Do ETFs have fees?
Yes, ETFs have management fees. These fees are usually referred to as the expense ratio. The expense ratio is often shown as a percentage.
ETFs are managed by investment companies that charge a fee for their service. The fee covers all operational costs associated with managing the ETF.
For example:
If an ETF has an expense ratio of 0.10%, that means that for every $100 you invest, you pay 10 cents. If you invested $1,000 in this fund, the fee would be $1.
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