Costs & Fees
Management Fee
Definition
What is Management Fee?
The recurring fee paid from fund assets to the fund manager for managing the portfolio.
Example in practice
How This Looks in Practice
A 1.5% annual management fee on average assets of $1 billion equals roughly $15 million before timing adjustments.
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Related Terms
Costs & Fees
Expense Ratio
A fund's annual operating expenses expressed as a percentage of its average net assets.
Costs & FeesEntry Load
A charge deducted when an investor subscribes to a fund.
Costs & FeesExit Load
A charge applied when fund units are redeemed, often within a specified holding period.
Plans & OptionsAccumulation Option
A fund option that retains or reinvests income so it contributes to unit-value growth.