AMC Stocks Rise: SEBI (Securities and Exchange Board of India), the body that regulates the Indian capital market, decided to reduce the expenses of mutual funds on Wednesday, 17 December 2025. The next day, i.e. Thursday morning, there was a rise in the prices of shares of mutual fund companies (AMC) in India and people started buying them. The reason behind the rise: SBI on Wednesday decided to reduce the brokerage fees charged by mutual funds from investors, which is a long-standing rule.
AMC Stocks Rise: Bumper jump in these shares
Heavy buying was seen in AMC shares in India in the early morning session on Thursday. Share price of leading AMC company HDFC AMC surged over 4.50% in early trade, while shares of Aditya Birla Sun Life (ABSL) AMC gained around 2.50%. At the same time, shares of Canara Robeco Asset Management Company rose by more than 6%.
Know the reason behind the boom
SEBI on Wednesday decided that mutual funds will now charge lower brokerage charges from investors. This step is part of a long-term trend and is aimed at encouraging common investors to invest in mutual funds and making compliance easier. Now the expense ratio of a mutual fund, called Basic Expense Ratio (BER), will not include certain fees, such as GST and stamp duty.
SEBI reduced mutual fund charges
Indian capital market regulator SEBI decided on Wednesday to reduce the expenses of mutual funds. Its objective is to encourage common investors to invest and to make it easier to follow the rules. Now the expense ratio (called Basic Expense Ratio or BER) of the mutual fund will not include certain charges, such as:- GST, Stamp Duty, SEBI Charges, Exchange Fees and other statutory charges. This means these additional charges will not be added to the total cost.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice in any way. ET NOW Swadesh recommends its readers and viewers to consult their financial advisors before taking any money-related decisions.
