Monthly Income from Mutual funds (SWP)

We can park the corpus in Debt Mutual Funds or in Liquid Mutual Funds and systematically withdraw at regular intervals.
This process is known as Systamatic Withdrawal Plan (SWP).

This is useful for a person who is retired and need money for his daily needs.  He can fix a day to withdraw a portion of the corpus.  Every month the said amount will be credited to his bank account on that particular day.

In the past, debt mutual Funds gave a return of 8% to 10% where as Liquid mutual Funds gave a return of 5% to 6%.


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