On $100,000 initial investment, 7% annual return, 30 years: 0.03% expense ratio = $729,000 final value. 0.20% expense ratio = $680,000 final value. The difference: $49,000. Some people call this small. I call it one year of retirement income. Choose the cheapest fund tracking the same index.
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On $100,000 initial investment, 7% annual return, 30 years: 0.03% expense ratio = $729,000 final value. 0.20% expense ratio = $680,000 final value. The difference: $49,000. Some people call this small. I call it one year of retirement income. Choose the cheapest fund tracking the same index.
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