How to invest in Mutual Funds?

#1
Hi,
Can anyone please tell me as to how to invest in mutual funds with the following:-
1) Can i invest in them through my demat account or should i do it by visiting the office of the mutual fund?
2) what are the charges while investing in mutual fund?
3) is there a specific block in period or i can buy and sell units whenever i want just like shares?
4) is there any minimum amount to be invested?
5) am i supposed to give a separate cheque or it can be done directly from my trading account?
 

nikrod

Active Member
#2
Hi,
Can anyone please tell me as to how to invest in mutual funds with the following:-
1) Can i invest in them through my demat account or should i do it by visiting the office of the mutual fund?
You can invest through demat account in select MF schemes. You will be charged brokerage as usual. The traditional way is to do it throgh a MF agent, financial advisor or through online portals such as ICICIDirect, HDFC ISA & FundsIndia.com

2) what are the charges while investing in mutual fund?
No entry charges for mutual funds. You will have to pay your agent as per the services provided. Online portal charge structure will be available on respective sites.

3) is there a specific block in period or i can buy and sell units whenever i want just like shares?
Open ended funds can be bought & sold any time you wish. Closed ended funds & ELSS have a lock in period

4) is there any minimum amount to be invested?
Yes. It varies from scheme to scheme. Refer scheme documents or ask your advisor.

5) am i supposed to give a separate cheque or it can be done directly from my trading account?
If you invest through your Demat account, it can be directly done with trading account.
 

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