Commission Disclosure

Quantamental Strategic Ventures is remunerated by trail commission on the schemes it distributes. That commission is contained within the total expense ratio the scheme already carries. Nothing is deducted from your investment separately, you pay us nothing directly, and we charge no advisory fee.

Depending on the scheme and the arrangement in place, transactions are placed either directly with the asset management company or through an empanelled distribution partner. Where a partner is involved we receive a share of the trail commission arising rather than the whole of it. The figures below are what accrues to Quantamental Strategic Ventures in either case, not the gross rate paid by the scheme.

As a mutual fund distributor, QSV transacts in regular plans. Direct plans carry no distributor commission and are available to investors who wish to transact without a distributor.

These are indicative ranges across the categories we distribute. They are not scheme-specific and should not be read as the rate applying to any particular holding.

• Equity funds. Approximately 0.30% to 1.85% a year, covering large, mid, small and flexi cap funds and ELSS.
• Hybrid funds. Approximately 0.10% to 1.65% a year.
• Debt funds. Approximately 0.05% to 1.10% a year.
• Liquid and overnight funds. Approximately 0.02% to 0.25% a year.
• Index funds and exchange traded funds. Approximately 0.05% to 0.85% a year.
• Gold and other precious metal funds. Approximately 0.10% to 0.60% a year.

Commission is not uniform, and the spread within each category above is wide for good reason. It differs by asset management company, by scheme within the same house, and by category. SEBI's expense ratio structure requires the total expense ratio to step down as a scheme's assets grow, and the distribution component moves on the same basis. Rates are also revised from time to time by the asset management companies themselves.

Because commission differs from one scheme to another, a conflict of interest is inherent in distribution. It is managed the same way for every client here: selection criteria are set before any shortlist is drawn, and they do not move according to what a scheme pays.

Three routes, none of which depend on us:

• Your Consolidated Account Statement. Issued twice a year, it sets out the commission paid on your holdings alongside the average expense ratio of each scheme you hold. Where a transaction has been placed through a distribution partner, the figure shown there is the commission paid to that partner, of which we receive a share. It will therefore be higher than the ranges above, and the difference is the partner's.
• The AMFI website. Every asset management company publishes its distributor commissions half-yearly on the AMFI website.
• Ask us. Write to info@quantamentalstrategicventures.com and we will confirm the commission attaching to any scheme, before or after you invest. We will not ask why you want to know.

Commission structures for Portfolio Management Services and Specialised Investment Funds differ from those for mutual funds and vary considerably by provider and mandate. Where either is under consideration, the commission arising will be set out to you in writing before you commit, as part of the discussion about whether the structure is appropriate at all.