Disclosure of expenses, half yearly returns, yield and risk-o-meter of schemes of Mutual Funds

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.... which include disclosures by Mutual Funds with respect to expenses and risks pertaining to schemes. In order to facilitate enhanced transparency, ease of comprehension by investors and a standardised approach towards disclosures by the Mutual Fund industry, based on the recommendation of Mutual Fund Advisory Committee, following has been decided: A. Disclosure of expenses, half yearly returns and yield of a scheme 2. Investments under direct plan of a mutual fund scheme, which was introduced vide circular dated September 13, 2012 and came into effect from January 01, 2013, are investments which are not routed through distributors of Mutual Funds. As distribution expenses and commission cannot be charged to investors of a direct plan,....

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....on the recommendation of MFAC, it has been decided that in addition to the existing labels relating to levels of risk i.e. Low, Low to Moderate, Moderate, Moderately High, High and Very High, the Risk-o-meter shall also be depicted using a colour scheme. Accordingly, para 17.4.1(d) of the Master Circular stands modified as under: "Risk-o-meter shall have following six levels of risk for mutual funds with the given colour scheme - i. Low Risk - Irish Green [#08A04B]^1 ii. Low to Moderate Risk -Chartreuse [#7FFF00] iii. Moderate Risk - Neon Yellow [#FFFF33] iv. Moderately High Risk - Caramel [#C68E17] v. High Risk - Dark Orange [#FF8C00] vi. Very High Risk -Red [#F70D1A] ....