Performance
Management Expense Ratios
Low Management Expense Ratios
At Tradex we are proud of the fact that our fees are consistently lower than those of comparable funds.
| Fund |
Our Management Expense Ratio (MER) |
Industry Median Management Expense Ratio (MER)* |
Expense Ratio Savings |
| Tradex Equity Fund Limited |
1.28% |
2.41% |
1.13% |
| Tradex Bond Fund |
1.18% |
1.46% |
0.28% |
| Tradex Global Equity Fund |
2.23% |
2.56% |
0.33% |
Source: Morningstar, May 2008, based on the median management and administration cost (MER) for comparable funds.
A Trend to Reduce Management Expense Ratios
We are pleased that we have been able to achieve a trend of reduced Management Expense Ratios
(MERs) for the Tradex Funds over the past number of years as seen in the following table.
| Fund |
2008
MER |
2007
MER |
2006
MER |
2005
MER |
2004
MER |
2003
MER |
| Tradex Equity Fund |
1.28% |
1.18% |
1.19% |
1.21% |
1.29% |
1.35% |
| Tradex Bond Fund |
1.18% |
1.07% |
1.22% |
1.28% |
1.42% |
1.53% |
| Tradex Global Equity Fund |
2.23% |
2.18% |
2.54% |
2.42% |
2.71% |
3.16% |
Since Tradex operates at an “at cost” basis, any excess revenue earned goes back to the Tradex
Funds to reduce their management expense ratio. In
2008, we were able to reduce management expenses for the three Tradex Funds by a total of
$186,000 (versus $238,000 in 2007 and $176,000 in 2006) through rebating a portion of our operating revenue.
In 2008, MERs increased slightly since assets under
administration in 2008 declined due the very weak equity
markets. As a result, the costs associated with the Tradex
Funds had to be amortized over a smaller base of assets under
administration.
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