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Sebi, Amfi in talks on cutting KYC, depository charges with an eye on mutual fund profitability

News Sebi, Amfi in talks on cutting KYC, depository charges with an eye on mutual fund profitability Srushti Vaidya , Apoorva Ajith 4 min read 21 Jan 2026, 02:08 pm IST Sebi, has in recent months capped expense ratios, trimmed brokerage costs, and restructured the disclosure of fees charged by (AMCs—with the intent of reducing costs for investors. (Reuters) Summary The discussions come a month after Sebi cut brokerage and transaction costs for mutual funds and tightened the overall total expense ratio (TER) framework. Gift this article This is a Mint Premium article gifted to you.

Sebi, Amfi in talks on cutting KYC, depository charges with an eye on mutual fund profitability

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Key Highlights

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  • Subscribe now India's mutual fund industry body is in discussions with the markets regulator to reduce certain fixed or non-variable costs borne by mutual funds, as these charges do not decline with growth in assets and continue to weigh on profitability, said three people familiar with the matter.
  • Costs such as know your customer (KYC) charges and depository fees are largely fixed in nature since they are levied on each onboarded investor.
  • In addition, there are fixed transaction platform charges.
  • All of these remain the same regardless of the size of assets managed.
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Sources

  1. Sebi, Amfi in talks on cutting KYC, depository charges with an eye on mutual fund profitability

This quick summary is automatically generated using AI based on reports from multiple news sources. The content has not been reviewed or verified by humans. For complete details, accuracy, and context, please refer to the original published articles.

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