Morningstar: European investors paying record low charges

Intense competition leading to fee cuts

clock • 2 min read

European investors are paying the lowest ever charges on their portfolios, which bodes well for overall performance, according to newly released data.

In its European Fee Study, released 7 December, Morningstar noted that there were several reasons behind the decline - all of which were good news for the end investor. Jose Garcia-Zarate, associate director, manager research, passive strategies at Morningstar, said: "The decline in fees is a big positive for investors because fees compound over time and diminish returns." Morningstar IM launches range of multi-asset funds The research house found the average fee paid by investors was 0.69% in October 2020, a 31% decline from 2013. To calculate this figure, it used the asset-weight...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Funds

FundCalibre awards seven funds an 'Elite' rating

FundCalibre awards seven funds an 'Elite' rating

11 new ratings overall

clock 14 February 2024 • 4 min read
AXA IM unveils global short duration bond fund with decarbonisation objective

AXA IM unveils global short duration bond fund with decarbonisation objective

Seeded by Aon

Valeria Martinez
clock 14 February 2024 • 1 min read
Schroders Greencoat launches renewables and energy transition LTAF

Schroders Greencoat launches renewables and energy transition LTAF

Second LTAF from Schroders Capital

Cristian Angeloni
clock 07 February 2024 • 2 min read
Trustpilot