I was looking for Large Mid Cap 250 Index funds, and noticed that the performance is slightly different between different fund houses. I am curious why are the two different, despite the fact that Zerodha’s expense ratio is higher, so in the long run, the net growth would ideally be lower, right?
In the below image, the growth of 100 rupees is to 141.22 under Zerodha AMC and 140.77 under Edelweiss.
Zerodha’s expense ratio is 0.28%, Edelweiss’ is 0.25%.
Zerodha’s 1 year CAGR is 3.7375%, Edelweiss’ is 3.3759%.
So why is Zerodha’s fund growth better than Edelweiss?