SEBI will start studying fees, expenses paid by mutual funds | Jobs Vox

Capital markets regulator Sebi on Friday said it has launched a detailed probe into the charges and expenses of mutual funds. The study seeks to provide data as input for policy formulations, the Securities and Exchange Board of India (SEBI) said in a statement.

The policies seek to facilitate financial inclusion, encourage new entrants, exploit economies of scale, encourage technology, encourage subsidization in schemes, close arbitrage opportunities if any and curb corruption.

The regulator has initiated a “detailed study of existing provisions applicable to charges and expenses in mutual fund schemes vis-a-vis market practices”.

Based on the study, if necessary, appropriate policy measures will be taken after following the established stakeholder process and public consultation.

The move is part of an ongoing exercise to continuously adapt regulatory provisions to reflect market dynamics and their impact on investor interest.

There are currently 43 players in the mutual fund space, which together manage assets worth over Rs 40 crore.

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