What is an expense ratio?
An expense ratio is an annualized fee (written as a percentage of total assets) that funds charge shareholders.
The fee is charged daily by deducting a small amount of a fund’s asset from a shareholder. It covers management fees, administrative expenses and other costs incurred to operate the fund.
These costs are included in the price of the fund, not charged separately.
This is different from commissions or fees a broker may charge to purchase the investment. A fund sponsor has operational costs and the expense ratio covers these costs.
When you invest with Stash, the expense ratio is already factored into the prices you’re seeing.
Related questions View all Tips & Guidance
Q. The New Stash Banking—What’s New and What Changed
Beginning in fall 2022, Stash will be switching banking providers. This move will provide more autonomy for Stash in banking decisions, and will provide more benefits to customers. You can read about our decision here. You may be wondering—what steps do I need to take after I’ve transitioned my banking account?…
Q. Need to upload documents to verify your identity when opening a Stash account?
During the course of signing up for your new Stash account, we may ask you for proof of identity via either your driver’s license or passport. Why do we need this information? The USA Patriot Act requires us to verify your identity—it helps us keep all 56+ million Stashers safe,…
Q. What is happening to my Stash Banking Account issued by Green Dot Bank?
What is happening to my Stash banking account issued by Green Dot Bank? We are switching to a new banking partner. The transition is easy. We’ll transfer your funds automatically in just a few minutes. If you do not complete the transition,…
Didn’t find your question?
Tell us what you’re looking for, and we’ll search for resources that could help.Ask your question
Fiduciary 101: Why it’s Our Job to be Your Advocate
It’s a big word that means a lot when it comes to handling your money. It defines a relationship built on trust and duty.
Debt and Equity: What Every Smart Investor Needs to Know
You can invest in debt & in equity, but do you really know what that means? We break down the jargon.