Hi,
If I invest lumpsum amount in balance fund and SWP to equity fund immediately from next month, does the exit load applies? I am talking about HDFC balance fund – equity.
regards
Namakgroup
If I invest lumpsum amount in balance fund and SWP to equity fund immediately from next month, does the exit load applies? I am talking about HDFC balance fund – equity.
regards
Namakgroup
1 Answers
Hi,
Are you referring to STPs ? (Systematic Transfer Plan). Kindly note that STPs or SWPs are treated as normal redemptions. Hence, short term captial gains (if any) are taxed and Exit load (if any) is also applicable.
For SWP/STP/Redemptions on HDFC Balanced fund – Exit Load of 1% if units are redeemed / switched-out within 18 months from the date of allotment is applicable.
Read:
http://www.relakhs.com/mutual-funds-taxation-rules-capital-gains-tax-rates-on-mfs-fy-201516/
Are you referring to STPs ? (Systematic Transfer Plan). Kindly note that STPs or SWPs are treated as normal redemptions. Hence, short term captial gains (if any) are taxed and Exit load (if any) is also applicable.
For SWP/STP/Redemptions on HDFC Balanced fund – Exit Load of 1% if units are redeemed / switched-out within 18 months from the date of allotment is applicable.
Read:
http://www.relakhs.com/mutual-funds-taxation-rules-capital-gains-tax-rates-on-mfs-fy-201516/
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