The Hidden Costs of ETF Investing Eating Into Your Returns

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Timestamps:
00:00 Introduction & Impact of Fees
02:38 Broker Transaction Costs
06:40 ETF Transaction Costs
10:38 Broker Ongoing Charges
12:05 ETF Total Expense Ratio Explained
14:08 Costs Not Included in TER
18:57 Tracking Error - Net Impact
20:26 Total Cost of Ownership
20:46 Do Not Obsess Over Fees

[UndisturbedMonk]

The TER is quite misleading and many novice and even "experienced" investors will pick based solely on it. The hidden fees, which are mostly part of the process of exchanging shares, are never fully listed/shown at a first glance and you have to dig for the information (which most people won't do).

This is the content that people NEED to watch, real data and facts, breaking down information which should be readily available to investors, but that wouldn't be beneficial to the platforms, fund managers and market makers if the TRUE cost of ownership was shown would it!?

Great video and the video production has definitely leveled up! Everyone like this video, more people in the UK need to see this!

[RiskOnInvestor]

Great video Tom! Some really important points covered here

[Clampers]

Wow! What a superb presentation. This is the best channel on YouTube for ETF investors because of your detailed analysis. Keep up the good work Tom.

[malcolmbirkett]

Good breakdown of the costs😊 we are trying to keep our costs down . But someone somewhere is picking our pockets

[diegomartin]

Does the withholding tax cost also apply to accumulating ETFs or only distributing ones?

[petearmstrong]

FYI The index is Solactive and not Soloactive

[quatie]

When deciding between ETFs like Vanguard S&P 500 and SPDR S&P 500 or Vanguard FTSE All-World and Invesco FTSE All-World, should you opt for the one with the lower AER, or is it better to choose based on a longer track record and larger fund size?

So there are only swap fees for synthetic ETFs?

[TROZJAN]

How you come up with 85, 000 it’s .60% not 60%