There are two types of mutual funds: direct and regular.
As opposed to its direct plan, every mutual fund’s regular plan yields marginally lower returns.
This is due to the fact that a fee is paid to the broker/distributor by which the mutual fund is bought in the case of a regular plan.
In the case of direct plans, there is no such commission.
When it comes to older mutual funds, you’ll find that regular plan of mutual funds began even earlier than 2013, while direct plan mutual funds began in 2013.
This is due to the introduction of mutual fund direct plans in 2013.
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