SEBI allows MFs to charge operational expenses from AMC book
Mar 11 2019
News Category: Regulatory Updates
According to media reports, Securities and Exchange Board of India has permitted mutual fund houses to charge up to 2 bps of a scheme’s asset under management (AUM) or actual expense, whichever is lower, from the AMC’s book for funding operational costs including SIP registration, transaction platform charges, payment gateway charges, annual custody fee and KRA charges. But the regulator has cautioned that such expenses need to be of small value and high volume.