I decided to shift from Vanguard to Schwab's SCHH for my Real Estate allocation. I have access to Vanguard's Institutional share class at 0.11% (up from 0.10%), but the Schwab REIT fund is at 0.07% and doesn't include non-REIT stocks. The Vanguard fund is over 90% REITs, so it doesn't seem that makes much of a difference after SCHH's index change in 2020.
I believe that was due to the drop in assets during its last annual period.
The expense ratios are backwards looking, so the expenses were already paid. I suspect that the current actual expense ratio is back down to 0.05% for the current year, but that don't be known until next year.
Similarly VEA also increased by 1 basis point to 0.06%.As previously said: the fee in percent is (dollars for fee) / (value of fund)
This cuts both ways. If one basis point is immaterial, then Vanguard should have lowered it by one basis point!
The numerator could stay the same or even decrease, but if the fund value drops sufficiently then the fee *as a percentage* would appear to increase
I believe that was due to the drop in assets during its last annual period.
The expense ratios are backwards looking, so the expenses were already paid. I suspect that the current actual expense ratio is back down to 0.05% for the current year, but that don't be known until next year.
Statistics: Posted by Lyrrad — Sun Jul 14, 2024 11:32 pm