3 weeks ago

SEBI cuts mutual fund exit load cap to 3%

SEBI cuts mutual fund exit load cap to 3%
Exiting mutual funds may get cheaper as SEBI cuts maximum exit load cap to 3% · businesstoday.in

A mutual fund is like a big piggy bank where many people put their money together to invest.

When you take your money out, you may have to pay a small fee called an exit load.

A group in India called SEBI makes the rules for mutual funds to protect investors.

SEBI has now decided that this fee cannot be more than 3 percent of your investment.

Earlier, the fee could be as high as 5 percent.

This means it will be cheaper for people to take their money out of a mutual fund.

SEBI made this change as part of a new rulebook called the Mutual Funds Regulations, 2026.

These new rules replace the older rules from 1996.

More and more people in India are investing in mutual funds these days.

The total money invested and the monthly amounts saved are both growing to record highs.

Key facts

New exit load ceiling
3% (down from 5%)
Previous exit load ceiling
5%
Governing regulation
Mutual Funds Regulations, 2026 (16 chapters, 334 regulations)
Framework replaced
1996 mutual fund regulations
Average AUM in FY2025-26
₹73.7 lakh crore (up 12.2%)
Unique investors
6.1 crore (up 13.2%)
Active SIP accounts
10.45 crore
Average monthly SIP contributions
₹16,413 crore (record, up 25.8%)

Sources

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