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You hold mutual funds in your Registered Retirement Savings Plan (RRSP). You expect a bond portfolio to provide a rate of return of 8%. Management
You hold mutual funds in your Registered Retirement Savings Plan (RRSP). You expect a bond portfolio to provide a rate of return of 8%. Management fees of the fund are 1.6%. What fraction of portfolio income is given up to fees? If the management fees for an equity fund also are 1.6%, but you expect a portfolio return of 16%, what fraction of portfolio income is given up to fees?
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