"RML" <rml[at]nospam.net> wrote in message
news:hrimm2dq566f6sf3qk9r50eesd97qdv0qt[at]4ax.com...
- quote -

See http://www.sec.gov/answers/mffees.htm for explanation of fees and
expenses. In particular, "Some funds cover the costs associated with an
individual investor's transactions at the time of transactions (or
periodically with respect to account fees). These fees and charges are
identified in a fee table ... under the heading 'Shareholder Fees.'

"Funds typically pay their regular and recurring, fund-wide operating
expenses out of fund assets, rather than by imposing separate fees and
charges on investors. (Keep in mind, however, that because these expensess
are paid out of fund assets, investors are paying them indirectly.) These
expenses are identified ... under the heading 'Annual Fund Operating
Expenses.'"

So, if a fund charges you a load, or a redemption fee, they take it out of
your hide, and not anyone else's. But for the normal operation of the fund
(annual operating expenses), they skim a small percentage off of the assets
in the fund (which reduces the value of your investment, pro rata); you are
not directly assessed the fee, and you do not pay in dollars or shares.

Mark Freeland
BnetOnewsX[at]sbcglobal.net

Vanguard Total Stock Market Index Fund-Prospectus

Total annual fund operating expenses are .09%, "expenses deducted from
the Fund's assets." It also states "no shareholder fees, which would
be paid directly from your investment".

Yet the chart shows a $9 fee per year/per $10000, incurred by
investor, which is the .09%.

I am confused as to why it states "deducted from fund's assets", yet
the shareholder pays it directly from the investment...I assume.