SWP

SWP (Systematic Withdrawal Plan) is a feature offered by mutual funds where the investor can withdraw a fixed amount of money at regular intervals (monthly, quarterly, etc.) from their mutual fund investment.

Benefits of SWP:

• Flexibility:
  Investor has the flexibility to choose the amount, frequency and the date.
• Regular Income:
  It facilitates investors by providing a regular income.
• Capital Appreciation:
  If the SWP withdrawal rate is lower than the fund return, the investor gets some capital appreciation too in the long term.
• No TDS:
  For resident individual investors, there is no TDS on the SWP amount.