How much does a mutual fund cost per year?

With an expense ratio of 1.0%, you can determine the annual cost to you for the mutual fund, even if you don't pay it directly. First, you multiply 1,000 by 12.14, to get the value of your shares, $12,140. Next you multiply that figure by the 1% expense ratio, giving you a cost of $121.40 per year.

What does a mutual fund increase or decrease mean?

These represent the amount and percentage by which the mutual fund increased or decreased from the previous closing price. A website typically shows the figures in green font with an up-arrow to designate an increase and uses red font and a down-arrow for a decrease. In this example, assume the quote reports “$1.00 (1%)” in green with an up-arrow.

How do you calculate the annual cost of a mutual fund?

Suppose you hold 1,000 units or shares in the mutual fund above, where each share's NAV $12.14. With an expense ratio of 1.0%, you can determine the annual cost to you for the mutual fund, even if you don't pay it directly. First, you multiply 1,000 by 12.14, to get the value of your shares, $12,140.