Need help to shift from 1 mutual fund to another

[Tushjain00]

Hello Guys,
I have around 2.5 lakhs worth of axis large cap mutual fund which is quiet underperformed since years. I have stopped my sip in that last year, but i now want to sell the entire fund and use that money to invest in other performing funds.

How should i do that? Should i just sell and invest the entire lumpsum all together in another fund?

 

[ShavirB]

Hi! the only option is to sell your holding and start fresh investment. But are your sure you want to sell your units? Mutual Funds generally take some time to show results.. Granted Axis has had some trouble with their management in the recent past but shouldn't you wait for some more time? Why I'm saying this is because frequent buying and selling ruins compounding..

The other option could be to keep this investment as is, and for any fresh investment you can consider some other funds..

 

[Tushjain00]

Hi! the only option is to sell your holding and start fresh investment. But are your sure you want to sell your units? Mutual Funds generally take some time to show results.. Granted Axis has had some trouble with their management in the recent past but shouldn't you wait for some more time? Why I'm saying this is because frequent buying and selling ruins compounding..

The other option could be to keep this investment as is, and for any fresh investment you can consider some other funds..

Agreed. But the last 2-3 years market has given good returns, but axis has still not able to beat its own benchmark. I started sip in axis large since Jan 2019. So i have held till almost 5 years. Another motive to sell is to realize 1 lakh worth capital gains so to tax ltcg advantage. But to your point it will hurt compounding thats where i am stuck at. Not sure what to do

 

[Mohit kharb]

Hello Jain sir, here i can give you some solutions for your problem:-

Investors switch their investment from one open-ended scheme to another within the same fund house for better financial planning. To switch within the same fund house, fill up a switch form specifying the amount/no. of units to be switched from the source scheme and name of the destination scheme. You must fulfil the minimum investment amount criteria for both switch-in and switch-out schemes. There may be implications of exit-load and capital gains tax while switching. For a switch within the same fund house there is no worry about the settlement period as the money doesn’t move out of the fund house.

When you switch from a scheme in mutual fund A to another scheme in Mutual fund B, it’s like selling your investments in one fund and re-investing in another. You can apply for redemption from the first Mutual Fund and wait till you receive the proceeds in your bank account. Exit loads and tax implications must be considered while redeeming your investments. Fill out the application form of the Mutual Fund where you wish to reinvest the proceeds once you receive the credits from the first fund. You can also seek help from financial experts in choosing the right funds for a switch.

 

[Vivek Verma]

Hello Guys,
I have around 2.5 lakhs worth of axis large cap mutual fund which is quiet underperformed since years. I have stopped my sip in that last year, but i now want to sell the entire fund and use that money to invest in other performing funds.

How should i do that? Should i just sell and invest the entire lumpsum all together in another fund?

Nifty

 

[Tanvi Patel]

Hello Guys,
I have around 2.5 lakhs worth of axis large cap mutual fund which is quiet underperformed since years. I have stopped my sip in that last year, but i now want to sell the entire fund and use that money to invest in other performing funds.

How should i do that? Should i just sell and invest the entire lumpsum all together in another fund?

Tgere are 2 ways to invest entire amount on another place
You can sell it and invest entire amount another funds or you can switch one scheme to another scheme but same fund house.

 

[zacobite]

Hello Guys,
I have around 2.5 lakhs worth of axis large cap mutual fund which is quiet underperformed since years. I have stopped my sip in that last year, but i now want to sell the entire fund and use that money to invest in other performing funds.

How should i do that? Should i just sell and invest the entire lumpsum all together in another fund?

Suggest you first identify where you want to move the money to.. If it is another fund then reinvesting such a big amount at one go is not recommended.. If you identify another axis bank fund then you can use SWP where you can move money like an SIP within same fundhouse.. If you want to break into multiple small pieces then you can withdraw and reinvest...

 

[rohit_20085]

Withdrawal & reinvestment of 2.5 lakh at one go is not advisable. You can go for swp (if switching to another scheme of same fund house) or redemption-&-sip (if shifting to scheme of another fund house) in smaller amounts of around 5-10k per month or as per your suitability

 

[Umang Agarwal]

Hello sir!
If you want to change your fund house ,you can sell all your units and invest it in a debt fund of new fund house and you can start STP just like sip from that fund in equity funds and you can good return and this will keep your money invested.
for any other information you can contact me on -8249243070. I am AFMI Registered Mutual Fund Distributor.