The expense ratio of funds matters. Back in 2010, Morningstar found that the best predictor of future returns was a low expense ratio. This beat every other indicator, including Morningstar stars.

For mutual fund and exchange-traded fund (ETF) investors, expense ratios are an important but sometimes overlooked element that can have a real impact on long-term returns. The expense ratio is the ...

An expense ratio is the relationship of a fund’s total assets to other administrative and operating expenses. The expense ratio is taken from the fund’s gross return, cutting into potential profit ...

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An expense ratio is the amount of money you pay over the course of a year to own a mutual fund or an exchange-traded fund (ETF). It's what an investment company charges investors and represents all of ...

When you invest in any fund, you’ll likely encounter an “expense ratio.” This is a fee taken annually by the fund provider for managing and operating the ETF. The expense ratio is expressed as a ...

Expense ratios for mutual funds and ETFs have plunged over the past 28 years, per an ICI report. Thanks to the popularity of no-load funds, the average expense ratio for mutual funds has been steadily ...

Note: The following is part of Morningstar's 2018 Portfolio Tuneup week. A version of this article appeared on June 23, 2016. To demonstrate how little most investors think about their investment ...

During its Board Meeting on 17 December 2025, the Securities and Exchange Board of India (SEBI) revised the expense ratio framework of mutual funds. It will now only include expenses directly related ...

There are a handful of financial terms out there that every investor -- regardless of their level of involvement or portfolio size-- should know inside and out. The expense ratio is one of those ...