regular vs direct, why?
In our case, initially we invested 6lakh via regular, later all 94% via direct mf only, planning to switch after 2years from regular to direct, since we are getting door delivery services like term, health , vehicle insurance services.. Ans: Good decision overall — you're already mostly in Direct (94%), which is excellent for a large portfolio. The small regular portion (₹6 lakh initial) has limited impact, but switching it after 2 years makes strong financial sense. Quick Math on Your ₹6 Lakh Regular Portion Assume hybrid fund, ~9% gross return, and ~0.75% TER difference: If you keep it in Regular for full 10 years → you lose roughly ₹80,000 – ₹1.2 lakh (compounded) compared to Direct. If you switch after 2 years → you lose only for the first 2 years (~₹15,000 – ₹25,000 extra cost), then the remaining 8 years grow at Direct rates. Net savings by switching after 2 years: ₹60,000 – ₹1 lakh+ on this small portion alone (exact amount depends on actual returns and when you switch). On ...
