IN PLAIN ENGLISH
The fund's yearly fee. It comes out of the fund's own value bit by bit, so you never see a bill, but it reduces your return.
FULL DEFINITION
The ongoing charges figure: what a fund costs to run each year, as a percentage of the money invested in it. Also called the expense ratio or TER.
EXAMPLE
£10,000 in a fund with a 0.20% ongoing charge costs about £20 a year.
HOW IT'S CALCULATED
Not calculated by the app. It is the expense ratio from the fund's latest annual report, as published by the market data provider, × 100. It doesn't include your platform's account fee or dealing costs. Shows N/A when the provider has no figure, which is the case for some UK-listed ETFs (Vanguard's among them); the fund's own factsheet has it.
Educational content only. It is not personal financial advice.