Direct vs Regular Plans
The 1% fee that quietly eats your wealth.
About this calculator
Direct and regular plans of a mutual fund hold the same investments. The regular plan includes a distributor commission, so its returns are lower by that fee every year. This calculator shows the long-term gap.
Common questions
What is the difference between direct and regular plans?
They own the same portfolio. Regular plans pay a distributor commission and have a higher expense ratio.
How much does the expense ratio matter?
Small yearly fees compound against you. A 1% gap can cost lakhs over 20 years on a monthly SIP.
Should I move from regular to direct?
Switching is a redemption and may attract tax and exit load, so check first.
Illustration only. Returns are not guaranteed and this is not investment advice. Taxes, fund expenses and exit loads are not included unless stated.