Keeping costs low helps you keep more of your investment.
The percentage of a fund’s assets used to pay the costs of running the fund is called the expense ratio. Some funds cost significantly more to own than others. That can be true even when fund holdings are similar. Vanguard funds, on average, have an expense ratio less than one-fifth the industry average.*
Use this tool to compare two funds and see how their costs could potentially erode returns.
*According to Lipper, a Thomson Reuters Company, Vanguard funds had an average expense ratio of 0.17% in 2016, compared to an industry average of 1.01%. Average expense ratios are for 2016.