NEW DELHI :
According to Securities and Exchange Board of India (Sebi) guidelines, web assset worth (NAV) is allotted on realization of funds by the fund homes earlier than prescribed time, that’s, earlier than 3 pm. However, there isn’t any approach for an peculiar retail investor to switch cash on any day so quick as to succeed in it earlier than 3 pm. Even web banking or pre-scheduled financial institution debits, as in systematic funding plans (SIPs), don’t assist. No investor can get similar day’s NAV, nonetheless he might strive. Can you kindly recommend some option to overcome this drawback?
—Name withheld on request
This is a matter many buyers are dealing with because the implementation of Sebi’s rule of models allotment after the belief of funds. The rule is in the fitting spirit and within the curiosity of buyers. However, many SIP and lump sum buyers have confronted a delay within the allotment of models. According to the rule, if the cash is obtained within the fund’s account earlier than the cut-off time, then models shall be allotted based mostly on that day’s NAV. If you might be investing instantly by means of the AMC’s web site or app, then most AMCs are built-in with main banks and will obtain the funds instantly at their finish. If you might be investing by means of a third-party web site or app based mostly on BSE or NSE platform, the cut-off time can be 2.30 pm as a result of operational necessities, however the transactions finished earlier than this cut-off time will work identical to funding finished on an AMC’s web site. If you need to spend money on the final half an hour earlier than the cut-off time of three pm then you might attempt to make investments by means of web sites of the AMCs instantly, this may occasionally assist you to get the allotment based mostly on that day’s NAV.
Harshad Chetanwala is founder, MyWealthGrowth.com. Have queries? Send an e mail to [email protected].
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