Many investors do not realize that fund fees are important when making investment decisions, and instead are swayed by prospectus information even though they sense they are making a mistake, according to the Yale School of Management.

"Our research ads to the growing body of evidence that shows that the average investor is not well equipped to manage their investment allocations," said Professor Choi, a fellow at the Yale School of Management's Center for Customer Insights and International Center for Finance.

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