Interesting: Fidelity launched a suite of funds w/& #39;loyalty& #39; share classes. If you stay put for a year they convert you to 1st loyalty class, which is 25bps cheaper. Another 2 years, you go to next loyalty class, which knocks off another 0.25%. http://spr.ly/60161N3pE ">https://spr.ly/60161N3pE...

Feedback to this-including outright skepticism-also interesting. The fee structure is similar in some respects to what Vanguard has done through its & #39;admiral& #39; shareclasses, which try to incentivize investment of larger sums and/or longer holding periods by charging lower fees.

This is simple visual comparing Fido & #39;disruptive& #39; fund fee schedule to that of a hypo fund (whose fee is 1.15% and doesn& #39;t have breakpoints; so it can& #39;t fall absent board action). As you can see, Fido fund& #39;s fee would fall w/time as long as it& #39;s held. Hypo fund& #39;s fee flatlines.