Investing in equity mutual funds is set to get cheaper. The Securities and Exchange Board of India may soon ask mutual funds to cut an expense fee they charge investors and this will be taken up in the next Sebi board meet on March 28. Along with the recently-introduced separate fee restriction for selling schemes in smaller towns this could end up reducing cost of investing in equity mutual fund schemes by as much as 20%.
The mutual fund industry is now allowed to charge 20 basis point ..