Readings: Mutual fund entry loads, FII sales in August
The Securities and Exchange Board of India proposes to waive the ‘entry load’ for investors making direct applications in mutual fund schemes. SEBI said direct applications include the ones received through the Internet, submitted to AMC or collection centre or Investor Service Centre and are not routed through any broker, distributor or agent.
Currently, all investors irrespective of the mode of entry are required to pay the entry load. Most AMCs charge around 2.25% for investments below Rs 5 crore, while the maximum permissible limit is 6%.
About time!
Foreign institutional investors sold Rs 6000 crore of shares in the last two sessions. They have thus been net sellers in 7 out of the last 10 sessions. In August so far, they have sold shares worth Rs 9,120 crore, the most in a month — ever.
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