
Here is a good explanation taken from Wikipedia:
“Toroidal transformers are built around a ring-shaped core, which, depending on operating frequency, is made from a long strip of silicon steel or perm alloy wound into a coil, powdered iron, or ferrite. A strip construction ensures that the grain boundaries are optimally aligned, improving the transformer’s efficiency by reducing the core’s reluctance. The closed ring shape eliminates air gaps inherent in the construction of an E-I core. The cross-section of the ring is usually square or rectangular, but more expensive cores with circular cross-sections are also available. The primary and secondary coils are often wound concentrically to cover the entire surface of the core. This minimizes the length of wire needed, and also provides screening to minimize the core’s magnetic field from generating electromagnetic interference.
Toroidal transformers are more efficient than the cheaper laminated E-I types for a similar power level. Other advantages compared to E-I types, include smaller size (about half), lower weight (about half), less mechanical hum (making them superior in audio amplifiers), lower exterior magnetic field (about one tenth), low off-load losses (making them more efficient in standby circuits), single-bolt mounting, and greater choice of shapes. The main disadvantages are higher cost and limited power capacity (see “Classification” above).
Ferrite toroidal cores are used at higher frequencies, typically between a few tens of kilohertz to a megahertz, to reduce losses, physical size, and weight of switch-mode power supplies. A drawback of toroidal transformer construction is the higher cost of windings. As a consequence, toroidal transformers are uncommon above ratings of a few kVA. Small distribution transformers may achieve some of the benefits of a toroidal core by splitting it and forcing it open, then inserting a bobbin containing primary and secondary windings.”
For your information I’ve seen Toroidal transformer in Computer subwoofer speaker system but not on any Monitors or even Computer SMPS