Using Active Share to Evaluate the Reasonableness of an Investment Management Fee
Feb 9, 2017
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By Michael Kitces, MSFS, MTAX, CFP, CLU, ChFC
The concept of “active share” gives financial advisors and investors a way to assess an active manager’s fee. Funds with low active share behave more like index funds, while funds with high active share can at least potentially outperform their higher active management fees.