STP
A Systematic Transfer Plan (STP) is an investment strategy that allows you to transfer a fixed amount of money at regular intervals from one mutual fund scheme to another, typically from a debt fund to an equity fund or vice versa. This approach helps in managing market volatility by spreading out investments over time. STPs are often used for portfolio rebalancing, risk management, or gradually shifting funds based on changing financial goals. While it does not guarantee returns, an STP offers a structured and flexible way to manage investments, making it useful for investors with medium- to long-term objectives.
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