MIPs or Monthly Income Plan would be suiting for retired people who would need a monthly income plan but they have not opted for assured pension during their working life period for various reasons.
Let us go through more in detail about the Monthly Income Plan
To generate regular monthly income to investors in the dividend plan.
Fixed Income Instruments = 80-85%
Equity = 15-20%
As with mutual funds , the monthly dividend payout is not assured but there are certain good funds which has a good track record of giving monthly dividens without fail.
For a person in the 30% income tax slab, MIP scores over other debt products by having a Dividend Distribution tax of 19% instead of 30% in bank FDs.
Those who are nearing retirement or attained retirement
To find the list of funds in this category, check out @ http://www.valueresearchonline.com/funds/h2_typecomp.asp?type=1&objective=19