If you have plans to finally pick up some shares of the mutual fund VGPMX, I want to warn you that there are definitely going to be fees involved that you will have to pay in order to get some shares in this fund. For some reason, there are a lot of people who get caught off guard by this, so I want to tell you upfront that there are fees and you're going to have to pay them. Don't worry though, because every mutual fund has these fees so this is par for the course.
The annual report expense ration fee is the first fee that you should be aware of. This fee is paid by all mutual funds, but the Vanguard Precious Metal Mutual Fund is actually a much lower percentage than the overall average. The average cost is 1.40% and with VGPMX you only pay 0.29%
We do not have an overall average for all companies for the next expense, the prospectus net expense ratio, but we do know that Vanguard Precious Metals Mutual Fund only charges a rate of 0.29% and that they tend to be lower than the average. We have no reason to think that would not be true of the prospectus net expense ration also.
Next, we will look at a projection of your expenses over the next 3, 5, and 10 years. For every $10,000 that you invest, your expenses after 3 years would be $93 (the national average is $625). After 5 years, your expenses would be $163 (the national average is $972). After 10 years, your expenses would be $368 (the national average is $1918). As you can see, VGPMX is much lower than the national average in this area as well.
So these are the fees and expenses you need to be aware of when you invest in VGPMX. This fund really isn't that expensive, and it has the ability to make you a really good return so I definitely recommend you do so.
The annual report expense ration fee is the first fee that you should be aware of. This fee is paid by all mutual funds, but the Vanguard Precious Metal Mutual Fund is actually a much lower percentage than the overall average. The average cost is 1.40% and with VGPMX you only pay 0.29%
We do not have an overall average for all companies for the next expense, the prospectus net expense ratio, but we do know that Vanguard Precious Metals Mutual Fund only charges a rate of 0.29% and that they tend to be lower than the average. We have no reason to think that would not be true of the prospectus net expense ration also.
Next, we will look at a projection of your expenses over the next 3, 5, and 10 years. For every $10,000 that you invest, your expenses after 3 years would be $93 (the national average is $625). After 5 years, your expenses would be $163 (the national average is $972). After 10 years, your expenses would be $368 (the national average is $1918). As you can see, VGPMX is much lower than the national average in this area as well.
So these are the fees and expenses you need to be aware of when you invest in VGPMX. This fund really isn't that expensive, and it has the ability to make you a really good return so I definitely recommend you do so.
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