Help With Mutual Fund Management Expense Ratios
I've done a Google search on management expense ratios and have a basic idea that you want a fund that has a low management expense ratio (mer).
But, could someone help me understand how they work. Let's say I have $2000 invested in a mutual fund. The price for 1 share is $1 and so I have 2000 shares. If the MER is 3%, what exactly does that mean?
Thank you
But, could someone help me understand how they work. Let's say I have $2000 invested in a mutual fund. The price for 1 share is $1 and so I have 2000 shares. If the MER is 3%, what exactly does that mean?
Thank you