Q: why is the management fee so much more expensive for Canadian ETF's?
XEG at 0.6%
vs
XLE at 0.09%
similar with XIU vs SPY as another example.
XEG at 0.6%
vs
XLE at 0.09%
similar with XIU vs SPY as another example.
5i Research Answer:
With ETFs started by banks and investment companies, the less-competitive nature of the Canadian industry allowed fees to be higher. In addition, Canadian mutual funds have the highest fees in the world, so the migration to ETFs allowed higher ETF fees while still offering big discounts to investors leaving mutual funds.