Here's Why the ETF Fee War Isn't Over

Here's Why the ETF Fee War Isn't Over

Assessment

Interactive Video

Business

University

Hard

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The video discusses the current state of ETF fees, highlighting their low cost and the trend of increasing flows into passive products. It compares Vanguard and iShares, noting how small fee changes can impact market dominance. The video also explores the shift from high-cost to low-cost active investments, emphasizing the importance of fees in investment decisions.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the current trend in investment flows according to the first section?

Increasing flows into high-fee products

Decreasing interest in ETFs

Rising flows into low-fee passive products

Stable flows across all products

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

In the competition between Vanguard and iShares, what was the impact of Vanguard's fee reduction?

Both companies lost inflows

Vanguard started dominating inflows

iShares gained more inflows

No significant change in inflows

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What does the case study of Vanguard and iShares illustrate about the investment market?

Fee changes have no impact on market dynamics

Only large fee reductions affect inflows

Small fee changes can significantly impact inflows

Investors are indifferent to fee changes

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is a surprising trend observed in active investment products?

Fees are not a concern for investors

All active funds are gaining inflows

Outperforming funds are still experiencing outflows

Outperforming funds are seeing increased inflows

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What might the outflows from outperforming active funds indicate about investor priorities?

Performance is the only factor considered

Fees have become a crucial decision factor

Market volatility is the main concern

Investors are focusing on long-term gains