Advantages of transferring existing regular MF to Direct MF

[Bhuvan]

@Gopalakrishnan_Parak

s that any advantage on return on investment, if I’m transferring the existing regular MF to coin based direct MF, other than managing all the holding on one platform. By transferring i mean exiting the current position and

Yes, there is. By investing in direct plans, you will automatically get higher return as compared to the regular plans by virtue of the lower expense ratio in direct plans. For example, if you were investing in Aditya Birla Sun Life Frontline Equity Fund, the expense ratio of the regular plan is 2.18%
and 1.31% for direct. So by investing in direct plans, your returns will automatically be higher to the tune of the 0.87%.

@Gopalakrishnan_Parak

also what will be my tax liability provided all by holding is more that 1 yrs old.

The new LTCG rules will apply.

What will the impact of Long-term capital gain tax (LTCG) of 10% on gains of over Rs.100,000? Also, what does gains up to 31st Jan, 2018 will be grandfathered mean?

I just heard that long-term capital gain tax (LTCG) of 10% will be applicable on gains over Rs.100,000 in the Budget 2018 announcement. What will be the impact of this on the markets in the long term? The finance ministers said that “Capital Gains Made On Shares Until Jan 31, 2018 Grandfathered” What does this mean? Also it’s surprising that STT remains in spite of LTCG being introduced.