mutual funds: More MF investors going for direct plans
Increasing adoption of fintech platforms to invest in mutual funds by retail investors played a key role in this trend.
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Increasing adoption of fintech platforms to invest in mutual funds by retail investors played a key role in this trend.
SEBI considering allowing mutual funds to charge higher expenses for direct plans, bypassing distributors.
The market regulator makes it mandatory for mutual fund houses to disclose the TER of all schemes on a daily basis on their websites as well as the AMFIs website. There are guidelines on the maximum TER a fund house can levy on its actively managed mutual fund schemes (equity-oriented and debt-oriented) and the passively managed mutual fund schemes.
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Investors who already have investments in a regular mutual fund plan should note that their decision to shift to a direct plan is bound to have tax implications.