Dividend-yield mutual fund

Tue, 12 May 2026 00:00:00 +0000

A dividend-yield mutual fund in India is an open-ended equity scheme that must invest a minimum of 65% of its total assets in high-dividend-yield stocks – equities of companies that pay dividends at a yield materially above the market average. SEBI ’s October 2017 scheme categorisation circular created this category to distinguish income-oriented equity strategies from growth or value strategies. The underlying premise is that companies paying consistent, high dividends are typically mature, cash-generative businesses with strong balance sheets, providing investors a combination of income and lower downside risk than high-growth, low-dividend companies.

High Dividend Stocks on WebNotes

Dividend-yield mutual fund