Big Questions

Should you invest in the regular plan of a fund because of its lower NAV?

Let's understand if NAVs should matter while buying a mutual fund scheme

Should you invest in the regular plan of a fund because of its lower NAV?

Direct plans of mutual funds have higher NAVs (net asset value) than their regular counterparts. This is because direct plans have lower expense ratios due to which the investor is able to get more returns than the regular plans of funds. This eventually increases the value of assets more when compared to a regular plan. Read the difference between direct and regular mutual fund plans.

This article was originally published on September 28, 2022.


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