The danger of high charges to product providers

As the multi-manager industry continues to thrive, one aspect that is not receiving much profile is ...

As the multi-manager industry continues to thrive, one aspect that is not receiving much profile is the issue of charges. The emphasis is on service standards, sometimes even on performance, but very seldom does the argument come down to what it is costing investors. In June, Investment Week's sister title MultiManager ran a survey on total expense ratios (TERs) in the industry. This looked at the annual fee charged by the multi-manager and added it to the average amount the underlying funds or managers charged it. Several players produced TERs well in excess of 3%. There is nothing nec...