Quantum Mutual Fund cuts expenses, investors to gain

[vishal412]

Source Indianexpress

Quantun Mutual Fund today said it has lowered the fund expenses for two of its schemes, a move that would lead to higher return for the investors putting their money in these funds.

Quantum MF said in a statement that it has lowered the expense ratio to 1.25 per cent, from 1.5 per cent previously, for its Quantum Long Term Equity Fund and Quantum Tax Saving Fund with effect from June 1.

Expense ratio is deducted from a mutual fund's AUM (asset under management) to pay for annual recurring expenses, which includes management fees, Registrar & Transfer Fees, Custodian fees, marketing and distribution costs etc.

The lowering of expense ratio would result in more of the investor money getting invested and a relatively better return for the investors.

Quantum MF said that the lowering of expense ratio to 1.5 per cent would result in an overall decline of 16.67 per cent per annum for each of the two funds.

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Quantum Mutual Fund cuts expenses, investors to gain

 

[shilpaks7]

thats good news considering they charge such high exit load for shorter period investments, for the long term equity fund

(On redemption/switchout within 6 months of allotment-4%, after 6 months but within 12 months of allotment-3%, after 12 months but within 18 months of allotment- 2%, after 18 months but within 24 months of allotment- 1%, after 24 months of allotment-Nil)

 

[vishal412]

Many investor have raised this concern of expense ratio, finally Quantum has decided to cut it down, which will make investors happy.

happy Investing.