Can we switch from regular plan to direct plan?
Visit the transaction page, where you can buy, change, or redeem your fund units. Select the ‘switch’ option and then click on the respective fund name. It will have a ‘Direct Plan’ option; click on it and follow the steps displayed. It will take about four working days to reflect the change.
Can I switch ELSS fund?
The existing investment in ELSS or tax plans can be switched to direct plan after completion of three years. You can however, switch your future SIPs in both the plans immediately to direct plans.
Can I convert regular fund to direct fund?
Ans. Yes. You can change your mutual fund from a regular to a direct plan. However, since this switch is considered as the redemption of one scheme and new investment to the other (via direct plan), there are certain expenses that you will have to incur during the process.
Which is better direct or regular mutual fund?
Higher Returns The returns of any direct mutual fund are always higher than the regular version of the same mutual fund. The main reason behind this is the ‘expense ratio’. The expense ratio is lower for direct plan vs regular plan as mentioned above.
Why Direct plan NAV is higher than regular plan?
The NAV of direct plans is higher than their regular counterpart because of their higher returns. As the operating expenses of the fund is reduced from its net AUM, the lower expense ratio of its direct plan results in higher NAVs.
Is exchanging mutual funds taxable?
If you move between mutual funds at the same company, it may not feel like you received your money back and then reinvested it; however, the transactions are treated like any other sales and purchases, and so you must report them and pay taxes on any gains.
Can I transfer investments from one broker to another?
The most basic way to move your investments from one broker to another is a cash transfer. If you have a brokerage account, this isn’t too difficult; you simply sell all of your securities and then move the cash to the new brokerage. You may not even need help since you can withdraw the cash.