Presentation on theme: "What is the procedure to Invest in Mutual Funds?

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transcript:

1 What is the procedure to Invest in Mutual Funds?

Prospective investors who wish to invest in mutual funds have to contact a distributor/agent of
mutual funds. Any good agent/distributor would be able to suggest you the appropriate funds from
the plethora of funds available. The normal procedure is to fill-up the required application form and
submit it along with a cheque for the amount of investment. Cheques and Demand Drafts are
accepted. Payment by cash is not allowed. The agent/distributor would submit the application form
with the cheque to the mutual fund company. The mutual fund company would issue you an
Account Statement with 4 working days from the date of investment.

2 You can invest in any mutual fund scheme either online (through online investment facility
provided by AMCs) or offline (through any financial intermediary or directly walking in any branch of
the Mutual Fund Company). Financial intermediaries can be a bank, brokerage house or third party
distributor or IFAs. IFAs (Individual Financial Advisors) are AMFI certified ARN holders, who can
suggest balanced portfolio suitable for risk appetite of every investor. There are few steps to follow
while investing in mutual funds. Whether you decide to invest online or offline, you will require the
following documents: Photograph, PAN card, Name and Address proof, Bank Account Details and
KYC Compliance.

You can invest in Mutual Funds through various channels. Let's have a look at these channels and
some related important information

3 Investing online Step 1:

Visit the website and register for online transaction services. Provide necessary information i.e. Folio
Number, id and mobile registered with the folio etc.

Step 2:

The F-Pin will be generated and will be sent to you in id and on mobile registered with that folio.

Step 3:

Using this F-Pin you can create your User ID and Password.

Step 4:

Login using the credentials just created and start investing.

4 Investing Offline Step 1:

Contact a distributor or agent of mutual funds.

Step 2:

Get the application form.

Step 3:
Fill an application form providing necessary information i.e. Name, Address, PAN, id, mobile number
etc. This id & mobile number will be used for further communication and also can be used to register
for online transaction services.

Step 4:

Attach copies of relevant documents and submit it along with a cheque or demand draft for the
amount of investment.

Step 5:

If applied through an agent or distributor, they would submit the application form with the cheque
and all relevant documents to the mutual fund company.

Step 6:

The mutual fund company then would allocate you with a folio number for the particular investment
and would issue you an Account Statement.

5 Investing through mobile

With the advanced technology, new platforms like smart phones and tablets are being used to doing
online transactions while on the move. m-Easy is one of such mobile investments facility which helps
you Invest, Redeem and Switch from one scheme to another with the help of an SMS. With m-Easy
you can manage your investments from any place, anytime.

6 Starting your SIP online

SIP is a method of investing a fixed sum, regularly, in a mutual fund scheme. SIP allows you to buy
units on a given date each month, so that you can implement a saving plan for yourself. An SIP is
generally preferred for an equity scheme and can be started with Rs 2500 per month. You can start
your SIP online from convenience of your home with just few clicks.

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