No ban on redemption and systematic withdrawal plans and switch-outs in Motilal Oswal Mutual Fund
As per report to get exposure to the American stock market, these days indian investors were investing in the US markets through SIP in Motilal oswal Mutual Fund's international Funds, Motilal oswal S&P 500 Index and Motilal oswal Nasdaq 100 Fund of Fund. But after the closing of the trading session on december 10, 2024, indian investors will not be able to register a new SIP in these schemes of the mutual fund house nor will they be able to do SIP top-up. Motilal oswal Mutual Fund has informed its unitholders that new SIP registration will not be possible for Motilal oswal S&P 500 Index and Motilal oswal Nasdaq 100 Fund of Fund Direct Plan. Also, investors who are currently running SIPs in these schemes will not be able to do SIP top-up. However, existing SIPs and registered SIPs will continue till the end of business hours on 10 december 2024.
Meanwhile the existing ban on lump sum investments, systematic transfer plans (STP) and switch-ins will continue in future as well. However, there will be no ban on redemption and systematic withdrawal plans and switch-outs in these international funds of Motilal oswal Mutual Fund.
Moreover Motilal oswal Nasdaq 100 Fund of Fund Direct Plan scheme has given investors an annual return of 13.99 percent in the last 3 years and 24.63 percent in 5 years. The total AUM of this fund is Rs 5138 crore. Whereas Motilal oswal S&P 500 Index has given an annual return of 13.95 percent in 3 years. The AUM of this fund is Rs 3543 crore. Before donald trump takes over as President in the united states once again, there is a strong boom in the US stock market. The US stock market is expected to perform better in the coming days. In such a situation, indian investors were preferring to invest in mutual funds with overseas exposure. But this option has become limited for them for the time being.