A Systematic Withdrawal Plan (SWP) is a smart way to generate regular income from your mutual fund investments. With SWP, you can withdraw a fixed amount at regular intervals—monthly, quarterly, or annually—while the balance continues to stay invested and grow. It is ideal for retirees, professionals, and investors seeking a steady cash flow without liquidating their entire investment. SWP combines the benefit of flexibility, tax efficiency, and wealth preservation.
Frequently Asked Questions
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1. What is SWP?
A Systematic Withdrawal Plan (SWP) lets you withdraw a fixed amount from your mutual fund investments at regular intervals, while the remaining money continues to stay invested.
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2. Who should choose SWP?
SWP is ideal for retirees, professionals, or anyone who wants a regular income stream without liquidating their entire investment.
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3. What are the benefits of SWP?
It offers steady cash flow, flexibility, tax efficiency, and continued growth of your invested money.
