ETFs Will End the Mutual-Fund-Fee Gravy Train
Every year, mutual fund managers, executives and various other industry personnel gather in Chicago for the Morningstar Investment Conference to share ideas on the state of their industry. The latest conference was held a few weeks ago, and, according to one report, there was a conspicuously absent discussion of what I think is the biggest threat to the mutual fund industry — the rise of exchange-traded funds (ETFs).
The article I’m referring to, which appeared on ETF.com, was appropriately titled, “Behind Closed Doors, ETFs Are All the Rage.” The piece correctly points out that “the ETF market is the fastest-growing segment in the financial world today, expanding at roughly a 25-percent-a-year pace and now boasting more than $1.85 trillion in assets in the U.S. alone.”
Unfortunately, the mutual fund industry wants to keep that inconvenient truth on the back burner and from you, the investor.
Read more about how you can avoid mutual fund fees by investing in exchange-traded funds at Eagle Daily Investor.