“Spider” ETF Lowers Expense Ratio
February 1st at 1:17am by Tom Lydon
Our nation’s largest exchange traded fund (ETF), the SPDR Trust (SPY) which tracks the S&P 500 index, is lowering its expense ratio. Beginning February 1, ordinary expense ratios of the ETF, net of a trustee waiver, will accrue at 0.0945%. John Spence of MarketWatch.com reports that for the fiscal year ended September 30,2006, ordinary operating expenses of the ETF were 0.1204%, but the excess over 0.1000% was waived by trustee, State Street Corp. An ETF tracking the S&P 500 managed by Barclay’s Global Investors, iShares S&P 500 Index (IVV), has an expense ratio of 0.09%.
