The expense ratio of Vanguard Total World Stock ETF [VT] is 0.25%, which is less than half of the average of ETFs in the same category at 0.57%, and less than one-fifth compared to the average of US-based mutual funds, achieving low cost.
Why are Vanguard's ETFs low cost? ^^ Vanguard's ETFs are operated jointly with a huge existing index fund, enabling an efficient and cost-effective management approach. The structure of Vanguard ETF has obtained a business patent in the USA.
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