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Forbes: The New Rules of Money

#7 Pay Attention to Expenses, But Don't Obsess Over Them

Expenses and high fees erode long-term returns. However, a recent study of fund performance over the last 21 years by asset manager DAL Investment Co. shows that low expenses are not a good predictor of the net returns of mutual funds. Trading commissions? Competition seems to drive them lower annually. So avoid high commissions and excessive expenses, but unless you are a passive index fund investor, don’t let expenses rule your investment strategy.

(Photo via Forbes)

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The opinions expressed are solely those of the author and do not necessarily reflect the views of Comcast.

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