SEBI proposes major changes to mutual fund fees: Here's how
SEBI is looking to shake up India's massive mutual fund scene with big cuts to management fees and brokerage charges.
The regulator's new proposal could lower the total expense ratio (TER) for equity funds by up to 15 basis points, and for close-ended funds by up to 25 basis points.
Public feedback is open until November 17, 2025.
What does this mean for you?
If these changes happen, investors could see lower costs almost right away—brokerage fees might drop sharply (think: from 12 bps down to just 2 bps for cash trades).
For extra transparency, taxes like GST would be shown separately instead of being bundled in.
Plus, SEBI wants asset managers' pay tied more closely to how well your investments actually perform.
All this aims to make investing fairer, clearer, and a bit more wallet-friendly for everyone—especially if you're just starting out or want more trust in where your money goes.