The 2017 book, ‘How Fund Managers are making you Rich’, resonates with the advertisement jingle ‘mutual funds sahi hai’ (mutual funds are terrific). But the book also talks about a meeting between Ajit Dayal, the founder of Quantum Mutual Fund, and senior management at other mutual funds (MFs): “Dayal…called the mutual fund industry a den of thieves”. It is impossible to reconcile the title of the book with that quote.
sahi mutual funds
The two-headed Goliath—Mutual Funds and their distributors
Exorbitant annual fees and commissions to distributors are hurting Indian mutual fund investors. There is a solution, but don’t expect your local distributor to tell you about it
Every year, Rs 15,000 crore is automatically deducted from investors’ mutual fund investments and paid to mutual fund salespeople
High fees and commissions, along with the mis-selling that they cause, leave investors significantly poorer
The solution is zero-commission plans. Yet only 5% of individual investors are doing this
What’s keeping zero-commission plans from being mainstreamed and why?