Mutual funds are not as complicated as you might think. We’ll show you everything you need to know about mutual funds . First, you must meet the eligibility criteria to invest in mutual funds.
- Resident Indians over 18 Years of Age
- Guardians of minors
- HUFs (Hindu Undivided Familys)
- NRIs (Non Resident Indians) and POIs (Person Of Indian Origin)
If you fall into one of these categories, you can begin planning for your investments. To invest in mutual funds, you must first be KYC ( know Your Customer) compliant. This means that you will need your PAN Card and Aadhaar Card.
KYC/CKYC is required if you’re investing for the first-time. This means you must be KYC/CKYC (Know Your Customer/Central KYC), registered with any mutual funds house, CVLKRA, CAMSKRA, or KARVY. After completing KYC, you can invest through any mutual fund distributor portal, or the website or mobile application of the mutual fund of choice.
Let’s now move on to the next step: how to purchase mutual funds. To invest in mutual funds you will need to consult a mutual fund advisor. This will help you choose the best mutual fund scheme for you. There are many mutual funds on the market, making it difficult for retail investors to narrow down the best 4-5 options. It is a good idea to seek the advice of mutual fund distributors so you don’t pick the wrong plan or scheme. You may not want regular income from mutual fund investments, but you might be interested in long-term growth. You should look at equity mutual fund and consider investing in a regular plan rather than a dividend-paying plan. Your friend might be interested in investing for short-term growth over 2-3 years. He could also consider balanced funds.
Every investor has a different investment requirement. Therefore, each investor must create an investment plan that suits his/her needs and circumstances. A fund advisor will help you make a decision among the many schemes on the market. The advisor will also help you with documentation if you haven’t completed your KYC.
You can invest online if you prefer to bypass the distributor of mutual funds. This assumes that you have completed your KYC. If you have not completed your KYC yet, you will need to make your first investment offline. You will also need the KYC documents. After completing the KYC, you will be able to make subsequent investments online. Visit the website of the mutual fund you made your initial investment. You will be able to create an account online by using the folio number you were assigned. After you’ve created a password and login ID for yourself, you will be able to access your online folio, make additional purchases, redeem existing investments, set up SIP or STP, and update your personal information. You can also see how your investment is performing in terms of profit/loss.
Mutual Funds Sahi Hai is the best website to find out more about mutual funds. This website is hosted by AMFI, a mutual fund industry association.
