Your units can't be redeemed because they are:
1. In a lock-in period:
- You have invested in ELSS funds or retirement funds, and the units you are trying to sell are still in a lock-in period. Some Mutual Funds have a lock-in period during which you are not allowed to sell or redeem your units.
2. Unallocated:
- The units you are trying to sell are yet to be allocated to your account. Once the purchase order has been placed successfully, it takes up to 3 business days for the units to be allocated. You can place a sell order only after you can see the units allocated in your Mutual Fund dashboard.
3. Below minimum redemption quantity:
- Your scheme does not allow you to redeem (sell) units below a certain amount. In this case, please read the scheme details once.
4. Pledged:
- Your units are pledged with us. You need to unpledge your units before selling.
5. External Mutual Fund units:
- Units are bought externally and not from Upstox. Please use the respective broker/entity to sell the units.
6. Market Timing:
- Mutual funds are typically traded at the end of the trading day at the net asset value (NAV) price. If you are trying to redeem or sell your units outside market hours, you may see a message indicating that the units are unavailable.
- Make sure you are attempting the transaction during the designated trading hours. In order to place a sell or redeem order during market hours, you must place it between 9:00 am to 2:50 pm. Any order placed outside of these market hours will be considered on the following business day.
7. Trading Suspensions:
- In some cases, Mutual Funds may suspend redemptions or sales temporarily due to market volatility, liquidity concerns, or specific circumstances affecting the fund.
- Check with the Mutual Fund company to see if there are any temporary suspensions in place.
8. Fixed Maturity:
- If you have invested in a fixed maturity scheme, then these units can't be redeemed.
- However, on maturity, the company will automatically redeem the units and transfer the redemption amount to your registered bank account.
Related articles: