The mutual fund industry is going through another phase of upheavals and the latest was triggered by market regulator Sebi’s attempt to bring in transparency in mutual fund expense ratios. Two factors forced Sebi to crack the whip.
First, the asset management companies’ (AMC’s) practice of using money collected from direct plans to pay commission to distributors. How they can do it, you may ask, especially since the distribution commission can’t be charged to direct plans. AMCs used to ..
