Loss leader strategies have been adopted across all sectors, services and products so far. One of the most typical examples is razor blades, where producers literally give away razor units because once consumers acquire the unit they will need to buy blades. Console games are usually sold at a loss to lure customer into purchasing higher margin games and subscriptions. Loss leader used less for financial services or products and even less in the fund management system. For the first time in August 2018 a Boston based fund power-house employed a loss leader strategy with the launch of two zero fees funds. Fees charged by fund managers in the context of relationship with investors are not exclusively linked to the active management of the portfolio. Fees typically cover costs associated to management of these investments and costs related to third parties involved in the investments. Actively managed funds are more expensive because they allow for continuous deliver of alpha and outperformance of a benchmark index; Passively managed funds are a much cheaper option because they replicate composition of a benchmark index to define their portfolios. Not all fund houses – be them managing funds actively or passively – can afford to have an exclusive range of free funds. Fund management comes at a cost. According to FCA spokesman, fees charged by fund managers should remain and greater emphasis should be posed on transparency of fees for investors. Recent regulatory changes impacting financial services regulation have mixed effect on the blossoming of a no fee fund ecosystem in Europe: Retail Distribution Review (RDR) initiative and ensuing prohibition for fund managers to pay commission to distributors might push distributors to cost efficient solutions for their clients. MiFID II, instead, calls for greater transparency on fees and amounts charged by fund managers to investors, both in advance of the investment and on an ongoing manner. No fee funds might come with transparency conflicts and might not be a fit within the current climate for financial services in Europe.