Mutual Fund New Rules: The Securities and Exchange Board of India (SEBI) has approved changes to mutual fund expense rules, which will reduce the headline expense ratio. This decision has been taken after excluding statutory levy from the calculation of expense ratio. Following the decision taken at its board meeting on Wednesday, December 17, charges like Securities Transaction Tax (STT), Commodity Transaction Tax (CTT), GST, Stamp Duty, SEBI Fees and Exchange Fees will no longer be included in the expense ratio. Instead, these levies will be charged based on actual expenses plus brokerage limits.
Big decision of SEBI! Change in base expense ratio for mutual funds – Market
