Why ETFs aren't always cheaper than index mutual funds

ETFs appear cheaper due to lower expense ratios, but total ownership costs include bid-ask spreads paid on every transaction. For regular investors, these invisible transaction costs often outweigh the expense ratio advantage.

Why ETFs aren't always cheaper than index mutual funds
ETFs appear cheaper due to lower expense ratios, but total ownership costs include bid-ask spreads paid on every transaction. For regular investors, these invisible transaction costs often outweigh the expense ratio advantage.

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