What does the "Expense Ratio" represent in the context of mutual funds?

"The percentage of fund assets used for administrative, advertising, and management expenses." "The annual dividend payout to investors." "The rate of return on investment." "The initial investment amount required to enter a fund."

What is a key difference between Direct Mutual Funds and Regular Mutual Funds?

"Direct Mutual Funds have a higher expense ratio due to advisor fees." "Regular Mutual Funds are only available to institutional investors." "Direct Mutual Funds involve direct management by the investor, leading to a lower expense ratio." "Regular Mutual Funds offer guaranteed returns, unlike Direct Mutual Funds."

What does the acronym "SEBI" stand for in the context of the Indian financial market?

"Securities and Exchange Board of India" "Stock Exchange Bureau of India" "Systematic Equity and Bond Initiative" "Sustainable Economic and Business Institute"

What is a "Basis Point" (bps) in finance?

"A unit of measurement equal to 1% of the total investment." "A type of investment strategy focused on short-term gains." "A measure of risk associated with a particular investment." "A unit of measurement equal to 1/100th of 1%"

Why might an investor choose a Regular Mutual Fund over a Direct Mutual Fund?

"Regular Mutual Funds always have higher returns than Direct Mutual Funds." "Investors may prefer the guidance and support provided by financial advisors associated with Regular Mutual Funds." "Direct Mutual Funds are not accessible to retail investors." "Regular Mutual Funds have lower expense ratios, making them more cost-effective."