What is the average mutual fund fee in Canada?

The typical Canadian bank mutual fund charges a Management Expense Ratio (MER) between 1.9% and 2.4% per year, which is among the highest in the developed world.

How much does a 2% fee cost over 25 years?

Due to compounding, a 2% annual fee consumes approximately 35% to 40% of your total potential retirement wealth compared to a low-cost index ETF charging 0.20%.

How do I transfer my accounts away from a bank without penalties?

Never withdraw or close accounts manually. Instead, open an account at your new self-directed discount brokerage and submit an electronic transfer request 'In-Cash'. Most discount brokerages reimburse the $150 transfer fee.

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Bank Mutual Fund "Breakup" & Fee Auditor

Canadians pay the highest investment management fees in the developed world. Discover the exact lifetime wealth surrendered to bank advisors, generate a polite formal transfer breakup letter, and reclaim your compound returns.

LIFETIME WEALTH LOST TO FEES

$184,250

38.4% of your wealth surrendered

WEALTH WITH INDEX ETF (0.20%)

$479,600

Global asset-allocation ETF balance.

WEALTH WITH BANK FUND (2.2%)

$295,350

What you actually keep after bank trailers.

TRANSFER REIMBURSEMENT

$150.00

Reimbursed by discount brokerages.

Your Current Investment

Select Your Current Fund or Bank

Current Account Balance ($)

Monthly New Savings Added ($)

Investment Horizon 25 years

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Your Full Legal Name

Bank Mutual Fund Account Number

Receiving Brokerage

The 25-Year Compound Drag

A small 2% fee seems harmless, but compounding causes it to consume over one-third of your entire life's retirement savings.

Formal Advisor Breakup Letter

Send this directly or attach it when initiating your electronic transfer at your new brokerage.

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← Review Module 03: Fees Explore 0.20% ETF Models →

Transfer Guidelines

How to leave your bank without paying taxes or penalties

Three golden rules to ensure a seamless account transfer.

RULE 01

Always Initiate from the New Brokerage

Never call your bank to liquidate or close your TFSA or RRSP manually! That deregisters the funds and triggers taxes. Always initiate the transfer through your new discount brokerage.

RULE 02

Transfer "In-Cash" for Proprietary Funds

Bank mutual funds cannot be held at other institutions. Select "Transfer In-Cash" during the electronic setup so the bank liquidates the units internally within your tax shelter.

RULE 03

Request the $150 Fee Reimbursement

Your departing bank will charge an administrative fee of $50–$150. Both Wealthsimple and Questrade will reimburse this fee automatically when you upload your final bank statement.