Monday, October 12, 2015

Systematic Withdrawal Plan (SWP)

 Systematic Withdrawal Plan (SWP) - Invest Online

Mutual fund investors can withdraw their mutual fund investments systematically over a period of time by setting up a systematic withdrawal plan with the fund house. The funds thus withdrawn periodically are credited to the investor's bank account. These can be used to meet monthly household expenses or may be used to reinvest in some other investment product.

Form

To enroll, the investor has to to fill up a SWP form. This can be downloaded from the fund website. Investors are required to use separate forms for different schemes, plans and options.

Types of SWP

There are two variants, fixed amount and appreciation withdrawal. In the first, a fixed sum is redeemed on the SWP date.In the other, any appreciation that has happened in the scheme as on the SWP date is redeemed from fund periodically.

Dates and frequency

The investor has to choose a particular date in the month on which he would like the SWP transaction to take place. The frequency of SWP needs to be mentioned. Also, the SWP start date and end date must be mentioned in the form.

Bank details

Proceeds from SWP are credited to the default bank account registered with the fund house. However, if the investor wants the proceeds to be credited to another account, the same needs to be mentioned.

Process

The form is required to be submitted at the official points of acceptance of transactions. The SWP start date should be about a month away from the date of submission of form so as to allow processing of the request or as may be mentioned by the fund house.

In case of joint holders, all holders are required to sign the form.The fund house mentions the list of schemes that are eligible for SWP. It's a good idea to check with the fund whether the facility is offered at the time of investing.If the investor is using an online platform for mutual fund investments, he can also set up SWP online.

Best Tax Saver Mutual Funds or ELSS Mutual Funds for 2015

1.ICICI Prudential Tax Plan

2.Reliance Tax Saver (ELSS) Fund

3.HDFC TaxSaver

4.DSP BlackRock Tax Saver Fund

5.Religare Tax Plan

6.Franklin India TaxShield

7.Canara Robeco Equity Tax Saver

8.IDFC Tax Advantage (ELSS) Fund

9.Axis Tax Saver Fund

10.BNP Paribas Long Term Equity Fund

You can invest Rs 1,50,000 and Save Tax under Section 80C by investing in Mutual Funds

Invest in Tax Saver Mutual Funds Online -

Invest Online

Download Application Forms

For further information contact Prajna Capital on 94 8300 8300 by leaving a missed call

---------------------------------------------

Leave your comment with mail ID and we will answer them

OR

You can write to us at

PrajnaCapital [at] Gmail [dot] Com

OR

Leave a missed Call on 94 8300 8300

---------------------------------------------

Invest Mutual Funds Online

Invest Any Mutual Fund Online

Download Mutual Fund Application Forms from all AMCs

0 comments: