I've used car analogies for many things, and I've struggled to come up with a decent one for expense ratio. Finally thought of treating ER like "weight of vehicle" -- y'know, a drag on theoretical performance.
Heavier cars -generally- have reduced performance compared to lighter cars. Lotsa people believe you can predict the performance of a car just by looking at its weight. And it does work -generally-, but there are exceptions; there certainly are cases where a somewhat heavier car has better performance than a lighter one.
If you downvote, please explain. If you don't like this analogy, got a better one?
Submitted May 18, 2019 at 10:56AM by DeeDee_Z http://bit.ly/2w7Aqzw