Returns Direct

Direct mutual fund plans generally offer higher returns than regular plans, even though both invest in the same portfolio. The difference arises due to lower expense ratios in direct plans, as they exclude commission fees paid to intermediaries. This means that a larger portion of the fund's earnings remains with the investor. Over time, this cost advantage can compound into noticeably higher returns, especially for long-term investments. For investors who understand mutual funds or are comfortable researching and selecting funds on their own, direct plans provide an opportunity to maximize gains without the additional cost of external advisory support.