According to a recent Wall Street Journal Article entitled “ETFs Aren’t as Cheap As They Used to Be”, by Eleanor Laise, the average ETF charges 0.54% of its total assets. This figure is up from 0.41% a year ago, according to investment-research firm Morningstar.
Mrs. Laise points to more narrowly focused ETFs with complex strategies as a reason for the increased fees. One example is The UltraShort Dow30 ProShares ETF (AMEX: DXD). This fund charges 0.95% in fees.
Many index ETFs still have extremely low expense ratios. An example is Vanguard’s Total Stock Market ETF (AMEX: VTI) which has a 0.07% expense ratio. Existing ETFs have not increased their fees.
More ETF expense ratio information can be found at ETF MarketPro.
You can read Eleanor Laise’s full article here.