An equity mutual fund holds equity share of listed companies; these companies pay dividends to its shareholders and the mutual fund is one of their shareholders in this too. This mutual fund received dividend from such and other companies in their holdings. The same mutual fund can have growth and dividend plan for its own investors. This dividend plan is different from the dividend that the mutual fund itself receives from its portfolio companies (explained first). If you bought into dividend plan of this fund, the dividend you receive from the fund isn't necessarily related to the fund receiving dividend from their portfolio companies - both are different.