Investors in large MF schemes to gain most as Sebi cuts total expense ratio

The Securities and Exchange Board of India (Sebi) has announced cut in total expense ratio (TER) for equity mutual fund schemes.

 The cut in TER—the fees charged to investors by a fund house—will have to be done at a scheme level as per slabs set by the regulator. An analysis by Prabhudas Lilladher shows schemes with large corpus will see highest reduction in TER of up to 25 basis points. 

Equity schemes with assets under management (AUM) of more than Rs 20 billion