A low-risk way to invest in equities

Discussion in 'Must-Read Interviews, Articles & News Items' started by Vidhi Khanna, Apr 15, 2015.

  1. Vidhi Khanna

    Vidhi Khanna Active Member Staff Member

    Mar 19, 2015
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    Dividend transfer plans of mutual funds can help conservative investors take exposure to equities


    This dividend can be put to better use if you opt for the dividend transfer plan (DTP) option offered by mutual funds. It allows investors to book profits and plough the profits in debt funds, which are expected to do well in a falling interest rate scenario. “The dividends can be parked in liquid or ultra short-term funds, which can give better returns than a savings bank account. It can even be parked in long-term bond funds, if the money is not needed immediately,” said Suresh Sadagopan, a certified financial planner.