Regular vs Direct Plans

Regular and direct plans have different expense structures because distribution expenses/commission treatment differs. Current scheme documents should be checked for the exact applicable structure. AMFI materials note that direct plans have a lower expense ratio excluding distribution expenses. urlAMFI Investor Cornerhttps://www.amfiindia.com/investor

For a client using a distributor, the practical question is not simply “which has the lower expense ratio?” It is also whether the investor values and uses guidance, suitability assessment, implementation support, service and ongoing review.

The choice should be understood, disclosed and appropriate to the investor's circumstances.