Withdrawal Plans
Investors may set up systematic withdrawal plans from their investment accounts, similar to automatic investment programs. Withdrawals are made first from dividends and then from capital gains. When those are gone, a fund will start redeeming shares if instructed to do so by the investor. Withdrawals can be of several types:
• Fixed-dollar periodic payments pay the investor a certain amount of money in monthly or quarterly payments. How long these payments will continue can be estimated but not known exactly because it depends on the account value when payme