2006-09-26 20:41:45 · 11 answers · asked by dharan_p 1 in Business & Finance ➔ Investing
lock-in period for an investor in mutual funds is the period during which the investor cannot sell the units purchased from mutual fund. However, if the investor wants to sell the units purchased from mutual fund, then he is charged some % of NAV as the exit charges. Lock-in period is usually 3 years in tax savings scheme of mutal funds and in case of others it depends on the kind of mutual fund and the rules and regulations of SEBI
2006-09-27 00:38:50 · answer #1 · answered by Anonymous · 2⤊ 0⤋
Lock in period in mutual funds apply only to the Equity Linked Tax saving funds normally known as ELSS. Normally it is three financial years from the date of subscription. There can not be any official exit route during the lock in period, as tax exemption have been claimed on these investment.
2006-09-27 11:13:13 · answer #2 · answered by cvrk3 4 · 1⤊ 0⤋
It varies with open ended no load funds 30 days and 90 days is common. With loaded funds there is no lock in period. You pay a sales charge up front. With the no load funds, you normally have to pay a redemption fee of about 1% during the lock in period. The prospectus of the fund will give you all the details.
With exchange traded funds also called closed end funds, you do not have to worry about any of that. They are traded like stocks. You can buy and sell when you want and as many shares as you want. Both open ended and closed end funds have minimum investment amounts.
2006-09-27 10:05:49 · answer #3 · answered by Anonymous · 0⤊ 0⤋
Dude there are two types close ended fund N open ended , a open ended alwys has a entry load so there no question of exit load U can exit any time one day one yrs no rules in this .
Close ended fund usually are available only for a fixed period , It does not have an entry load but has an exit load usually within 6 months 4 % after one yr 3 % two yrs 2% so on ....... it also depends on the term there are from 3 to 5yrs are the most common funds.
but this load is not the same with all fund house u got chq this with their funds House.
2006-09-27 07:36:05 · answer #4 · answered by ACE 2 · 0⤊ 0⤋
lock in period means that you can redeem your mutual fund units untill lock in period is over. mostly it is for close ended funds and tax saver schemes. in tax saver schemes no exit route till 3 years from investment and for close ended funds if fund is listed on stock exchange then you can sell it in the exchange
2006-09-28 02:07:20 · answer #5 · answered by avinash 2 · 0⤊ 0⤋
Pl see Sr. No.3 at http://interesting-readings.blogspot.com/2006/09/tips-guide_24.html
2006-09-27 04:11:16 · answer #6 · answered by MC 1 · 0⤊ 0⤋
Hi
2006-09-27 14:23:34 · answer #7 · answered by Isha P 1 · 0⤊ 2⤋
there is no lock-in period available
2006-09-27 07:38:45 · answer #8 · answered by Rahul G 1 · 0⤊ 2⤋
I haven't the foggiest
2006-09-29 07:06:19 · answer #9 · answered by Anonymous · 0⤊ 2⤋
my upper friends give more details
2006-09-27 08:00:14 · answer #10 · answered by prashant_kanpur 2 · 0⤊ 1⤋