Excerpts Published Thursday, September 25, 2014 by Lakeland Ledger
Academic studies have proven that investors in mutual funds generally underperform the market for a few reasons: high fees and market timing. Today’s discussion is about high fees. A more disastrous discovery about high fees is that some companies in the mutual fund industry are very adept at hiding most of the added costs to investors through layers of complex formulas which are built into the security’s net asset value (NAV). So what is the average investor to do?