Fund companies finally seem to be getting more proactive about cutting fees. In response to investors moving money to index funds and low-cost actively managed funds, more U.S. equity funds cut their expense ratios in 2017 than in 2016.
We looked at the expense ratios for actively managed funds that invest predominantly in domestic stocks. There are nearly 1,750 such distinct funds. We sampled the expense ratio from each fund's oldest share class and eliminated any funds that did not have expense ratios in 2015, 2016, and 2017.
Kevin McDevitt, CFA does not own shares in any of the securities mentioned above. Find out about Morningstar's editorial policies.