What are the costs of an ETF?
Typical costs associated with ETFs are usually lower than those for mutual funds. For Market Access ETFs, these costs are an annual fee for running the fund, which includes costs born by the fund such as fund start-up costs, and audit, legal, custody and management fees. This is known as total expense ratio (TER) and varies between 50 and 90 basis points per annum (please refer to the prospectus for the exact TER for each individual Market Access ETF). Additionally there may be transaction costs associated with the index replication. Brokers may charge commissions for trading the shares and there will be a bid-offer spread.
