rondom:

Why is a low expense ratio important if it can't perform as well as a fund with a higher expense ratio?

I assume that most fund managers are about equally able to manage money.  Given that assumption, I will choose the manager who charges the least. If one charges .4% expense ratio, and one charges 1.4%, that 1% difference amounts to a lot of dough over long periods, particulalrly when it is compounded.

Petrocelli 

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