What is direct NAV and regular NAV?

Higher NAV The Net Asset Value or NAV, of any direct mutual fund, is always higher than the regular version of the same mutual fund. It represents the value of one unit of mutual fund and is determined by calculating the total assets owned by the fund and dividing it by the number of units outstanding.

What is the difference between direct and regular plan in mutual funds?

A Direct plan is what you buy directly from the mutual fund company (usually from their own website). Whereas a Regular plan is what you buy through an advisor, broker, or distributor (intermediary). In a regular plan, the mutual fund company pays a commission to the intermediary.

What is the difference between direct plan growth and regular plan growth?

In case of a regular plan, the mutual fund company pays commission to the intermediary. What is the difference between growth and direct growth? Growth means investing in growth option through a regular plan, while direct growth means investing in growth option scheme through a direct plan.

Why is NAV of direct plan more than regular plan?

The NAV of direct plans is higher than their regular counterpart because of their higher returns. As the operating expenses of the fund is reduced from its net AUM, the lower expense ratio of its direct plan results in higher NAVs.

How can I convert regular to direct mutual fund?

Visit the transaction page, where you can buy, change, or redeem your fund units. Select the ‘switch’ option and then click on the respective fund name. It will have a ‘Direct Plan’ option; click on it and follow the steps displayed. It will take about four working days to reflect the change.

What is G and D in mutual fund?

Mutual fund houses offer two kinds of schemes: Growth and dividend. In the growth option, profits made by the scheme are invested back into it. The dividend option does not re-invest the profits made by the fund. Profits or dividends are distributed to the investor from time to time.