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Upcoming or forthcoming dividends in mutual funds

Upcoming Dividends in MF: Get latest updates on upcoming or forthcoming dividends in Mutual Fund online in India at Moneycontrol.

November 26, 2019 / 12:54 PM IST

As an investor, you can choose to invest in two types of mutual fund schemes on the basis of investment objectives: growth-oriented and dividend-oriented. A growth-oriented mutual fund invests in the stocks of an upcoming company that shows potential. The chief objective is to attain maximum capital appreciation from the investment.

On the other hand, you can choose to invest in a dividend yield fund. In this case, the fund house invests in stocks of companies that pay a high dividend. These companies generate high profits which allow them to declare dividends. Therefore, investments are made in stocks of companies that have a proven track record of declaring profits. If you have invested in dividend-oriented funds, you may want to know the forthcoming dividends in mutual funds.

The data related to the upcoming dividend of mutual funds are available on the websites of the mutual fund houses. You can also obtain the data using any of the aggregator websites for mutual fund investment.

Let us look at the forthcoming dividends in mutual funds.


Table on the Upcoming Dividends in Mutual Funds

upcoming dividends


Why should you invest in a dividend mutual fund?

Dividends are the share of the profits generated by the company. If a company is performing well, you get the chance to receive higher dividends. Dividends (up to a certain limit) received by the investor are also tax-free.


Where can I check whether there is any unclaimed dividend in my name lying with a mutual fund?

The website of the mutual fund house provides the list of names and addresses of investors in whose folios there are unclaimed dividends. The website also has information on the process of claiming the unclaimed amount and the necessary forms/documents required for the same.


I have invested in a dividend mutual fund. As a unitholder, how much time will it take to receive dividends/repurchase proceeds?

A mutual fund is required to dispatch to the unitholders the dividend warrants within 30 days of the declaration of the dividend. In case of failure to dispatch the dividends within the stipulated time period, the fund house is liable to pay interest as specified by SEBI from time to time for the period of delay. The delayed interest is 15 percent at present.


Is there a difference between dividend yield and dividend option funds?

Dividend yield funds invest in companies that declare high dividends. The dividend option of a mutual fund, on the other hand, gives an investor the choice of receiving returns in the form of dividends.


Is there any tax payable on the dividend declared?

Dividends are a distribution of profits among the shareholders. It is treated as the income of the shareholders. The company declaring the dividend has to pay a tax called the Dividend Distribution Tax (DDT). The dividend remains tax-free at the hands of the dividend holder.

However, the dividend income which is in excess to Rs. 10 lakh in a year is chargeable at the hands of individuals, HUF, partnership firms or private trust. The present rate is 10 percent.


I would like to know about the upcoming dividends in mutual funds so that I can make investments. Where can I find the relevant information?

Check the website of the mutual fund house or any aggregator through which you can make investments in a mutual fund.
Moneycontrol News
first published: Nov 26, 2019 12:54 pm

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