These days, it is common to hold mutual fund investments online. But, if you have invested in mutual fund before the demat form and e-statements were common and have lost track of them, you need not fret. You can find them; let us tell you how.
At the time of redemption of your mutual fund units, you just need your folio numbers and not your account statements. But yes, your account statement would be helpful in retrieving your folio number.
Some alternate methods you can adopt to track those lost investments are:
- If you have your email id registered with any of the registrar and transfer agents (RTAs)-CAMS or Karvy, you can get your consolidated account statement on the same email id. You can use the statement to track your investments. If you don’t have your email id registered with them, you can get a hard copy by visiting their office.
- If you have updated your permanent account number (PAN) with your Asset Management Company (AMC), you would be receiving a half-yearly consolidated account statement (CAS) at the end of every half year. You can check that statement to track your folio number.
- If you have any old account statement, you can get the details such as holding pattern, address, bank account registered with the fund house and the folio number assigned to the investment, etc.
- You can also get a duplicate statement from your fund house. They will ask for such details as your PAN and initial investments details, before issuing a duplicate statement.
- There is a possibility that the fund may no longer be in existence due to a merger or acquisition by another fund. By providing the details of the previous scheme, you can track the merged or acquired scheme.
To avoid such hassles it’s better to go for online investments as they are easier to track. You can invest online directly on the fund’s website or through online mutual fund platforms.
What you can do to avoid losing track of your investments
- Many of us move to different cities as we change jobs, always update your bank and address details with your fund house. If you don’t, then the dividend cheque or redemption proceeds will go back to the fund house and will remain as unclaimed money.
- Avoid making small investments especially in physical form as it is very difficult to keep track of them.
- Make it a habit to fill in your nomination details, so that it can be claimed by your nominee if you are no longer around.
|What do fund houses do with the unclaimed money?|
|These days you can get your dividend and redemption proceeds directly to your registered bank account through ECS. But even today, some people prefer getting them through cheque or even if they have ECS, they change bank and don’t update their fund house.|
If the investor fails to inform the fund house about the change in address or bank account, the cheque or amount will be returned to the fund house. They will wait for a period of six months, until the validity of the cheque. After six months, the fund house will invest the amount into money market instruments and continue to manage and monitor it. The fund house will charge 0.50% annual fees for managing it.
If the investor claims the money within three years, they will be given the full amount including the appreciation. But after three years, the gains will be moved to the fund house’s investor’s education fund.
So, if you claim your money after three years, you will get the original unclaimed amount plus the appreciation for the first three years.