Saving between Regular fund & Direct fund

#1
Hi All
I have some investment in Regular equity mutual fund. Recently i awarded broker got some commission regularly from fund house which eventually reflect in NAV.

I have few question regarding this

1) How much average commission is given to broker in equity mutual fund?
2) Is it given every quarter?
3) will it wise decision if i switch to direct from regular?

My investment period is 30 Year or above.
 

TracerBullet

Well-Known Member
#2
1) Commision gets paid continuously - generally around 0.5-1% per year extra for regular funds. You can check the difference between regular and direct schemes of the same fund. Compare expenses and returns.
2) Probably every day, just guessing but why does it matter ?
3) If you are not getting any needed advice then absolutely no reason to pay so much money. Over 30 years you would end paying a lot to your broker for doing nothing. As your money compounds so will your fees.
Just do a google search "impact of expense on etf returns" and see the difference over longer term.
Ex - https://investor.vanguard.com/mutual-funds/low-cost
 

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