Is a demat account necessary for purchasing mutual fund units?

#3
Demat refers to a dematerialized account It is an account that allows you to buy and sell shares without the need of any paperwork. DeMat accounts are convenient and secure and allow immediate transfer of securities.
These days, most transactions are done through demat accounts as not too many investors prefer to trade with shares and securities in the physical form. SEBI allows trades of upto 500 shares in the physical form, yet Most investors prefer to trade through Demat Accounts.
The procedure to open a demat account is relatively simple. Simply call your broker or register with an online trading portal. There are a lot of trading portal that will assist you in your investments like ICICI, HDFC and Reliance Mutual Funds.
Reliance Mutual Funds provides a lot of information to investors through their knowledge centre.
 

yo!

New Member
#4
Is a demat account necessary for purchasing mutual fund units?
Mutual Fund in Paper form is getting outdated. Although NSDL & CSDL advise everyone to hold their Mutual Funds in their Demat account, the brokers are not willing. As per the regulations, one needs to fill special KYC forms [Know Your Client, as required by the broker as per SEBI guidelines], but it is only a formality. Legally, the information given in KYC is the latest and the brokers need to update their records but in reality, they all act sluggish and do nothing. The KYC requirement is for helping the customers in actually all brokers misuse it and take their own time in finalizing it with CVL {CSDL Ventures Limited] which has been agreed as the holding company for all Mutual Funds AMCs for Demat of the MFs held by individuals. But no MFs get transferred to CVL and every broker holds them on behalf of CVL. I have Sharekhan account and find it extremely elaborate and helpful as against the India Infoline primitive charts, where the back office is worst than government offices. My advise, shall be to use Sharekhan online which helps you to buy & sell MFs and also to see all your holdings with their latest NAVs.
 
#5
Dear Customer,

This has reference to your observations. In order to help us address the same, kindly provide us complete details (such as Login ID in connection with this issue . Please quote the same in your email. Upon receipt of the mail, our customer service team will be able to work on resolving the same.

Regards,

IIFL Customer Service


Mutual Fund in Paper form is getting outdated. Although NSDL & CSDL advise everyone to hold their Mutual Funds in their Demat account, the brokers are not willing. As per the regulations, one needs to fill special KYC forms [Know Your Client, as required by the broker as per SEBI guidelines], but it is only a formality. Legally, the information given in KYC is the latest and the brokers need to update their records but in reality, they all act sluggish and do nothing. The KYC requirement is for helping the customers in actually all brokers misuse it and take their own time in finalizing it with CVL {CSDL Ventures Limited] which has been agreed as the holding company for all Mutual Funds AMCs for Demat of the MFs held by individuals. But no MFs get transferred to CVL and every broker holds them on behalf of CVL. I have Sharekhan account and find it extremely elaborate and helpful as against the India Infoline primitive charts, where the back office is worst than government offices. My advise, shall be to use Sharekhan online which helps you to buy & sell MFs and also to see all your holdings with their latest NAVs.
 
#7
For a general mutual fund, you don't require a demat account. However, in case you wish buy any ETFs like NiftyBees, JuniorBees, GoldBees, BankBees, you will need to buy them through a trading account for which a Demat is necessary. I am not aware if one can buy ETFs without a trading/demat account.

Happy Investing
 
#9
which MF one to buy?

Hi,

I have plan to purchase mutual funds. I choosed some of the mutual funds. I ready to take medium risk to get average return or high return.


Please advise me that which one i should buy?

1)ICICI Prudential Discovery Fund Institutional Option I-Dividend.
2)ICICI Prudential Focused Bluechip Equity Fund (D)
3)Franklin bluechip (D)
4)Tata Dividend Yield Fund (D)
5)ICICI Pru Banking & Financial Services (D)
or is there any good mutual fund??


Please help me.
 

Subhadip

Well-Known Member
#10
Re: which MF one to buy?

Hi,

I have plan to purchase mutual funds. I choosed some of the mutual funds. I ready to take medium risk to get average return or high return.


Please advise me that which one i should buy?

1)ICICI Prudential Discovery Fund Institutional Option I-Dividend.
2)ICICI Prudential Focused Bluechip Equity Fund (D)
3)Franklin bluechip (D)
4)Tata Dividend Yield Fund (D)
5)ICICI Pru Banking & Financial Services (D)
or is there any good mutual fund??


Please help me.
go for growth option

go for one large cap, one mid cap and one balanced fund..

Now u have to decide which one to go for.
 

Broker Special Offers

Intraday Higher Leverage

Save up to 90% in brokerage and get higher leverage for intraday trades.

Name:Phone:
Email:City:
State:
Are you a day trader?