Management Expense Ratio. It is the % based fee charge to the...

Management Expense Ratio. It is the % based fee charge to the client on their investment. It is not the grossed up value. For example if someone invests $100 and have an MER of 1.28%, then the 1.28% of the fund is paid to the fund manager. Although if a client invests $100 as in HFA and they internally leverage, giving an invested asset position of $120, the MER is still 1.28%, but the fee HFA recieves is $1.54. MER's do not usually include performance based fees. The performance fee for HFA is not included in the MER of 1.28% I have previously listed on the HFA Wholesale Diversified Investment Fund (this is the same MER for both the hedged and unhedged).

Hope that this helps.