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Investors will get the benefits of the same day NAV if they redeem late evening till 7 pm in overnight funds.
SEBI has revised the cut off time on repurchase/redemption of units of overnight funds in online mode from 3 pm to 7 pm.
The cut off time in physical transaction will continue to be 3 pm.
Cut off time indicates the deadline at which the redemption can happen at the same day’s NAV. If an investor gives a redemption request post the cut off time, she will get the next day’s NAV.
SEBI believes that the move will help the upstreaming of clients’ funds by Stock Brokers (SBs)/ Clearing Members (CMs) to Clearing Corporations (CCs).
These new rules will be effective from June 1, 2025.
