What is a key aspect to consider when selecting options (such as Growth or IDCW) within a mutual fund scheme?
A
The daily fluctuations in the NAV
B
The investor's income needs and tax situation
C
The total Assets Under Management (AUM) of the scheme
D
The number of units outstanding in the scheme
Correct Option:
B
Explanation
The choice between the Growth and IDCW options should be based on the investor's income requirements, financial goals, and tax situation. Investors seeking regular payouts may prefer IDCW, while those aiming for long-term wealth creation may choose the Growth option.
