New Delhi :
The Net Asset Value (NAV) is allotted on realization of funds before the time stipulated by the fund house, i.e. before 3 PM, as per the regulations of Securities and Exchange Board of India (SEBI). However, there is no way for a typical retail investor to transfer money so fast on any given day that it reaches before 3 pm. Even net banking or pre-scheduled bank debits, as in Systematic Investment Schemes (SIPs), do not help. No investor can get same day NAV though he can try. Can you please suggest any solution to solve this problem?
—Name withheld on request
Many investors are facing this issue since the implementation of SEBI’s unit allotment rule post receipt of funds. The rule is in the right spirit and interest of the investors. However, many SIPs and lumpsum investors have faced delays in allotment of units. According to the rules, if money comes in the fund’s account before the cut-off time, then units will be allotted on the basis of the NAV of that day. If you are investing directly through an AMC’s website or app, most of the AMCs are integrated with major banks and can get instant funding at their end. If you are investing through any third party website or app based on BSE or NSE platform, the cut-off time will be 2.30 PM due to operational requirements, but transactions done before this cut-off time will be the exact same. Will work as it has been done on investment. Website of an AMC. If you want to invest in the last half hour before the cut-off time of 3 PM then you can try to invest directly through the websites of AMC, this will help you to get allotment based on the NAV of that day can be found.
Harshad Chetanwala is the founder, MyWealthGrowth.com. Have questions? Send an email to mintmoney@livemint.com.
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