Hema Kulkarni
KF Mentor
Recently there were a lot of discussions around the expense ratio of Mutual Funds. Even SEBI proposed to overhaul and simplify the expense ratio for investors.
From what I understand, expense ratio of a Mutual Fund is the simply the cost of managing a fund (AMC's fees, Legal Charges, Distribution Cost, etc) and is clearly mentioned everywhere.
I don't understand what was the entire confusion around this. Can someone please explain the Real Truth of Expense Ratio in Mutual Funds? Am i missing something here?
From what I understand, expense ratio of a Mutual Fund is the simply the cost of managing a fund (AMC's fees, Legal Charges, Distribution Cost, etc) and is clearly mentioned everywhere.
I don't understand what was the entire confusion around this. Can someone please explain the Real Truth of Expense Ratio in Mutual Funds? Am i missing something here?
