What is STP in Icici mutual fund?
A Systematic Transfer Plan (STP) is one way to use this philosophy to build your wealth. An STP entails moving a pre-determined amount of money at periodic intervals from one mutual fund scheme to another.
How do mutual funds use STP?
How to invest in STP mutual funds?
- You may fill up your STP form and submit it at the office of the AMC.
- Select the mutual fund scheme (destination fund) where you intend to invest for the long-term.
- You may then select the mutual fund scheme (source fund) where you want to invest the lump sum amount.
What is value STP?
Value Systematic Transfer Plan (“Value STP”) by DSP Mutual Fund (Fund) is a facility wherein Unit holder(s) of designated open-ended Scheme(s) of the Fund can opt to systematically transfer amount(s), which may vary based on the value of investments already made/transferred under this facility, on the date of transfer …
How do I calculate mutual fund returns?
The easiest way to do it is by using the fund fact sheet. In simple terms, the fund fact sheet shows the performance of all the schemes managed by your fund house, including your investment. You must compare these financial ratios with the mutual fund schemes in the same category to understand where your fund stands.
Which mutual fund is best for STP?
ELIGIBLE SCHEMES FOR STP
| Type | Source Scheme | Target Scheme |
|---|---|---|
| Equity | Mirae Asset Large Cap Fund | Mirae Asset Large Cap Fund |
| Mirae Asset Emerging Bluechip Fund | Mirae Asset Emerging Bluechip Fund | |
| Mirae Asset Great Consumer Fund | Mirae Asset Great Consumer Fund | |
| Mirae Asset Healthcare Fund | Mirae Asset Healthcare Fund |
Does STP attract tax?
Typically, most STPs are from liquid funds and hence taxed at your slab rate. However, the returns/gains in such funds are also around 6-8% and hence the actual tax payable from STPs is not large. Each STP transfer is taken as part capital and part income as per the First-in-First-Out (FIFO) system of accounting.
Which is better SIP or STP?
SIP is more suitable for investors who do have lump sum money to invest. Such investors can invest a small amount regularly to maintain an investment discipline. On the other hand, investors who are reluctant to invest their entire money at once in an equity scheme can prefer the STP option.
How much should I invest in STP?
Minimum amount: There is no minimum amount of investment for an STP. However, experts recommend an investment of INR 12,000. Frequency: The minimum number of transfers is six, which is mandatory for an STP investment. Entry and exit load: There is no entry on STP.
Which fund is best for STP?
So, it would be better to invest the lump sum in a low-risk debt fund and then schedule an STP to equity funds of your choice. However, investors should check the exit load charge imposed by the mutual fund houses if the money is withdrawn before certain specified intervals, generally one year for equity funds.
How can I check all MF in one place?
Best apps for tracking your investments in India
- myCams Mutual Fund App. myCAMS gives you a 360 view of your portfolio that is connected to your PAN.
- KfinKart. This multi-feature app allows a one-touch login.
- Money Control.
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