TER

The TER includes the management fee and the fund's other ongoing costs (audit, custody, etc.), but not the fund's own transaction costs when buying and selling assets, which are not always reflected in this figure.

Even though 0.20% versus 1.50% may look small, compounded over decades the difference is huge: that 1.3-point gap can cost you more than 15-20% of your final wealth over 30 years, simply because it's deducted every year from an ever-larger capital base.

Index funds stand out precisely because their TER is much lower than equivalent actively managed funds, since they do not pay a team of analysts trying to beat the market.