
Expense Ratio: Definition, Formula, Components, and Example
May 21, 2025 · What Is an Expense Ratio? An expense ratio measures how much you'll pay over the course of a year to own a fund, expressed as a percentage of your investments.
What Is An Expense Ratio And What’s A Good One? | Bankrate
Jun 26, 2025 · An expense ratio is the cost of owning a fund on an annual basis and measured as a percent of your investments within the fund. High expense ratios can eat into your returns. You can …
What is an expense ratio? Costs of investing explained | Vanguard
What is an expense ratio? An expense ratio reflects how much a mutual fund or an ETF pays for portfolio management, administration, marketing, and distribution, among other expenses. The cost …
Expense Ratio - Definition, Components, Practical Example
Expense Ratio = Total Fund Costs / Total Fund Assets. Total fund costs are divided by total fund assets to arrive at the ER. So what Can the ER Tell You? This ratio calculates how much you'll pay to buy a …
What is an expense ratio? - Fidelity
Oct 8, 2025 · An expense ratio (ER) is the fee paid to service providers for operating a mutual fund or exchange-traded fund (ETF). When deciding on an investment, it can be helpful to compare that …
Expense Ratio: Definition, Calculation & Impact 2025
3 days ago · An expense ratio is the annual cost a mutual fund or exchange-traded fund (ETF) charges investors to operate the fund, expressed as a percentage of the fund's average assets under …
What Is an Expense Ratio? - SoFi
May 30, 2025 · An expense ratio is the annual fee that mutual funds and exchange-traded funds (ETFs) charge investors, to cover operating costs. The fee is deducted from your investment, reducing your …
Expense Ratio - What Is It, Formula, Examples - WallStreetMojo
For common use, the formula for the ratio of expenses, Total expense ratio = Total Fund Costs (expenses) / assets under management (AUM) *100.
Expense Ratio: Meaning, Formula & Importance - Happay
Nov 28, 2025 · What is an expense ratio? An expense ratio is used primarily in mutual fund and exchange-traded fund (ETF) industries. It represents the percentage of a fund’s average assets used …
Expense Ratios: How to Calculate and Interpret the Key Expense Ratios ...
Apr 8, 2025 · expense ratios are financial metrics that measure the proportion of a company's expenses to its revenue or income. They help evaluate the efficiency of cost management and identify areas …