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  • Moneycontrol

Will performance-linked fees help mutual fund investors?

The Securities and Exchange Board of India’s (SEBI) proposal to allow mutual funds to charge higher fees if a scheme beats the benchmark consistently will certainly benefit fund houses, but experts are unsure whether this move will be beneficial for retail investors or not.

Mutual Funds in India charge certain operating expenses for managing a mutual fund (MF) scheme, such as sales/marketing expenses, administrative expenses, etc., as a percentage of the fund’s total assets.

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