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  • News From Press MF Alert! Dividend options in mutual funds to get new name: Know how it will help investors

    MF Alert! Dividend options in mutual funds to get new name: Know how it will help investors

    There are SEBI's guidelines in place that provides the accounting policies to be followed for determining distributable surplus.
    Financial Express Oct 7, 2020

    Whether one invests in the Direct Plan or the Regular Plan of a mutual fund scheme, there are two options to choose from. Based on one’s requirement, one can choose between the growth plan and the dividend plan. However, the dividend declared in MF schemes is different from the dividend declared and received from equity shares. It is wrong for an investor to treat the dividend declared by a company (which is out of profits) and the dividend declared in a mutual fund scheme to be similar.

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