If you have been investing through mutual funds for a few years, the next question is usually about withdrawals.
When to take out
How much to take out?
How often to take out?
Without a clear process, most people withdraw only when there is an immediate need, not when it actually makes sense.
That is the gap SWP fills.
What is SWP
A Systematic Withdrawal Plan lets you withdraw a fixed amount from a mutual fund at regular intervals such as monthly, quarterly, however you prefer. Think of it as the reverse of an SIP. Instead of putting in a fixed amount every month, you take out a fixed amount every month, while the rest stays invested and keeps growing.
The same discipline that SIP brings to investing, SWP brings to withdrawing.
For example, say you have ₹20 lakh invested in a mutual fund and you set up an SWP of ₹30,000 per month. Every month, ₹30,000 is credited to your bank account. The remaining investment stays in the fund. No manual requests, no logging in each month to decide how much to redeem.
How SWP works on FYERS
Go to Portfolio and choose the mutual fund you want to withdraw from
Select SWP as the transaction type
Set the withdrawal amount, frequency, number of withdrawals (optional) and start date
Once set, the SWP runs automatically on the schedule you chose. You can view, modify, pause, skip, or cancel it anytime on the FYERS Web or App.
For step by step guide, refer to this section on our support portal.
Try it now
If you have long-term investments sitting in mutual funds, SWP gives you a clean way to draw from them without disrupting the rest. Try it on FYERS and let us know how it works for you in the comments.