What's the range of management fee for stocks/mutual fund portfolio management?

Answer 1

2%-4% is normal. THere are a couple different things though - a load or no-load fee for mutual funds refers to what you pay the fund managers. No loads mean no fees. The load or no load is independent of fund performance - so I normally stick with no load funds to save that 3% fee.

Answer 2

Actually loads and fees are erelated topics. Generally, if their is a load, the fees would be slight less. So, if you intend to hold a mutual fund for a very long time, a fund with a load might not be a bad thing, and generally if you do transfer funds within the same fund family, you will not have to pay another load.

By law, fund expenses cannpt be more than 5%, they are usually lower as competition drives down the price.


Also, the sa,me find (different classes) may have different fees based on the distribution channel, so keep that in mind as well.

An indefund can be as low as 0.07% (7 basis points) and go up from their.

The best way to think about loads verse fees is with afund that has 3 classes.

General example:
Class A - has a 3% load and 1.00 BP average annual fee.
Class B - has a CDSC (if you surrender before a given time, you pay a fee,+management fee of 1.15%.
Class C - no load, cost 1.3% annually.

In this situation,
-For a short term investmentuse a class C.
-For medium term (or perhaps never) use class B.
-For long term, use class A.

Answer 3

don't listen to that other jag-off, a load is the sales charge, and completely independent of the management fee.

A management fee goes to the manager or management company that makes all the investment decisions- They can range from 10 basis points per annum all the way up to 3% or more.

A decent index fund will have the lowest fees because you're not paying for any active management.

Remember, the manager always gets paid first so your investment returns will be after the manager gets paid. Over time, that expense become a major drag on performance.

Check out passive management on Wikipedia to get a feel for the value that active management provides--specifically over the long haul (empiracally its not much).

You will be surprised.

I would alway steer clear of any load fund which contrary to what many buttholes think--- is a sales charge, and not a management fee.

Answer 4

The previous responders seem to misinterpert your question, ignoring the word stocks and answering as if you asked what is the range of annual expense ratios and loads for mutual funds. I interpert your question as what is the range of fees for financial planners/private banks to manage your personal portfolio of stocks and or mutual funds. In that case: some planners work on a hourly fee which could range from $50 to $200 per hour, depends how good they are and how much demand for their services there is. Others work on commission, they put you in load mutual funds, so they get the sales load fee (ranges up to 5.75% of invested assets for most funds, I heard of one charging around 8%) plus each year, they get the 12b-1 (0.25% to 1% of value of your fund holdings) fee to keep track of your portfolio.
Other fee-only planners charge a percentage (from memory reading about it years ago so I may be off now = ranges from 0.5% to about 2% of the value of your investments. More money you invest, less percentage wise.) Some planners take the commissions from the load, and the 12b-1 fee and add a smaller fee from you. An example of a fee-only planner is US Trust Company, owned by Charles Schwab & Co. for their equity managed accounts. For $1 million or less they charge 1.75%, next 2 million 1.50%, over 3 million 1.20% (taken from their web site.). Hopes this helps.

Answer 5

depends on ASM skill & capital, profit, target