their shares (resulting in a lower expense ratio and less of a load). That's a good point in favor of your plan.
However, when they said
Most actively managed funds have signifigantly higher annual expense ratios than passively managed.
they were trying to compare your funds to index funds (which typically have expense ratios in the 0.1% to 0.5% range). Not exactly an apples-to-apples comparison.
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