What other effects does this have on the tracking difference in the best/worst case scenario?
profile image
@Charlyfirpo The TER describes the ongoing costs and the TD of how successfully the ETF tracks the index. This should be as low as possible, preferably even negative, but in any case lower than the TER. If two ETFs have the same TER but different TDs, this will lead to differences in performance.
1
@WarrenNakamoto okay, thanks. I am familiar with TER, but I have never read TD that far