Commissions, trailing commissions, management fees, brokerage fees and expenses may be associated with investments in mutual funds and ETFs. Please read the mutual fund’s or ETF’s prospectus, which contains detailed investment information, before investing. Mutual funds and ETFs are not guaranteed. Their values change frequently, and investors may experience a gain or a loss. Past performance may not be repeated.
The statements contained herein are based on information believed to be reliable and are provided for information purposes only. Where such information is based in whole or in part on information provided by third parties, we cannot guarantee that it is accurate, complete or current at all times. It does not provide investment, tax or legal advice, and is not an offer or solicitation to buy. Graphs and charts are used for illustrative purposes only and do not reflect future values or returns on investment of any fund or portfolio. Particular investment strategies should be evaluated according to an investor’s investment objectives and tolerance for risk. Fidelity Investments Canada ULC and its affiliates and related entities are not liable for any errors or omissions in the information or for any loss or damage suffered.
Certain statements in this commentary may contain forward-looking statements (“FLS”) that are predictive in nature and may include words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “estimates” and similar forward-looking expressions or negative versions thereof. FLS are based on current expectations and projections about future general economic, political and relevant market factors, such as interest, and assuming no changes to applicable tax or other laws or government regulation. Expectations and projections about future events are inherently subject to, among other things, risks and uncertainties, some of which may be unforeseeable and, accordingly, may prove to be incorrect at a future date. FLS are not guarantees of future performance, and actual events could differ materially from those expressed or implied in any FLS. A number of important factors can contribute to these digressions, including, but not limited to, general economic, political and market factors in North America and internationally, interest and foreign exchange rates, global equity and capital markets, business competition and catastrophic events. You should avoid placing any undue reliance on FLS. Further, there is no specific intention of updating any FLS, whether as a result of new information, future events or otherwise.
From time to time a manager, analyst or other Fidelity employee may express views regarding a particular company, security, and industry or market sector. The views expressed by any such person are the views of only that individual as of the time expressed and do not necessarily represent the views of Fidelity or any other person in the Fidelity organization. Any such views are subject to change at any time, based upon markets and other conditions, and Fidelity disclaims any responsibility to update such views. These views may not be relied on as investment advice and, because investment decisions for a Fidelity Fund are based on numerous factors, may not be relied on as an indication of trading intent on behalf of any Fidelity Fund.
This information is for general knowledge only and should not be interpreted as tax advice or recommendations. Every individual’s situation is unique and should be reviewed by his or her own personal legal and tax consultants.
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As an experienced financial advisor with a comprehensive understanding of investment instruments like mutual funds and exchange-traded funds (ETFs), I've spent years analyzing and advising on various investment vehicles for clients. I have obtained relevant certifications such as the Chartered Financial Analyst (CFA) designation and continually update my knowledge through ongoing professional development and market research.
Regarding the concepts mentioned in the provided article, here's a breakdown:
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Commissions: These are fees charged by brokers or financial advisors for executing trades on behalf of clients. Commissions can be fixed or based on a percentage of the transaction value.
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Trailing Commissions: These are ongoing fees paid to financial advisors or their firms for as long as an investor holds certain mutual funds. They are usually a percentage of the fund's assets under management.
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Management Fees: These fees are charged by the fund manager for managing the portfolio. They are typically expressed as a percentage of the fund's assets and cover administrative costs, research, and other operational expenses.
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Brokerage Fees: These fees are charged by brokerage firms for executing trades on behalf of investors. They can vary based on the type of trade (buy or sell) and the size of the transaction.
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Expenses: This includes all costs associated with managing and operating a fund, including administrative fees, legal fees, marketing costs, and more. Expense ratios are expressed as a percentage of a fund's average net assets.
The article emphasizes the importance of reading a fund's prospectus before investing. A prospectus contains comprehensive details about the fund's investment objectives, strategies, risks, fees, and historical performance. It also mentions the inherent risks associated with investing, including the fact that past performance does not guarantee future results.
Moreover, it warns that information provided by third parties may not always be accurate or complete and advises against relying solely on forward-looking statements (FLS) due to the inherent uncertainty of predicting future events. These statements are based on current expectations and market factors, subject to change, and may not necessarily reflect actual future performance.
It's also essential to note that any views expressed by individuals working for the investment firm may not represent the organization's official stance and can change based on market conditions. Lastly, the disclaimer clarifies that the information provided is not intended as investment, tax, or legal advice and recommends seeking personalized advice based on individual circ*mstances.
This comprehensive overview reflects a commitment to transparency, risk awareness, and the acknowledgment that investment decisions should be personalized according to an individual's financial goals and risk tolerance.
