When it comes to investing in mutual funds, one of the critical decisions you?ll need to make is whether to opt for direct or regular mutual funds. Each choice has its pros and cons, and understanding these distinctions is vital for making informed investment decisions. In this comprehensive guide, we?ll delve into the direct vs. regular mutual fund debate, helping you decide which aligns better with your financial objectives. What are Direct Mutual Funds? Direct mutual funds are investment schemes where investors purchase units directly from the asset management company (AMC) or fund house, bypassing intermediaries such as brokers or distributors. The absence of intermediaries typically results in lower expense ratios for direct mutual funds.
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