MF scheme, Dividend , Growth or Bonus

[seetharamank]

for tax savers it is always better to have dividend option better to avoid any erosion in value due to market correction as happened in 2008 as elss funds namely taxsavers are very passive fund since there is a three year lockin since all the mutualfunds the yield from investment is the same from both the options u can choose either growth or dividend

 

[milind]

The new Direct Tax Code proposed is going to put 5% tax on dividends distributed on equity MFs. However, long term capital gains tax is still zero. So in the new regime, growth option will be more tax friendly.

 

[[email protected]]

hello,
it s a very interesting discussion

 

[vishal412]

Even I will also suggest for growth option. Even Top Mutual fund Research and recommendation services providers PersonalFN also recommend for the growth option.

I have invested in three MFs growth schemes and i found its worth for long term.

 

[rahul1_nib]

When is reliance elss tax saver(d) likely to announce dividend

 

[puser]

Question - monthly income plan

Hi all

has anyone invested in any monthly income plan? any good or bad experiences from it? is it good to invest there instead of FDs as of now? also I would like to difference between HDFC short term MIP and HDFC long term MIP both look same to me from their descriptions :-s

Is this "monthly income" deposited to your bank account? how much is it normally on an average for 1 lakh of investment in this plan? also is its income tax free or taxed, i read tax is not deducted at source that is while it is credited to ur account. what r tax implications?

Also Growth vs Dividend which is better generally from capital appreciation plus income perspective.

 

[milind]

Re: Question - monthly income plan

Hi all

has anyone invested in any monthly income plan? any good or bad experiences from it? is it good to invest there instead of FDs as of now? also I would like to difference between HDFC short term MIP and HDFC long term MIP both look same to me from their descriptions :-s

Is this "monthly income" deposited to your bank account? how much is it normally on an average for 1 lakh of investment in this plan? also is its income tax free or taxed, i read tax is not deducted at source that is while it is credited to ur account. what r tax implications?

Also Growth vs Dividend which is better generally from capital appreciation plus income perspective.

Hi puser,

Monthly Income Plan is just another name for hybrid fund that invests about 80+% in debt and rest in equity. Its the equity component that adds a bit of spice to lowly returns of pure debt funds. Risk is higher than pure debt funds, and lower than pure equity or even equity-oriented-hybrid

Remember that equity markets can and do fall, and as a result even the MIPs can give you negative returns. MIP do not give you assured returns like Bank or Post Office FDs do.

The dividends can be deposited into your bank account or reinvested back into the fund.

As usual, do your own research before investing.

-- Milind

 

[vishal412]

MIPs are hybrid investments that invest a minor portion of their portfolio (around 15-25 per cent) in equity, and the balance in debt and money market instruments such as bonds, certificates of deposits etc. The equity component acts as a catalyst and gives extra returns.

Generally, MIPs offer safety, higher returns, tax efficiency, active management of debt-equity allocation, and liquidity. Of late, investments of these plans in equity have increased. Mutual funds have been focussing on the retail segment. MIP is rated as among one of the best products available to the individual investor. MIPs are ideally suited for investors looking for a steady monthly income.

 

[inenceday]

Re: difference between growth & reinvestment plan

Delete please!

 

[damnindes]

What hue frock would match blue heels?

How can I search the history and the deleted items of my computer