Ch.7: Net Asset Value, Total Expense Ratio and Pricing of Units

What is the maximum additional expense that can be charged by a mutual fund scheme over and above the prescribed TER limits, specifically towards GST on investment management fees?

What is the maximum additional Total Expense Ratio (TER) that a mutual fund scheme can charge for new inflows from beyond 30 (B-30) cities, subject to certain conditions?

Some global mutual funds employ a mechanism known as 'swing pricing' or 'anti-dilution levy'. What is the primary objective of such a mechanism?

For a purchase application in a non-liquid scheme (other than an Exchange Traded Fund), involving an amount of INR 2,00,000 or more, what NAV will be applicable if the application is received before the cut-off time of 3:00 PM on a business day?

An investor submits a purchase application for an equity-oriented mutual fund scheme worth ₹1,50,000 at 1:30 PM on a Tuesday. The funds are realized by the AMC's designated bank account at 3:30 PM on Wednesday. Assuming both days are business days and the cut-off time for non-liquid funds is 3:00 PM, which NAV will be applicable for this transaction?

The Net Asset Value (NAV) of a mutual fund scheme is calculated by deducting which of the following from the total assets?

How do accrued expenses, such as audit fees or trustee fees, impact the Net Asset Value (NAV) of a mutual fund scheme?

A debt fund has a portfolio of securities with an average maturity of 180 days. What is the cut-off time for receiving applications for purchase and redemption to be eligible for the same day's NAV?

Which of the following best defines the Net Asset Value (NAV) of a mutual fund scheme?

For the purpose of calculating the Net Asset Value (NAV) of a mutual fund scheme, 'Net Assets' are precisely defined as the aggregate value of the fund's assets minus which of the following?

Which of the following statements accurately describes the Total Expense Ratio (TER) for Direct Plans compared to Regular Plans of the same mutual fund scheme?

An investor opts for dividend reinvestment in a growth option scheme. On the record date, the scheme declares a dividend of ₹2 per unit. If the NAV before dividend declaration was ₹50 and the investor held 100 units, what will be the approximate number of units held by the investor *immediately after* the dividend reinvestment, assuming the ex-dividend NAV is ₹48?

As per current SEBI regulations, what is the status of entry loads for mutual fund schemes in India?

A mutual fund scheme declares a dividend of Rs. 3.00 per unit. If its NAV before the ex-dividend date was Rs. 200, what would be the expected NAV on the ex-dividend date, assuming no other changes?

An investor holds 100 units of an equity-oriented mutual fund scheme. The current NAV is ₹80. The scheme has an exit load structure of 1% if units are redeemed within 1 year, and 0% thereafter. If the investor redeems all units after 8 months, what is the total amount the investor will receive?

Which of the following expenses can be charged to a mutual fund scheme *over and above* the specified maximum Total Expense Ratio (TER) limits, as per SEBI regulations?

Which of the following events would directly lead to a decrease in a mutual fund's Net Asset Value (NAV) per unit, assuming all other factors remain constant?

For open-ended mutual fund schemes, how often is the Net Asset Value (NAV) required to be calculated and declared?

When a mutual fund scheme incurs an expense, such as audit fees or legal charges, how does this typically impact the scheme's Net Asset Value (NAV)?

What is the primary purpose of an 'Exit Load' charged by a mutual fund scheme?

Which of the following is typically NOT considered a liability when calculating the Net Asset Value (NAV) of a mutual fund scheme?

For an investor making a purchase or redemption request in a non-liquid mutual fund scheme (other than Liquid or Overnight funds) on a business day, what is the cut-off time for the applicability of the same day's NAV?

When a mutual fund scheme declares and pays out a dividend, how does it typically affect the scheme's Net Asset Value (NAV)?

A mutual fund scheme declares a dividend of ₹2 per unit. Immediately after the declaration but before the actual payout, what is the direct impact on the scheme's Net Asset Value (NAV)?

For an investment in a liquid fund, what is the cut-off time for an application to be eligible for the Net Asset Value (NAV) of the same business day?

The Net Asset Value (NAV) of an open-ended mutual fund scheme is calculated by dividing the net assets of the scheme by:

For open-ended mutual fund schemes, how often is the Net Asset Value (NAV) generally required to be declared?

How frequently are mutual funds mandated to disclose their Net Asset Value (NAV) for all schemes?

Which of the following best describes the Net Asset Value (NAV) of a mutual fund unit?

An investor makes a fresh purchase of ₹15,000 in a mutual fund scheme through a distributor. If this is the investor's first-time investment in mutual funds, what is the maximum transaction charge that the distributor can levy from the investor?

Some mutual funds may implement a mechanism known as 'swing pricing' or 'dilution adjustment' for their NAV calculation. What is the primary purpose of this mechanism?

What is the primary purpose of an 'Exit Load' in a mutual fund scheme?

What is the primary reason for charging an exit load in a mutual fund scheme?

As per SEBI regulations, what is the maximum permissible Total Expense Ratio (TER) for an equity-oriented mutual fund scheme for the first INR 500 crore of average weekly net assets?

For an equity-oriented mutual fund scheme, what is the maximum permissible Total Expense Ratio (TER) for the portion of Average Assets Under Management (AAUM) exceeding ₹5,000 crores but up to ₹50,000 crores, as per SEBI regulations?

Securities Transaction Tax (STT) is applicable on which of the following mutual fund transactions?

When a segregated portfolio (side pocket) is created within a mutual fund scheme due to stressed assets, how does it immediately impact the NAV of the *main* scheme?

Which of the following statements regarding 'segregated portfolios' (side-pocketing) is correct?

As per current regulations, what is the applicable stamp duty on mutual fund units purchased by investors?

Which of the following best describes the primary purpose of 'Swing Pricing' in mutual funds?

Which of the following expenses can be included within the Total Expense Ratio (TER) of a mutual fund scheme as per SEBI regulations, subject to specific limits?

According to SEBI regulations, what is the maximum permissible Total Expense Ratio (TER) for a debt-oriented mutual fund scheme with an AUM of ₹500 Crores?

As per SEBI regulations, what is the maximum additional expense that an AMC can charge to a scheme for inflows from beyond top 30 (B30) cities?

Which of the following costs is *not* typically included in the Total Expense Ratio (TER) of a mutual fund scheme but is still borne by the scheme?

What is the maximum permissible Total Expense Ratio (TER) for an equity-oriented Fund of Funds (FoF) scheme, *including* the expenses of the underlying schemes it invests in?

As per SEBI regulations, what is the maximum permissible Total Expense Ratio (TER) for an equity-oriented mutual fund scheme for the first Rs. 500 crores of its average weekly net assets?

How is Goods and Services Tax (GST) on investment management fees treated in the calculation of Total Expense Ratio (TER) for a mutual fund scheme?

For an investment of ₹8,000 in a mutual fund scheme, what is the transaction charge applicable for a new investor investing through a distributor?

If an exit load is charged to an investor upon redemption of mutual fund units, and this load is credited back to the scheme, how does it primarily impact the scheme?

In the case of illiquid securities held by a mutual fund scheme, how should their valuation primarily be determined as per SEBI regulations?