Mutual Funds > SWP

SWP (Systematic Withdrawal Plan)

SWP

Creating Cash Flow

For experienced investors approaching financial independence or retirement, SWPs allow regular income from mutual fund investments:
  • Ideal for monthly withdrawals without annuitizing wealth
  • Tax-efficient compared to fixed deposits (especially for LTCG-eligible funds)
  • Can be used creatively for goal-based drawdowns (e.g., children’s education, phased purchases
SWPs should be aligned with the expected return of the fund to avoid capital erosion.

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