—Soumen BanerjeeSWP is a method of redeeming money from your mutual fund investment in a systematic (periodic) manner, as opposed to getting it all at once. The first way is to withdraw money as a regular monthly income. —Atul SinghThere are two misconceptions about generating a fixed monthly income from mutual fund investments, and you have nicely captured both of them in your question. The first one is that the class of funds named ‘monthly income plan’ will somehow generate a regular income. Dividends from mutual funds are not guaranteed in terms of how much they will pay out every month.

Source: Mint February 05, 2017 18:18 UTC