An exit load is the fee that Asset Management Companies (AMCs) charge investors at the time of exiting or redeeming their Mutual fund units. However, not all funds levy an exit charge. Hence, while choosing a plan, you should consider the exit load too, along with the funds’ expense ratio.
The exit fee is usually a percentage of the Net Asset Value (NAV) of the Mutual fund units held by investors. Once the AMC deducts the exit load from the total NAV, the remaining amount gets credited to the investor’s account.
Want to know how to calculate the exit load? Click here.