Hi,
What is different between SWP and Manual withdrawal? In term of commission, tax and other factors.
For Example:
If I invest Rs. 1,00,000 in a balanced fund which I expected to return at least 14 % . I am planning to keep my principal every month as same.
If I am going with SWP option like every month Rs. 1000 SWP. My principal comes less than I invested some time.
Instead of that, I would like to withdraw amount growth amount only every month particular date.
Incase there is no growth in particular month, I won’t withdraw anything to adjust / keep the principal as same.
What is different between SWP and Manual withdrawal? In term of commission, tax and other factors.
Please advice.
1 Answers
Hi,
There are no differences as such.
If one mandatorily requires a fixed amount at periodic intervals then auto SWP can be considered. Else, manual withdrawals can be made.
One can also look at tax implications / Exit load of withdrawals and then decide for manual withdrawals.
Kindly read :
https://www.relakhs.com/mutual-funds-taxation-rules-capital-gains-tax-rates-on-mfs-fy-201516/
https://www.relakhs.com/direct-mutual-fund-plans-buy-online/
Please login or Register to submit your answer