Researcher and funds data provider Lipper Fizrovia says UK multi-manager funds come with total expense ratios (TERs) ranging from below 1.5% to more than 3%.
TERs for fund of funds (fof) investing in externally managed funds average 2.44%, while those for manager of managers and fofs investing in internal ranges average 1.86%. Fitzrovia says its figures are based on inclusion both of fees and expenses, as well as weighted annual operating costs of each underlying fund/share class. The research covers 187 funds/share classes investing in more than 3,100 underlying funds, accounting for some £14.8bn in assets under management. By comparison, the research suggests industry average TERs of 1.63% for actively managed equity funds. Bond funds...
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