Lets see how fees can hurt your investment strategy. Lets assume that your mutual fund grows at
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Let’s see how fees can hurt your investment strategy. Let’s assume that your mutual fund grows at an average rate of 7% per year—before subtracting the fees. Using the rule of 70:
a. How many years will it take for your money to double if fees are 0.5% per year?
b. How many years will it take for your money to double if fees are 1.5% per year (not uncommon in the mutual fund industry)?
c. How many years to double if fees are 2.5% per year?
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Related Book For
Modern Principles Of Microeconomics
ISBN: 9781429278416
3rd Edition
Authors: Tyler Cowen, , Alex Tabarrok
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