Tof The Securities and Exchange Board of India (Sebi) is discussing with mutual funds (MFs) a proposal on introducing new total expense ratio (TER) slabs linked to the total equity and debt assets by replacing the current ones that are linked to assets of an individual scheme.
Senior MF executives confirmed that Sebi had held discussions on this matter with AMCs. Such a change is expected to lead to a lower TER cap for bigger asset management companies (AMCS). TER is the expenses charged by AMCs for managing a scheme.
If the new model is implemented, fund houses will have to charge TERs based on the category of the scheme, which means all schemes of a fund house that come under a particular category, equity or debt, will have the same TER.
At present, schemes have different TERS based on their size. The lower the assets under management (AUM) of a scheme the higher is the cap on TER under the current framework.
This story is from the March 31, 2023 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the March 31, 2023 edition of Business Standard.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
Plan logistics: MoE to CBSE on two board exams a year
The Ministry of Education (MOE) has asked the Central Board of Secondary Education (CBSE) to work out logistics for conducting board exams twice a year from the 2025-26 academic session, according to sources.
Rushdie at the cutting edge
I began my review of Victory City thus: \"Rejoice, for Salman Rushdie,.
Most SC/ST candidates fight with no backing from political party
ANOUSHKA SAWHNEY New Delhi, 26 April The participation of political contestants belonging to the ☐ scheduled caste and scheduled tribe has shown a declining trend over the years.
INDIA'S GAMBIT
What is behind the explosion of chess talent in the country, and what does it augur for the game?
Innovation funds: High-risk bets that are apt for seasoned investors
Failure rates among innovators tend to be high; concentrated portfolios make these funds volatile
Bajaj Finance sinks 8% amid rising NIM pressure
Brokerages bearish, anticipate NIM compression in FY25
Strong execution key for Tech Mahindra to achieve 3-year targets
The market could not make a clear assessment of Tech Mahindra with the stock swinging wildly in the last two sessions.
Mkts wrong to hope worst of geopolitical crises over: Wood
Global financial markets are wrong in hoping that the worst is over in geopolitical crises such as the Iran-Israel conflict and the Russia-Ukraine war, wrote Christopher Wood, global head of equity strategy at Jefferies, in a recent note to investors called 'GREED & fear'.
Post-LS elections gaining streak: Will Nifty IT do it again?
Usually, general elections cast a spell of sorts on Dalal Street.
BSE to shell out regulatory charge to Sebi more as
Move follows clarity on turnover fee paid by bourses