Frequently asked questions
What are Dividend Yield Mutual Funds?
Dividend Yield Funds are equity funds which predominantly invest in equity and equity-related instruments of companies which are known to declare regular dividends.
Why Should I Invest in Dividend Yield Mutual Funds?
- The Fund endeavour to benefit from investing primarily in dividend yielding equity shares at the time of investment. - Dividend yielding stocks tend to have a higher downside protection and being rich in cash generations from its business would result in a fair amount of stability and less volatile over other type of funds, such as style based or market cap based funds. - Probable twin benefit of capital appreciation as well as dividend yield from the fund.
How to Invest in UTI Dividend Yield Fund Online?
Investing in UTI Dividend Yield Fund is very simple. Investors can simple log on to utimf.com or use UTI Buddy Application and start investing subject to KYC compliance. Investors may also approach nearest UTI Financial Centers (UFCs). Alternatively, you may also approach mutual fund distributors, financial advisors or various online platform for investments.
How are dividends taxed in a mutual fund?
What are the benefits of investing in a Dividend Yield Mutual Funds?
- A stream of high dividends can indicate steady cash-flows in the form of regular dividend income - Typically, dividend yielding companies can be associated to organisations that have a proven track record, hence could be shield against risk of market volatility and drawdowns could be limited - Suitable for investors looking for wealth creation over medium to long term and also looking for an equity fund with relatively lower volatility.