SEBI Norms Boost AMC Shares: HDFC, Nippon Life Surge Up To 6%

• HDFC AMC, Nippon Life, Nuvama Wealth shares surged up to 6% after SEBI's revised Mutual Fund expense ratio norms.
• SEBI redefined "expense ratio" as "Base Expense Ratio" (BER), excluding statutory levies like STT/CTT, GST, Stamp Duty.
• BER reduced for Close-Ended equity schemes (1% from 1.25%) and index funds/ETFs (0.9% from 1%).
• Brokerage cap on cash trades maintained at 6 basis points; additional 5 basis points charge for exit loads removed.
• Analysts view the new norms as a relief or broadly neutral for AMC earnings, with limited impact on profitability.

Why It Matters: SEBI's revised expense ratio norms led to a surge in AMC shares, offering relief to the sector.