I buy schwab and vanguard ETF equivalents of their mutual funds, and I get charg... | Hacker News

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		mahyarm on Feb 21, 2015 \| parent \| context \| favorite \| on: Too much finance is bad for the economy I buy schwab and vanguard ETF equivalents of their mutual funds, and I get charged no commission when buying and selling them directly from them. So where do they generate commissions as a company, compared to a person buying & selling their ETFs with a 3rd party exchange?

danjayh on Feb 21, 2015 [–]

ETFs, like mutual funds, have an 'expense ratio'. Basically they skim a certain amount of the fund's assets off the top to cover expenses & profit.

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