I have three systematic investment plans (SIPs) that go out from that account every month. However, your bank may charge a penalty if a debit request from the asset management company (AMC) cannot be honoured due to lack of funds in your account. The best way to implement such a post-retirement investment cum withdrawal plan is to employ mutual funds and use the facility of systematic withdrawal plan. In terms of investment options, you should choose, for the most part, low-risk debt funds such as short-term income funds and ultra-short-term funds. One is, as you suggest, invest in a basket of funds and track them using a platform or software.

Source: Mint June 14, 2017 11:48 UTC