Dividend Yield Funds After Nifty Fall: Is This the Best Entry Point?
Shailendra Bhatnagar
- Updated Oct 6, 2026 3:12 PM IST
Dividend yield funds can offer investors exposure to companies with higher dividend yields while maintaining a portfolio largely tilted toward large caps. Shweta Rajani, Mutual Fund Head, Anand Rathi Wealth, explains why the category could be worth considering after the recent market correction and how mean reversion could support returns. She also explains why investors looking at dividend yield funds do not necessarily need to choose a dividend payout option. For many investors, particularly those in higher tax brackets, the growth option can be more tax-efficient, while systematic withdrawals can provide liquidity when required without opting for regular payouts.
