Mumbai, Sept. 15 -- The SEBI approved proposals facilitating enhanced investor protection and financial inclusion in the mutual fund space. The SEBI in its board meeting approved the following proposals:

The exit load on MFs reduced from 5% to 3%. The present regulatory framework for Mutual Funds (MFs) permits mutual fund schemes to charge a maximum exit load of 5%, which gets credited back to the scheme. However, Mutual Funds generally charge exit loads in the range of 1% to 2%. Hence, reducing the maximum exit load would align the regulatory requirement with the prevailing industry practice. Setting the maximum cap at 3% was found appropriate so as to strike a better balance between investor protection and flexibility for schemes havin...