

Every year for as long as you are invested, the distributor keeps earning upto 1.5% of your investment as commission.

But what most people don’t know about is the concept of trail commissions that is earned by distributor.

I am guessing a lot of you would have known that if someone is selling you a product, he is earning something upfront out of it. Yes, that much! These commissions earned are the reason everyone from your bank to brokerage would be pushing you mutual fund ideas to invest in. When purchased this way, the distributor earns an upfront commission of upto 1.5% on your investment and a trail commission of upto 1.5% every year for as long as you are invested in the fund. Balasubramanian – CEO, Aditya Birla AMC via video tutorial on LearnApp: Click Hereīefore we begin what you should know is Mutual funds today can be purchased in two ways – either through a distributor or directly from the AMC. You can also Learn how to invest in mutual funds from A.

I am writing the information in the question answer form so that you can select your topic of interest and know accordingly: Here, I am with introduction to mutual funds with the answer to most of the basic questions that you can have. This raises questions like What are Mutual Funds? What is history of Mutual funds or how mutual funds came in existence? How to understand Mutual Funds? Can you invest in specific sector via mutual funds? How is a mutual fund set up in India? What are the different types of mutual fund schemes? What are benefits of Mutual funds? What are tax benefits of Mutual funds? What are sector specific funds/schemes? How Mutual Funds work? How to make money in mutual funds? What is an assured return scheme? Where to invest in Mutual Funds? How to invest in a scheme of a mutual fund or how to invest in Mutual funds? How much should one invest in debt or equity oriented schemes? Which is the best mutual fund? What should you look into an offer document? How to choose a scheme for investment from a number of schemes available? Do you need a demat account for Mutual funds? What you need to invest in Mutual funds? How to open a demat account? With whom to invest in mutual funds and many other. “Mutual Funds Sahi Hai”, we get to hear this term a lot these days via TV, newspaper etc.
