Fund Basics

How do a fund's 'fees' and 'charges' differ?

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Fees are costs paid out of the fund on an ongoing basis to the asset manager, distributor, trust company, administration company and others, usually calculated as a percentage of the fund's net assets.

Charges are costs the investor pays directly, such as the sales charge paid when buying a fund and the redemption fee paid when redeeming early.

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This answer is general financial information as of 14/10/2026, not investment advice. Rules and tax rates change, so please also check the latest guidance from the source institution.