Top SWP Plans in India (2026)
India’s mutual fund industry managed a record ₹81.92 lakh cr in assets as of April 2026, while monthly SIP contributions remained above ₹31,000 cr. As investors increasingly use mutual funds for both wealth creation and cash flow needs, facilities such as Systematic Withdrawal Plans (SWPs) have gained attention. An SWP allows periodic withdrawals from an existing mutual fund investment while the remaining corpus stays invested. This guide explains how SWPs work, their benefits, risks, taxation, and key factors to evaluate.
Best Mutual Funds for SWP Plans 2026
| Name | AUM (₹ in cr.) | NAV (₹) | Absolute Returns - 3M (%) | Absolute Returns - 1Y (%) | CAGR 3Y (%) | Expense Ratio | Exit Load (%) |
|---|---|---|---|---|---|---|---|
| SBI Gold | 15,691.06 | 47.21 | -3.46 | 56.42 | 35.76 | 0.25 | 1 |
| Nippon India Multi Asset Allocation Fund | 14,737.58 | 26.28 | 0.26 | 15.74 | 20.76 | 0.54 | 1 |
| Kotak Multi Asset Allocation Fund | 13,447.42 | 16.36 | 0.13 | 22.90 | 0 | 0.52 | 1 |
| HSBC Midcap Fund | 13,386.57 | 505.54 | 12.63 | 17.58 | 27.82 | 2.53 | 1 |
| HDFC Gold ETF FoF | 11,464.35 | 48.19 | -3.38 | 56.01 | 35.81 | 0.2 | 1 |
| DSP Multi Asset Allocation Fund | 9,241.13 | 16.54 | 0.36 | 18.95 | 0 | 0.28 | 1 |
| ICICI Pru Energy Opportunities Fund | 8,851.28 | 11.86 | 9.10 | 17.19 | 0 | 0.55 | 1 |
| Motilal Oswal Nasdaq 100 FOF | 7,690.82 | 72.30 | 56.25 | 88.95 | 42.78 | 0.19 | 1 |
| Nippon India Gold Savings Fund | 7,178.71 | 61.58 | -3.40 | 56.06 | 35.86 | 0.05 | 1 |
| Kotak Gold Fund | 6,693.23 | 62.23 | -3.43 | 56.05 | 35.78 | 0.11 | 1 |
| ICICI Pru Gold ETF FOF | 6,451.89 | 49.39 | -3.36 | 56.38 | 36.05 | 0.16 | 1 |
| SBI Children's Fund-Investment Plan | 6,114.09 | 50.53 | 11.56 | 16.66 | 23.55 | 2.28 | 3 |
| Quant Multi Asset Allocation Fund | 5,257.41 | 181.76 | 4.63 | 20.93 | 25.72 | 0.61 | 1 |
| Franklin U.S. Opportunities Equity Active FOF | 5,190.02 | 102.57 | 13.65 | 23.83 | 23.39 | 0.5 | 1 |
| SBI Automotive Opportunities Fund | 5,074.99 | 11.78 | 2.69 | 22.15 | 0 | 0.86 | 1 |
Disclaimer: Please note that the above SWP mutual fund list is for educational purposes only, and is not recommendatory. Please do your own research or consult your financial advisor before investing. The data is derived from Tickertape Mutual Fund Screener and is subject to real-time updates.
Note: The data on the SWP mutual fund list is from 8th June 2026. This data is derived from the Tickertape Mutual Funds Screener.
- Volatility: Low
- Expense Ratio: Low
- AUM: Sorted from Highest to Lowest
🚀 Pro Tip: You can use Tickertape’s Mutual Fund Screener to research and evaluate funds with over 50+ pre-loaded filters and parameters.
What is SWP in Mutual Fund?
The SWP (Systematic Withdrawal Plan) Mutual Fund is not a separate type of mutual fund. It is a facility that allows investors to withdraw a fixed amount from their mutual fund investment at regular intervals, such as monthly, quarterly, or annually.
Under an SWP, the mutual fund redeems the required number of units to provide the chosen withdrawal amount. The remaining investment remains invested in the fund and participates in market movements. SWPs are commonly used by investors who want periodic cash flows from their mutual fund holdings.
Overview of Top SWP Plans
SBI Gold
SBI Gold Fund provides exposure to gold through a mutual fund, typically by investing in underlying gold ETF units. Its performance depends on domestic gold prices, currency movement, fund expenses, tracking difference, and broader demand for gold as an asset class.
Nippon India Multi Asset Allocation Fund
Nippon India Multi Asset Allocation Fund invests across different asset classes such as equity, debt, gold, and other instruments based on its allocation strategy. Its returns depend on asset mix, market cycles, interest rates, commodity prices, and the fund’s rebalancing approach.
Kotak Multi Asset Allocation Fund
Kotak Multi Asset Allocation Fund follows a multi-asset strategy by investing across equity, debt, commodities, or related instruments. The fund aims to spread exposure across markets. Performance depends on allocation decisions, asset-class movement, interest rates, market trends, and portfolio execution.
HSBC Midcap Fund
HSBC Midcap Fund invests mainly in mid-cap companies. These businesses are larger than small caps but may be more volatile than large caps. Returns depend on stock selection, earnings growth, liquidity, valuations, and broader trends in the mid-cap segment.
HDFC Gold ETF FoF
HDFC Gold ETF FoF is a fund-of-funds scheme that invests in units of HDFC Gold ETF. It gives exposure to gold prices without physical ownership. Returns depend on gold price movements, expense ratios, tracking differences, and the liquidity of the underlying ETF.
DSP Multi Asset Allocation Fund
DSP Multi Asset Allocation Fund invests across multiple asset classes such as equity, debt, gold, or related instruments. It provides diversified exposure through one scheme. Performance depends on asset allocation, market cycles, interest-rate trends, commodity prices, and fund management decisions.
ICICI Pru Energy Opportunities Fund
ICICI Pru Energy Opportunities Fund is a thematic equity scheme focused on energy and related businesses. It may invest across oil, gas, power, renewables, and allied segments. Returns depend on sector trends, commodity prices, policy changes, and company-specific performance.
Motilal Oswal Nasdaq 100 FoF
Motilal Oswal Nasdaq 100 FoF invests in units of an underlying Nasdaq 100-focused fund or ETF. It offers exposure to large US-listed technology and growth companies. Returns depend on US market performance, currency movement, expense ratio, and tracking difference.
Nippon India Gold Savings Fund
Nippon India Gold Savings Fund invests in units of Nippon India ETF Gold BeES, providing gold exposure through a mutual fund. Performance depends on domestic gold prices, tracking difference, expenses, currency trends, and demand for gold-linked investment products.
Kotak Gold Fund
Kotak Gold Fund is a fund-of-funds scheme that invests in Kotak Gold ETF. It offers gold exposure without requiring physical storage. Returns are linked to gold prices but may vary due to fund expenses, tracking difference, and liquidity in the underlying ETF.
Tax on SWP Mutual Fund Schemes
Tax on SWP Mutual Fund Schemes: SWP is a withdrawal facility, not a separate mutual fund category. Each withdrawal is treated as a redemption of mutual fund units, and tax applies only on the capital gain portion. The tax rate depends on the type of fund and how long the redeemed units were held.
| Scheme Type | Holding Period | Tax Treatment |
| Equity-oriented funds | Up to 12 months | Short-term capital gains are taxed at 20% |
| Equity-oriented funds | More than 12 months | Long-term capital gains are taxed at 12.5%; gains up to ₹1.25 lakh in a financial year are exempt |
| Debt-oriented funds | Any holding period | Gains are added to income and taxed as per the investor’s income tax slab |
| Hybrid funds | Based on equity exposure | Taxed as equity or non-equity funds, depending on the scheme structure |
| Gold / FoF / international funds | Usually non-equity taxation | Tax treatment depends on fund structure and applicable holding-period rules |
How to Invest in SWP Mutual Funds in India?
You can start investing in SWP funds in India by following these steps:
- First, visit an equity investment platform such as smallcase to explore available SWP mutual fund schemes.
- Next, research and identify SWP funds based on your investment thesis, time horizon, and risk appetite. Tools like the Tickertape Mutual Fund Screener can help you filter and compare funds based on parameters such as returns, expense ratios, fund size, risk ratios, and more.
- Once you shortlist the fund, visit smallcase, log in, and search for the fund by name. You can then choose the investment mode, either a one-time lump sum or an SIP, and complete the investment process.
Benefits of Investing in SWP Mutual Fund Schemes
- Regular cash flow: An SWP allows periodic withdrawals from an existing mutual fund investment. This can create a planned cash flow while the remaining units stay invested.
- Flexible withdrawals: Investors can choose the withdrawal amount, frequency, and scheme, depending on platform and fund rules. This makes SWP more flexible than fixed payout products.
- Market participation: The balance amount stays invested after each withdrawal. It can continue to participate in market movement, depending on the fund category.
- Useful in a large MF market: India’s mutual fund industry AUM reached ₹81.92 lakh cr as of April 2026, showing the scale of fund options available across categories.
- Works across fund types: SWP can be set up in eligible equity, debt, hybrid, and multi-asset funds, subject to scheme and platform rules.
Risks Involved While Investing in SWP Mutual Fund Schemes
- Market risk: SWP withdrawals happen from market-linked funds. If markets fall, more units may need to be redeemed to meet the withdrawal amount.
- Capital erosion risk: A high withdrawal amount can reduce the invested corpus over time, especially if fund returns are lower than the withdrawal rate.
- Tax impact: Each SWP instalment is treated as a redemption. Tax applies to the capital gains portion, based on fund type and holding period.
- Sequence risk: Weak returns in the early withdrawal period can affect the remaining corpus more sharply, especially in equity-oriented schemes.
- Exit load risk: Some schemes may levy an exit load if units are redeemed before a specified period. SWP investors should check scheme-specific exit load rules.
Factors to Consider When Investing in SWP Mutual Fund Schemes
- Withdrawal amount: The withdrawal amount affects how many units are redeemed from the fund. A higher withdrawal amount may reduce the corpus faster if fund returns are lower than withdrawals.
- Withdrawal frequency: SWPs can usually be set up monthly, quarterly, half-yearly, or annually. The chosen frequency affects how often units are redeemed from the investment.
- Fund category: Equity, debt, hybrid, gold, and multi-asset funds behave differently. The fund category influences volatility, taxation, and withdrawal outcomes.
- Tax impact: Each SWP instalment is treated as a redemption. Tax applies only to the capital gains portion, based on fund type and holding period.
- Exit load: Some schemes may charge exit load if units are redeemed before a defined period. This can affect the net amount received.
- Corpus sustainability: The remaining corpus remains invested after each withdrawal. Fund performance, withdrawal rate, and market conditions influence how long it may last.
- Risk profile: SWPs from market-linked funds can have uneven outcomes. The risk level depends on the scheme’s portfolio, asset class, and market conditions.
Who Should Consider SWP Mutual Fund Schemes?
- Cash flow-focused investors: SWP may be relevant for those seeking periodic withdrawals from an existing mutual fund investment.
- Retirement income planners: Retirees or near-retirees may evaluate SWPs to create structured payouts from their accumulated corpus.
- Goal-based withdrawal users: Investors may use SWP for planned expenses such as household needs, education costs, or other recurring commitments.
- Investors with an existing corpus: SWP is generally used after building a mutual fund corpus, since withdrawals happen by redeeming fund units.
- Risk-aware investors: Since the remaining corpus remains invested, an SWP may be relevant for those who understand market-linked risks and the impact of withdrawals.
To Wrap It Up…
An SWP is a withdrawal facility available across eligible mutual fund schemes, including equity, debt, hybrid, and multi-asset funds. Since each withdrawal involves redeeming units, factors such as taxation, the withdrawal amount, the fund category, and market conditions can influence the outcome. Investors can use the Tickertape Mutual Fund Screener to compare mutual funds, analyse scheme details, and evaluate funds that may be used alongside an SWP strategy.
Frequently Asked Questions on SWP Mutual Fund
An SWP, or Systematic Withdrawal Plan, is a facility that allows investors to withdraw a fixed amount from their mutual fund investment at regular intervals. It is not a separate mutual fund category.
In an SWP, the fund redeems the required number of units to generate the selected withdrawal amount. The remaining units remain invested and move with market conditions. Different SWP plans may offer varying withdrawal frequencies and options.
No, SWP income is not guaranteed. Withdrawals happen by redeeming mutual fund units, and the value of the remaining corpus depends on market performance. This applies to any SWP mutual fund arrangement.
Disclaimer: This is for educational purposes only and is not a guarantee of returns. SWP outcomes depend on fund performance, withdrawal rate, and market conditions.
Each SWP instalment is treated as a redemption. Tax applies only to the capital gains portion, based on the fund category and holding period. Tax treatment remains the same regardless of the SBI SWP interest rate or withdrawal frequency.
SWP can usually be started in eligible open-ended mutual fund schemes, subject to scheme and platform rules. The availability, minimum withdrawal amount, and frequency may vary. Investors evaluating how to invest in SWP should check scheme-specific terms.
SWPs may be relevant for investors who want periodic withdrawals from an existing mutual fund corpus, such as retirees or those planning regular cash flows. Some investors also compare best SWP for monthly income options across fund categories.
Disclaimer: This is for educational purposes only and not a recommendation. Suitability depends on financial goals, risk appetite, withdrawal needs, and investment horizon.
Yes, an SWP can usually be stopped, modified, or paused through the AMC, broker, or investment platform where it was registered. The process may vary by platform. This flexibility is available across many SWP plans.
The minimum SWP amount varies across mutual fund schemes and platforms. Investors should check the scheme document or investment platform for the latest minimum withdrawal limits before setting up an SWP mutual fund withdrawal plan.
Yes, every SWP instalment redeems some mutual fund units. The number of units redeemed depends on the withdrawal amount and the NAV on the redemption date.
Disclaimer: This is for educational purposes only. SWP withdrawals redeem mutual fund units, and the impact on the corpus depends on the withdrawal amount, NAV, fund performance, and market conditions.
SWP and dividend payout work differently. SWP allows planned withdrawals by redeeming units, while dividends depend on the fund’s surplus and are not guaranteed. Investors often compare these approaches when reviewing top and best performing SWP mutual funds in india.
Yes, SWP can continue during market declines, but more units may be redeemed to meet the fixed withdrawal amount. This can reduce the corpus faster, regardless of the chosen SWP mutual fund.
SWP may be used by retirees to create a periodic cash flow from an existing corpus. Discussions around best SWP for monthly income often focus on this use case.
Disclaimer: This is for educational purposes only and not a recommendation. Suitability depends on withdrawal needs, risk appetite, and corpus size.
