What is First In First Out (FIFO) method in MF redemption

[ganesh35]

Hai Everyone,

Can anyone clarify about the meaning of FIFO method in mutual fund redemption method. Here I tell by example.

I purchased mutual fund SBI pharma fund - direct plan - dividend. I got some gains over the period. While I redeeming the money from my fund, It took the money from principal instead of from gains. When I asked about it, I got the reply from the MF as ' Money was deducted from FIFO method.

I will appreciate anyone who explain me. Thanks

 

[gambler]

Hai Everyone,

Can anyone clarify about the meaning of FIFO method in mutual fund redemption method. Here I tell by example.

I purchased mutual fund SBI pharma fund - direct plan - dividend. I got some gains over the period. While I redeeming the money from my fund, It took the money from principal instead of from gains. When I asked about it, I got the reply from the MF as ' Money was deducted from FIFO method.

I will appreciate anyone who explain me. Thanks

Fifo means first in first out..

 

[ganesh35]

Still no one has reply