If you’re saving monthly into an active fund - please stop doing so. Research shows that they consistently underperform and that they are not worth the fee they’re charging.
Buy a cheap, broad index fund instead.
Why YSK: an actively managed fund has no guarantee to be better than a cheap passive one (Someone in the comments called it a mutual fund? I’m not natively English so not sure about the terminology) but at a 1.25% fee - over 30 years around 30% of the return will have been swallowed by the fees. Banks don’t make money from the cheap passive funds so they will be pushing the expensive ones even though it goes against all the research. They are not interested in making you rich.
Could you please add a “Why YSK:”? It’s rule #2. It’s also helpful for readability, and informs readers about the importance of the content. Thank you. :)
You got a managed fond for 1.25% ? Lucky you. When I noticed the garbage I bought I found one with 3% and another with 2%.
The 3% one actually consistently performed quite well on paper, compared to passive fonds, but not after substracting the fees. The only winner is the Fond management.
