Know Your ABC's: The Impact of Fees on Investment Performance

By G. Gregory Smith, Jr. As a follow up to our study on how taxes can impair investment returns, we thought it only logical to address how fees are another “hidden pitfall” for investors. The following discussion is intended to be a primer on how investment managers are compensated. The multitude of investment vehicles on the market today prohibit a comprehensive explanation, but we hope this paper can help educate you on the various terms, structures, and layered fee arrangements that you may encounter in today’s market. Please keep [...]