@article {Grover1, author = {Sean Grover and Jared Kizer}, editor = {Moore, Howard}, title = {Practical Applications of An Analysis of the Expense Ratio Pricing of SMB, HML, and UMD Exposure in U.S. Equity Mutual Funds}, volume = {4}, number = {4}, pages = {1--4}, year = {2017}, doi = {10.3905/pa.2017.4.4.212}, publisher = {Institutional Investor Journals Umbrella}, abstract = {An Analysis of the Expense Ratio Pricing of SMB, HML, and UMD Exposure in U.S. Equity Mutual Funds Sean Grover Jared Kizer Sean Grover and Jared Kizer frequently recommend passive strategies to their clients at Buckingham Asset Management , but they saw that few clients truly understood how to evaluate their investments in terms of their expense ratios.Their research, which focuses on expense ratios and factor exposures for a set of funds focused on size, value and momentum, finds that fund expense ratios are indeed closely related to factor exposures but that they vary widely. Two funds that seem to have similar names and objectives may provide very different returns and pricing as well.{\textquotedblleft}You see a wide range of expense ratios across funds that seem relatively similar in terms of what they deliver,{\textquotedblright} says Kizer, adding {\textquotedblleft}The factor model allows you to tease out those differences to understand why those two funds shouldn{\textquoteright}t necessarily have the same expense ratio.{\textquotedblright}TOPICS: Mutual fund performance, factor-based models}, issn = {2329-0196}, URL = {https://pa.pm-research.com/content/4/4/1.3}, eprint = {https://pa.pm-research.com/content/4/4/1.3.full.pdf}, journal = {Practical Applications} }