A good expense ratio, from the investor's point of view, ranges from 0.5% to 0.75% for an actively managed portfolio. A spending ratio greater than 1.5% is considered high. An expense ratio is the cost of owning a mutual fund or an exchange-traded fund (ETF). Think of the expense ratio as the management fee paid to the fund company for the benefit of owning the fund.
Since all investments have costs, it can seem like a waste of time to worry about them. Or maybe you assume that a higher price means higher quality.
