Mutual fund redemption after SIP completion

[pradeepktr]

I have opted for tax saver(ELSS) fund through SIP for 3 years with investment every month of 1000 Rs. My question is that, ELSS usually have 3 year lock in period. However, I am investing all 36 months, starting this month (36* 1000). So will I be able to redeem my total money (36k +- loss/gain) at the end of 3 years(from now, that is May 2012). Pardon me if the question is too silly.

Thanks in advance
Pradeep T R

 

[praveen taneja]

I have opted for tax saver(ELSS) fund through SIP for 3 years with investment every month of 1000 Rs. My question is that, ELSS usually have 3 year lock in period. However, I am investing all 36 months, starting this month (36* 1000). So will I be able to redeem my total money (36k +- loss/gain) at the end of 3 years(from now, that is May 2012). Pardon me if the question is too silly.

Thanks in advance
Pradeep T R

welcome brother at TJ
Yes it is 3 year period in ELSS but in SIP its you hav to see on 36 mnths to each installment so ur first instalment is mature for that u can chose SWP that is systematic withdrawl plan or if u feel ur investment making profit stay invested
Banta orders pizza.
Waiter: Sir should I cut it into 4 pieces or into 8 pieces?
Banta: 4 hi kar dena, 8 khaye nahi jayenge.

 

[pradeepktr]

Just want to rephrase for better understanding...
So, my first SIP starting May 2009 will be eligible for withdrawal in May 2012
2nd SIP for June 2009 will be eligible for withdrawal in June 2012 and so on

is that so?
But do they track the no of units I bought in every SIP? and during redemption, I will be eligible to redeem only those no of units in May 2012 ?

 

[lonsharim]

Just want to rephrase for better understanding...
So, my first SIP starting May 2009 will be eligible for withdrawal in May 2012
2nd SIP for June 2009 will be eligible for withdrawal in June 2012 and so on

is that so?
But do they track the no of units I bought in every SIP? and during redemption, I will be eligible to redeem only those no of units in May 2012 ?

Yep, that is correct.

And yes, they do keep a track of all the transactions made for a particular folio and hence the number of units purchased in a single transaction. Once you start investing, you will be given a folio number to which all subsequent SIP transactions will be attached to.

 

[praveen taneja]

Just want to rephrase for better understanding...
So, my first SIP starting May 2009 will be eligible for withdrawal in May 2012
2nd SIP for June 2009 will be eligible for withdrawal in June 2012 and so on

is that so?
But do they track the no of units I bought in every SIP? and during redemption, I will be eligible to redeem only those no of units in May 2012 ?

This is not there duty to track its ur duty and matter is not of units its of amount u can withdraw that much amount mean 1000 if sip is of 1000 on completion of 36 mnths

 

[avijit]

errr... in fact i would like to point out here that the investor is not responsible for keeping count of how many units are free for redemption. it is the duty of the AMC & whenever you ask them for a statement of your folio it will indicate the no. of units that are free for redemption as on that date. & well the redemption can be done in terms of units as well as amount, but when it comes to seeing the no. of units that are free of the lock-in then units become important since the NAV can change but not the no. of units (if opted for growth option)