A more thorough explanation:

A management fee is a fee charged by a company or individual for managing an investment portfolio or providing a service. It is a fee paid to the manager for their expertise and time spent managing the investment.

For example, a mutual fund may charge a management fee of 1% of the total assets under management. If the fund has $1 million in assets, the management fee would be $10,000 per year.

Another example is a property management company that charges a management fee for managing rental properties. The fee may be a percentage of the monthly rent or a flat fee per property.

These examples illustrate how a management fee is a fee charged for managing an investment or providing a service. The fee compensates the manager for their time and expertise in managing the investment or property.