WASHINGTON, March 26, 2025 /PRNewswire/ –Investor interest in lower-cost funds fueled the downward trend in average equity mutual fund expense ratios in 2024, a new report from the Investment Company Institute shows. The report, Trends in the Expenses and Fees of Funds, 2024, highlights that the average expense ratio for equity and bond mutual funds has dropped 62 percent and 55 percent, respectively, from 1996 to 2024. US investors’ increasing preference for no-load funds has helped drive this long-term trend, with gross sales of long-term mutual funds without 12b-1 fees rising from 46 percent of all long-term mutual fund gross sales in 2000 to 92 percent in 2024.
“Retail investors in the US save considerable money over the course of their investing lives thanks to a vibrant and competitive fund market,” said ICI’s Shane Worner, Senior Director of Industry and Financial Analysis. “The data ICI is releasing today show the relentless focus of the industry over the past two decades on offering investors cost-effective investment solutions.”
Key findings in 2024:
Read the full report here.
Contact us: media@ici.org
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SOURCE Investment Company Institute
