Hi everyone,
We’ve always looked at the Zerodha Overnight Fund as a place for you to park your surplus funds while maintaining a low risk profile. However, a common piece of feedback we’ve received is about liquidity: “What if I need my money right now?”
I’m happy to announce that we have launched the Instant Access Facility (IAF) on the Zerodha Overnight Fund.
What is Instant Redemption?
Normally, redeeming from a mutual fund takes at least one working day (T+1) for the money to be credited to your bank account. With this instant withdrawal facility, you can now withdraw your money and have it credited to your linked bank account instantly, 24x7x365 - even on weekends and bank holidays.
The Key Details:
- Speed: Funds are typically credited via IMPS within a few minutes.
- Limits: You can withdraw up to ₹50,000 or 90% of your current investment value per day, whichever is lower.
- Availability: This facility is available 24x7, including holidays.
- No Extra Cost: There are no additional charges for using the instant redemption facility.
- Eligibility: Only available for units held in non-demat mode, which are unencumbered (i.e non pledged / locked etc.) This is currently available for resident individual investors only.
How to use it?
We have integrated this facility directly into our WhatsApp flow for a seamless experience.
- Once invested, navigate to the “24x7 Instant Withdrawal” option
- Specify the amount
- Redeem your funds
- Try it out here
Our goal is to provide an efficient investment avenue for your surplus funds through the Zerodha Overnight Fund, now enhanced with the Instant Access Facility for quick liquidity, subject to applicable daily limits.
About the fund
The Zerodha Overnight Fund is a low-risk mutual fund designed to invest primarily in government-backed securities with a 1-day maturity, aiming to provide an efficient way to manage short-term funds with a relatively low interest rate and credit risk.
We’d love for you to try this out. If you have any questions about how this works or the limits applicable, please ask them below. I’ll be happy to answer!
Best,
Vishal
The Information provided is for general knowledge and informational purposes only and does not constitute financial advice by any means whatsoever.
Investing in mutual funds and other financial products involves risk, including the potential loss of principal. Past performance is not indicative of future results. Before making any investment decisions, investors should conduct their own research and seek advice from qualified financial advisors to ensure that the respective products and strategies are suitable for their specific financial situation and objectives.
Investors are advised to read the Scheme Information Document (SID), Statement of Additional Information (SAI), Key Information Memorandum (KIM), and other scheme related documents carefully.
