Exit Load

byPaytm Editorial TeamLast Updated: December 12, 2025

Meaning & Definition

Exit load is a fee charged by mutual funds when investors redeem units before a specified period. It discourages short-term trading and protects long-term investors.

Key Features

  • Charged on early redemption
  • Percentage of investment
  • Encourages long-term holding
  • Varies by fund type

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