Total Expense Ratio Limits

EXPLANATION

Exit load collected from redeeming investors is credited back to the scheme's portfolio, effectively increasing the NAV slightly for remaining unit holders. This is an important protection mechanism — it compensates long-term investors for the transaction costs and potential portfolio disruption caused by premature large redemptions. Exit load is NOT revenue for the AMC.

EXPLANATION

For NACH-based SIP debits, the NAV applicability follows the same rules as regular purchases. If the bank debit is processed and funds are credited to the AMC by the 3 PM cut-off on the SIP date, investors get that day's closing NAV. If funds arrive after cut-off (common with some bank processing delays), the next business day's NAV applies. This is why AMC SIP processing confirmation is important.

EXPLANATION

Each SIP, SWP, or STP instalment is processed as an independent transaction on the scheduled date. The applicable NAV follows the same cut-off time rules as regular purchases/redemptions. For equity SIPs — if debit is processed and funds credited before 3 PM on the SIP date, that day's NAV applies; otherwise next business day's NAV. This ensures systematic plan participants receive fair market-based pricing.