The ability of an investor to withdraw money from an open ended programme is unrestricted. All open end schemes offer liquidity as a significant advantage, despite the fact that there may occasionally be an exit burden that affects the total amount realised.
The choice to redeem is entirely up to the investor. There are no limits on the quantity of redemptions or the value that may be redeemed. To finance redemptions, there must be enough units in the account. Typically, the minimum amount that may be redeemed is stated in the scheme documents.
Units that are subject to a lien to a bank or other institution are not redeemable unless the lien is released. Only extraordinary circumstances, as determined by the Board of Trustees, may restrict redemptions.
Only at maturity may closed-end schemes be redeemed from the AMC. They do, however, give investors a way to access liquidity before maturity by allowing them to sell their units on a reputable market.
Redemptions are possible at;
- Centers for Investor Services (ISCs)
- Offices of AMC
- Official Points of Transaction Acceptance (OPAT)
- using a recognised online portal.