Ch.7 · Total Expense Ratio Limits · medium
What is a 'NAV-based unit allotment' for systematic transactions (SIP/SWP/STP)?
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EXPLANATION
Each SIP, SWP, or STP instalment is processed as an independent transaction on the scheduled date. The applicable NAV follows the same cut-off time rules as regular purchases/redemptions. For equity SIPs — if debit is processed and funds credited before 3 PM on the SIP date, that day's NAV applies; otherwise next business day's NAV. This ensures systematic plan participants receive fair market-based pricing.
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