Mutual Fund investors can choose between Direct and Regular Plans. Direct Plans are offered directly by the AMC and may have a lower expense ratio, while Regular Plans are routed through a Mutual Fund Distributor (MFD). Beyond just investing, Regular Plans offer the advantage of professional support, ongoing involvement, portfolio monitoring, and timely assistance during changing market conditions.
An MFD helps investors stay disciplined, align investments with their financial goals, and make informed decisions through different life stages. In contrast, investors in Direct Plans may often face challenges such as lack of proper guidance in scheme selection, reliance on generic advice from finfluencers or online sources, and inconsistency in investing behaviour during volatile markets. For many investors, the value of guidance, convenience, and long-term relationship support can play an important role in their overall investment journey.
