Total Expense Ratio (TER)
The Total Expense Ratio (TER) represents the true cost of running a fund. It includes the fund AMC (Annual Management Charge) as well as the depository and custodial charges, and audit, registration, and compliance fees. For direct property funds, the TER may also include the property expense ratio (PER), which captures all non-recoverable revenue costs associated with the management and operation of the property portfolio. Some fund groups show the PER included and for others it is excluded. Old Mutual International aims to display property TERs inclusive of the PER, wherever possible.