Ch.6 · Distributor Commission Structure · medium

What is the NAV difference between Regular and Direct Plan of the same scheme?

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EXPLANATION

Since Direct Plans were introduced in January 2013, the Direct Plan NAV has been consistently higher than the Regular Plan NAV of the same scheme. This is because the lower TER of Direct Plans means more of the scheme's returns are reflected in its NAV. The NAV gap widens over time.

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