Good afternoon, I'm curious about the topic of managed funds and their associated costs. Can you please elaborate on what factors should one consider when determining how much to pay for a managed fund? Are there any industry standards or benchmarks that can serve as a guide? Additionally, how do the fees charged by managed funds typically compare to other investment options, such as self-managed portfolios or index funds? Lastly, are there any potential hidden costs or fees that investors should be aware of when investing in a managed fund? Thank you for your insights.
            
            
            
            
            
            
           
          
          
            6 answers
            
            
  
    
    Lorenzo
    Fri Sep 06 2024
   
  
    It's important to note that these fees can significantly impact your overall investment returns. As such, it's crucial to carefully review the fee structure of any managed fund before investing.
  
  
 
            
            
  
    
    PulseEclipse
    Fri Sep 06 2024
   
  
    Managed fund fee types encompass various charges that investors are subjected to when engaging with fund managers. These fees are designed to cover the costs associated with managing and operating the fund.
  
  
 
            
            
  
    
    Alessandro
    Fri Sep 06 2024
   
  
    One such fee is the investment or indirect cost ratio, which represents the percentage of your investment that you must pay to your investment manager. This fee can range from 0.15% to 1.5% of your account balance, depending on the fund and the manager's terms.
  
  
 
            
            
  
    
    Giuseppe
    Fri Sep 06 2024
   
  
    Another type of fee is the performance bonus, which is paid to your investment manager if they achieve exceptional performance. This fee is typically a percentage of your account balance and can range from 0.1% to 0.5%.
  
  
 
            
            
  
    
    ethan_harrison_chef
    Thu Sep 05 2024
   
  
    Additionally, some managed funds may also charge other fees, such as trading fees, management fees, and administrative fees. It's important to understand all the fees associated with a fund before making an investment decision.