New Delhi, Oct. 2 -- The Parag Parikh Flexi Cap Fund, the largest flexi-cap fund in India by AUM, has announced that it will start offering the Income Distribution cum Capital Withdrawal (IDCW) option that will benefit investors who fall under a lower tax bracket.

The IDCW option allows investors to receive periodic payouts from a mutual fund, which may be generated from dividends or the sale of securities. Since payouts depend on available surplus, they aren't fixed, and the fund's net asset value (NAV) falls in proportion to the amount distributed.

The IDCW facility in the Parag Parikh Flexi Cap Fund will commence on 31 October 2025.

Under the IDCW, there will be two options: 1) payout and 2) reinvestment.

For existing investors, th...