SEBI's New Mutual Fund Rules: Full Expense Disclosure for Investors

• SEBI's new rules (effective April 1, 2026) mandate a complete breakdown of mutual fund expense ratios (TER).
• Previously, only total TER was disclosed; now, fund management, administrative expenses, and distributor commissions must be separate.
• This increases transparency, allowing investors to compare funds better and choose those with lower, justified fees.
• The expense ratio, deducted daily from NAV, significantly impacts long-term investor returns.
• The move aims to boost investor confidence, curb malpractices, and reduce unnecessary burden on returns.

Why It Matters: SEBI's new rules ensure full transparency in mutual fund fees, empowering investors for better returns.