Terms & Conditions
When investing through Mutual Fund Distributors (MFDs), investors need to understand the following terms and conditions:
| Net Asset Value (NAV) | The value of mutual fund units is based on the applicable NAV, which fluctuates based on market conditions. |
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| Commissions and Fees | Distributors may receive commissions (upfront, trail, or otherwise) from Asset Management Companies (AMCs). These should be transparently disclosed to the investor. |
| Entry and Exit Loads | Some mutual fund schemes may charge entry (at the time of purchase) or exit loads (at the time of redemption). Investors should be informed about these charges beforehand. |
| Execution-Only Platform | MFDs may offer an execution-only platform, meaning they execute transactions without providing investment advice. |
| KYC Compliance | Investors must complete the Know Your Customer (KYC) process before investing. |
| Right to Information | Investors have the right to receive all relevant information about the mutual fund schemes, including scheme information documents, key information memorandums, and periodic statements. |