Reader's corner: Mutual Fund

How does the change in mutual fund benchmark to the total return index will impact investors?

The regulator has proposed to change mutual fund benchmark to the total return index. As an investor, how does this impact me?
 

The regulator has mandated the change in performance benchmark from Price Return Index (PRI) to Total Return Index (TRI) to increase transparency and align mutual funds with global practices. TRI is computed taking into account the dividend and interest payments on the index constituents over and above the capital gains that form a part of PRI. For investors, this will provide a better comparison of the scheme returns against the benchmark.
 

A lot of fund houses are launching