Money

Compare fund expense ratios before you buy (index ETFs, 401(k) funds)

Added

Every mutual fund and ETF charges an annual expense ratio, taken out of fund assets. The SEC says funds must show a standardized fee table in the prospectus and points to FINRA's Fund Analyzer for comparing costs. Check the fee table for each fund in your 401(k) and IRA, and compare share classes.

The result

Result: SEC investor bulletin: a fund with higher costs must perform better than a lower-cost fund to deliver the same return to you.

Note: Not financial advice. General information only; check your own situation or ask a qualified professional.

Source

SEC Investor.gov (opens the original source in a new tab). Check it for the latest numbers before you act.

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