Ch.4 · AMFI Code of Conduct · hard

Under SEBI's swing pricing mechanism for mutual funds, what is the primary objective?

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EXPLANATION

Swing pricing allows AMCs to adjust the NAV (swing it up for large inflows or down for large outflows) to ensure that transaction costs of large investors are borne by those transacting, rather than being borne by all existing unit holders. It protects existing investors from dilution.

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