Staff
Pennsylvania’s Montgomery County plans to move nearly all of its pension fund assets into exchange-traded funds (ETFs) after being frustrated with high management fees and lacklustre performance.
The Wall Street Journal reports that the move should reduce its investment fees by about two-thirds.
The county will pay approximately 0.13% in investment fees by switching 90% of its assets to passive ETFs compared with the roughly 0.43% in fees it currently pays.
It will keep the remaining 10% of assets with an active manager.