What is Expense Ratio?
Expense Ratio — The annual fee a mutual fund charges as a percentage of assets, covering management and operating costs. Lower is better for returns.
In simple terms
A 0.5% expense ratio on ₹1 lakh is ₹500 a year.
Why Expense Ratio matters when you invest
Understanding expense ratio helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Expense Ratio — frequently asked questions
What is Expense Ratio?
The annual fee a mutual fund charges as a percentage of assets, covering management and operating costs. Lower is better for returns.
What does Expense Ratio mean in the stock market?
The annual fee a mutual fund charges as a percentage of assets, covering management and operating costs. Lower is better for returns. A 0.5% expense ratio on ₹1 lakh is ₹500 a year.
Can you give an example of Expense Ratio?
A 0.5% expense ratio on ₹1 lakh is ₹500 a year.
Put it into practice — open a free account.
Enter your mobile number to get started — then download the ROAR app to finish KYC in about 10 minutes.