management fees

Management fees are charges that investment funds, such as mutual funds or hedge funds, impose to cover the costs of managing the fund's assets. These fees are typically expressed as a percentage of the total assets under management and are deducted from the fund's returns. They compensate the fund managers for their expertise in making investment decisions and managing the portfolio. While management fees can vary significantly, they can impact overall investment returns, so it's important for investors to be aware of these costs when choosing a fund.