Foundation of Independent Financial Advisors (FIFA) and Financial Intermediaries Association of India (FIAI), an association of national distributors will meet AMFI soon on reduction of trail commission.
Dhruv Mehta, Chairman, FIFA told Cafemutual “We will request AMFI that the industry should share the impact of reduced cost equally among fund houses and distributors.”
Many fund houses have reduced trail commission to the extent of 15 to 20 bps following rationalization of TER by SEBI.
Earlier, SEBI has revised the definition of top cities and beyond top cities for additional TER. It has also reduced expenses charged in lieu of exit to 0.05%. Both these changes have led to reduction in overall TER and trail commission.
