Why is a small percentage not small?
Management fees are usually charged as a percentage of the accumulation and sometimes also of the deposit. In a monthly number it seems small, but over the years it accumulates to significant amounts.
The big impact is on the net return. Two funds with a similar return before management fees can produce a different result for the saver because of costs.
How to check management fees
A distinction must be made between management fees from the accumulation and management fees from the deposit. Different products have different cost structures, so it is important to compare the total cost and not just one number.
In addition, you should compare against market averages and check if you can get a better offer. Sometimes a change of provider or consolidation of funds can improve conditions, but performance and service should also be checked.
Not just price
Low management fees are important, but they are not the only consideration. An inappropriate investment path, problematic service or rash decisions can cost more than a management fee discount.
The correct approach is to compare cost alongside management quality, track, risk and comfort. A good price is only excellent if the product fits.