Simplified fee model
Real fund costs may include transaction costs, loads, taxes, cash drag and tracking error. This page isolates the expense-ratio effect.
Example
If 10,000 grows at 7% before fees and the expense ratio is 0.75%, the calculator treats the net annual return as 6.25% for a simplified long-term comparison.
Why fees matter
A small annual fee can compound into a large difference over long periods because each year's fee reduces the amount left to keep growing.
Common mistakes
Do not compare funds by expense ratio alone. Risk, asset class, index tracking, taxes, turnover and investment strategy also matter.
Limitations
This is not investment advice. It does not model market volatility, changing fees, tax lots, loads, bid-ask spreads or reinvestment timing.
Last reviewed: 2026-05-17