Business
In this month's show: Kathy explains that fees also come with a double whammy, the "lost opportunity" cost of the fees paid--because you could have invested the money instead! Here is an example: You have $90,000 invested and add your annual contribution of $10,000 over 20 years using a 9% rate of return with management fees of 2.2% per year. Verdict? You'd have over $267,000 less in the high fee account than in an index fund with the same return and fees of only 0.2% per year. For show notes and resources visit: http://www.getfinancialfinesse.org/?p=2220