Common Benefit and Features of Investing in Mutual Fund.

Mutual Fund is an excellent financial product which allows pooling of resources to reduce overall cost of investing and sharing of risks.

E-Mail/Electronic Communication

Feature of MUtual Fund

Account statements and scheme related documents can be send to your mailbox

Benefit of Fund

Email delivery of your account statements ensure that you do not waste you time in filing your paper statement(physical statements). It also ensures that your account statement do not go to wrong address or unintended/unauthorised person. This benefit of email communication is important from safety and security perspective. It is a eco-friendly option for environment conscious investors. By opting for email statement investors help in saving trees which are destroyed to make paper based physical statements.

Grievance Officer/Customer Complaint/Service Manager

Feature of MUtual Fund

Asset management Companies appoint experience staff to handle customer related complaints.

Benefit of Fund

Unsatisfactory service, delay in credit of dividends, delay in receiving statements, wrong address, incorrect NAV, Incorrect schemes and many other small and major customer service related issues are managed by these officers. They co-ordinate with Local branches and the Main Office of the AMC to resolve issues and ensure good customer service.

Request for Account statement/Annual Reports

Feature of MUtual Fund

Account statement can be requested by customer whenever required.

Benefit of Fund

Customer is provided with an Annual Report of the scheme in which he has invested. One can call on any of the popular Toll free Phone Numbers of Mutual fund to place a request for latest NAV details or updated A/C statement.

Website/SMS Code/NAV on Mobile Phone

Feature of MUtual Fund

All Major Mutual fund companies have active websites which provide scheme related information.

Benefit of Fund

Daily NAV, Dividend details, key persons, registrar company and various other details are regularly published on websites. Various locations where Mutual fund has service desk, branches are also listed on these sites.

Publishing of NAV Rate

Feature of MUtual Fund

Daily NAV Rates are updated by Mutual fund Companies on websites and newspapers.

Benefit of Fund

Everyday Net Asset Values of schemes are updated on the websites of fund companies. These are also uploaded on AMFI Website(Association of Mutual Funds in India). NAV of major fund houses are published in many regional and national dailies like MINT, ECONOMIC TIMES, BUSINESS LINE etc.

Buy Mutual Funds using your VISA ATM Card.

Feature of MUtual Fund

Use your VISA ATM Card to buy Mutual Funds Units at your ATM Center.

Benefit of Fund

Mutual Fund units can now be purchased by using your ATM Card at any VISA Approved ATM Center. This makes the process of investing in Mutual Funds extremely easy and convenient for many people who do not have time to manage their finances. Investments in Mutual Funds can be made on days when the increments/bonus/pending cheque payments are received. This will assist in parking funds for long-term to build an investment nest.

Back to Basics Series I (Part2) : This article is in response to SEBI's Public Appeal for following the right approach to Mutual Fund Industry.
SEBI Investor Education

©OnlineMF.

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F.A.Q’s ETF (PART 3)

ETFs are different from Mutual funds in the sense that ETF units are not sold to the public for cash. Instead, the Asset Management Company that sponsors the ETF (Fund) takes the shares of companies comprising the index from various categories of investors like authorized participants, large investors and institutions. In turn, it issues them a large block of ETF units. Since dividend may have accumulated for the stocks at any point in time, a cash component to that extent is also taken from such investors. In other words, a large block of ETF units called a “Creation Unit” is exchanged for a “Portfolio Deposit” of stocks and “Cash Component”.

The number of outstanding ETF units is not limited, as with traditional mutual funds. It may increase if investors deposit shares to create ETF units; or it may reduce on a day if some ETF holders redeem their ETF units for the underlying shares. These transactions are conducted by sending creation / redemption instructions to the Fund. The Portfolio Deposit closely approximates the proportion of the stocks in the index together with a specified amount of Cash Component. This “in-kind” creation / redemption facility ensures that ETFs trade close to their fair value at any given time.

Some investors may prefer to hold the creation units in their portfolios. While others may break-up the creation units and sell on the exchanges, where individual investors may purchase them just like any other shares.

ETF units are continuously created and redeemed based on investor demand. Investors may use ETFs for investment, trading or arbitrage. The price of the ETF tracks the value of the underlying index. This provides an opportunity to investors to compare the value of underlying index against the price of the ETF units prevailing on the Exchange. If the value of the underlying index is higher than the price of the ETF, the investors may redeem the units to the Sponsor in exchange for the higher priced securities. Conversely, if the price of the underlying securities is lower than the ETF, the investors may create ETF units by depositing the lower-priced securities. This arbitrage mechanism eliminates the problem associated with closed-end mutual funds viz. the premium or discount to the NAV.

F.A.Q’s ETF (PART 2)

Exchange Traded Funds (ETF) and its advantages:

Advantages of ETFs

While many investors have similar outlooks, no two are exactly alike. Due to the unique structure of ETFs, all types of investors, whether retail or institutional, long-term or short-term, can use it to their advantage without being at a disadvantage to others. They allow long-term investors to diversify their portfolio at one shot at low cost and insulate them from short-term trading activity due to the unique “in-kind” creation / redemption process. They provide liquidity for investors with a shorter-term horizon as they can trade intra-day and can have quotes near NAV during the course of trading day. As initial investment is low, retail investors find it simple and convenient to buy / sell. They facilitate FIIs, Institutions and Mutual Funds to have easy asset allocation, hedging, equitising cash at a low cost. They enable arbitrageurs to carry out arbitrage between the Cash and the Futures markets at low impact cost.

ETFs provide exposure to an index or a basket of securities that trade on the exchange like a single stock. They offer a number of advantages over traditional open-ended index funds as follows :

* While redemptions of Index fund units takes place at a fixed NAV price (usually end of day), ETFs offer the convenience of intra-day purchase and sale on the Exchange, to take advantage of the prevailing price, which is close to the actual NAV of the scheme at any point in time.

* They provide investors a fund that closely tracks the performance of an index throughout the day with the ability to buy/sell at any time, whereby trading opportunities that arise during a day may be better utilized.

* They are low cost.

* Unlike listed closed-ended funds, which trade at substantial premia or more frequently at discounts to NAV, ETFs are structured in a manner which allows Authorized Participants and Large Institutions to create new units and redeem outstanding units directly with the fund, thereby ensuring that ETFs trade close to their actual NAVs.

* ETFs are like any other index fund, wherein, subscription / redemption of units work on the concept of exchange with underlying securities instead of cash (for large deals).

* Since an ETF is listed on an Exchange, costs of distribution are much lower and the reach is wider. These savings in cost are passed on to the investors in the form of lower costs. Further, the structure helps reduce collection, disbursement and other processing charges.

* ETFs protect long-term investors from inflows and outflows of short-term investors. This is because the fund does not incur extra transaction cost for buying/selling the index shares due to frequent subscriptions and redemptions.

* Tracking error, which is divergence between the NAV of the ETF and the underlying Index, is generally observed to be low as compared to a normal index fund due to lower expenses and the unique in-kind creation / redemption process.

* ETFs are highly flexible and can be used as a tool for gaining instant exposure to the equity markets, equitising cash or for arbitraging between the cash and futures market.

The first ETF in India, “Nifty BeEs (Nifty Benchmark Exchange Traded Scheme) based on S&P CNX Nifty, was launched in January 2002 by Benchmark Mutual Fund. It may be bought and sold like any other stock on NSE. Its symbol on NSE is “NIFTYBEES”.

F.A.Q’s ETF (PART 1)

ETFs are just what their name implies: baskets of securities that are traded, like individual stocks, on an exchange. Unlike regular open-end mutual funds, ETFs can be bought and sold throughout the trading day like any stock.

Most ETFs charge lower annual expenses than index mutual funds. However, as with stocks, one must pay a brokerage to buy and sell ETF units, which can be a significant drawback for those who trade frequently or invest regular sums of money.

They first came into existence in the USA in 1993. It took several years for them to attract public interest. But once they did, the volumes took off with a vengeance. Over the last few years more than $120 billion (as on June 2002) is invested in about 230 ETFs. About 60% of trading volumes on the American Stock Exchange are from ETFs. The most popular ETFs are QQQs (Cubes) based on the Nasdaq-100 Index, SPDRs (Spiders) based on the S&P 500 Index, iSHARES based on MSCI Indices and TRAHK (Tracks) based on the Hang Seng Index. The average daily trading volume in QQQ is around 89 million shares.

Their passive nature is a necessity: the funds rely on an arbitrage mechanism to keep the prices at which they trade roughly in line with the net asset values of their underlying portfolios. For the mechanism to work, potential arbitragers need to have full, timely knowledge of a fund’s holdings.

In essence, ETFs trade like stocks and therefore offer a degree of flexibility unavailable with traditional mutual funds. Specifically, investors can trade ETFs throughout the trading day as in stocks. In comparison, in a traditional mutual fund, investors can purchase units only at the fund’s NAV, which is published at the end of each trading day. In fact, investors cannot purchase ETFs at the closing NAV. This difference gives rise to an important advantage of ETFs over traditional funds: ETFs are immediately tradable and consequently, the risk of price differential between the time of investment and time of trade is substantially less in the case of ETFs.

ETFs are cheaper than traditional mutual funds and index funds in terms of fees. However, while investing in an ETF, an investor pays a commission to the broker. The tracking error of ETFs is generally lower than traditional index funds due to the “in-kind” creation / redemption facility and the low expense ratio. This “in-kind” creation / redemption facility ensures that long-term investors do not suffer at the cost of short-term investor activity.

ETFs can be bought / sold through trading terminals anywhere across the country. Table No. 1 presents a comparative view ETFs vis-à-vis other funds.
ETFs Vs. Open Ended Funds Vs. Close Ended Funds

Parameter Open Ended Fund Closed Ended Fund Exchange Traded Fund

Fund Size Flexible Fixed Flexible

NAV Daily Daily Real Time

Liquidity ProviderFund itself Stock Market Stock Market / Fund itself
Sale Price At NAV plus load, Significant Premium Very close to actual NAV of Scheme
if any / Discount to NAV

Availability Fund itself Through Exchange where listedThrough Exchange where listed / Fund
itself.

Portfolio Disclosure Monthly Monthly Daily/Real-time

Uses Equitising cash – Equitising Cash, Hedging, Arbitrage

Intra-Day Trading Not possible Expensive Possible at low cost

Applications of ETFs

* Efficient Trading : ETFs provide investors a convenient way to gain market exposure viz. an index that trades like a stock. In comparison to a stock, an investment in an ETF index product provides a diversified exposure to the market. Depending on the index, investors may obtain exposure to countries/ markets or sectors.

* Equitising Cash : Investors with idle cash in their portfolios may want to invest in a product tied to a market benchmark like an index as a temporary investment before deciding which stocks to buy or waiting for the right price.

* Managing Cash Flows : Investment managers who see regular inflows and outflows may use ETFs because of their liquidity and their ability to represent the market.

* Diversifying Exposure : If an investor is not sure about which particular stock to buy but likes the overall sector, investing in shares tied to an index or basket of stocks provides diversified exposure and reduces stock specific risk.

* Filling Gaps : ETFs tied to a sector or industry may be used to gain exposure to new and important sectors. Such strategies may also be used to reduce an overweight or increase an underweight sector.

* Shorting or Hedging : Investors who have a negative view on a market segment or specific sector may want to establish a short position to capitalize on that view. ETFs may be sold short against long stock holdings as a hedge against a decline in the market or specific sector.

PMLA 20002 and Mutual Funds in India.(KYC Compliance for Mutual Funds)

The provisions of The Prevention of Money Laundering Act, 2002 (PMLA), has made it mandatory for all Mutual Funds to comply with the ‘Know Your Client’ (KYC) norms of the applicants desirous of subscribing to their ‘units’. In this regard, CVL has been mandated by the Mutual Fund industry to create the necessary infrastructure in order to handle the KYC on behalf of the Mutual Fund Industry. CVL is handling the work of “Customer profiling and Record Keeping” for issuance of Know Your Client (KYC) acknowledgement to mutual fund investors.

As a result, all applicants will now have to submit their PAN card copy (which serves as Proof of Identity (PoI)) and Proof of Address (PoA) only once to the designated Point of Service (PoS) centers spread across the country. After confirming the credentials of the investor, the PoS issues KYC acknowledgement letter that needs to be submitted along with the mutual fund investments.

Verify your status here

FAQ for KYC.

FAQ’s
Know-your-client (KYC) procedure – Frequently asked Questions (FAQ)
Guidelines issued by Securities and Exchange Board of India under The Prevention of Money Laundering Act, 2002 (“PMLA”) requires Mutual Funds to follow enhanced know your client (KYC) norms. This FAQ is only meant to clarify certain questions relating to enhanced KYC procedures. Please contact your distributor/ DSP Merrill Lynch Mutual Fund for further clarifications.

* What is KYC?
KYC is an acronym for “Know your Client”, a term commonly used for Client Identification Process. SEBI has prescribed certain requirements relating to KYC norms for Financial Institutions and Financial Intermediaries including Mutual Funds to ‘know’ their clients. This would be in the form of verification of identity and address, financial status, occupation and such other personal information. Applicant must be KYC compliant while investing with any SEBI registered Mutual Fund.

* What are the KYC requirements for a Mutual Fund Investor?
Individual investors will have to produce his Proof of identity (Photo PAN card copy or PAN card copy and copy of the passport, driving license etc ) and Proof of Address (any valid documents listed in section B of the KYC Application Form for Individuals). Non -Individual Investors will have to produce certain documents pertaining to its constitution/registration to fulfill the KYC process. A list of Mandatory Certified Documents to be submitted can be found in section C of the KYC application form for Non-Individual Investors.

* Where and how does one get to be KYC Compliant? Does the investor have to repeat the KYC process with every Mutual Fund?
The Association of Mutual Funds of India (AMFI) has facilitated a centralized platform through CDSL Ventures Limited (“CDSL”), a wholly owned subsidiary of Central Depository Services (India) Limited, to carry out the KYC procedure on behalf of all Mutual Funds. CVL through its Points of Service (POS) will accept KYC Application Forms, verify documents and provide the KYC Acknowledgement (across the counter on a best effort basis). The list of PoS will be displayed on the websites of Mutual Funds, CDSL and AMFI. Once the KYC is duly completed in all regards, the investor needs to produce a copy of the acknowledgement when investing for the first time with a Mutual Fund. There is no need to repeat the KYC process individually for each mutual fund.

* What is a KYC Application Form?
A KYC Application Form has been designed for Individual and Non-Individual Investors separately. These forms are available on the website of mutual funds, AMFI and Central Depository Services (India) Limited (CDSL). You may also approach your distributor for a form. It is important to read the instructions printed on the KYC Application Form while filling-up the form.

* Should the investor visit PoS personally to obtain KYC Compliance?
No. If the investor is not in a position to visit PoS personally, the KYC Application Form along with the necessary documents (including originals if the copies are not attested) can be sent through the distributor or representative, who can arrange to complete the KYC process and obtain the KYC Acknowledgement through any of the PoS.

* From what date is it mandatory for an investor to be KYC Compliant?
With effect from 01 February 2008, any investor investing Rs. 50,000 and above would be required to complete the KYC process.

* To whom is a KYC applicable? Is there any exemption?
Currently, all investors (Individuals or Non Individuals) who wish to make an investment of Rs. 50,000 or above in a mutual fund scheme will be required to complete the KYC process. This would also apply to new Systematic Investment Plan (SIP) registrations on or after 01 February 2008, if each SIP installment is of value greater than or equal to Rs.50,000. Please find the list of personnel who are required to be KYC compliant:

Joint Holders: Joint holders (including first, second and third if any, are required) to be individually KYC compliant before they can invest with any Mutual Fund. . e.g. in case of three joint holders, all holders need to be KYC compliant and copies of each holder’s KYC Acknowledgement must be attached to the investment application form with any Mutual Fund.

Minors: In case of investments in respect of a Minor, the Guardian should be KYC compliant and attach their KYC Acknowledgement while investing in the name of the minor. The Minor, upon attaining majority, should immediately apply for KYC compliance in his/her own Capacity and intimate the concerned Mutual Fund(s), in order to be able to transact Furthering his/her own capacity.

Power of Attorney (PoA) Holder: Investors desirous of investing through a PoA must note that The KYC compliance requirements are mandatory for both the PoA issuer (i.e. Investor) and the Attorney (i.e. the holder of PoA), both of whom should be KYC compliant in their independent Capacity and attach their respective KYC Acknowledgements while investing.

For transmission (IN case of death of the unite holder): If the deceased is the sole applicant, the claimant should submit his/her KYC Acknowledgement in the request along with the other relevant documents to effect the transmission in his/her favors.

* How does the investor transact in Mutual Fund after completing the KYC process?
Investors must attach their KYC Acknowledgement along with the Investment Application Form(s) / Transaction Slip(s) while investing for the first time in a mutual fund. Applications Forms / Transaction Slips not accompanied by KYC Acknowledgement are liable to be rejected by the Mutual Fund. If you do not obtain a KYC Acknowledgement, you will not be able to invest Rs. 50,000 or more in a mutual fund.

* In case of existing investors when and how will the KYC norms be introduced?
KYC norms are applicable to all investors. It is in the interest of all Investors to obtain KYC Acknowledgement and submit it to the Mutual Fund to avoid any inconvenience in future.

* Once an account is opened with a Mutual Fund by 1st, 2nd & 3rd holder by completing the necessary formalities and the investor’s return to make a fresh investment, do they need to furnish the necessary documents again?
Investors must attach their KYC Acknowledgement along with the Investment Application Form(s) / Transaction Slip(s) while investing for the first time in a Mutual Fund.

* What are the consequences of KYC cancellation/rejection?
In the event of any KYC Application Form being found deficient for lack of information / insufficiency of mandatory documentation, further investments of Rs 50,000 or more will not be permitted.

* Does the KYC Acknowledgement have an expiry date?
No. Once the KYC Acknowledgement is obtained and informed to a Mutual Fund, it will be registered against the folio and quoted in all future account statements. The same will exist in perpetuity, unless cancelled by CVL.

* What happens if I have multiple folios/ accounts with a Mutual Fund?
You can inform the Mutual Fund to update the KYC Acknowledgement against all the folios/accounts you have with it. However, each of the holders in these folios/accounts should be KYC Compliant.

* Is there a charge I need to pay to get myself KYC Compliant?
Currently, KYC is done free of cost.

* I am an NRI residing outside India. How do I get myself KYC Compliant?
The soft copy of these KYC forms will be made available on the website of all mutual funds, AMFI and Central Depository Services (India) Limited (CDSL). You may also approach your distributor for a form. The same duly completed along with the necessary attested documents can be submitted at the PoS or mailed to your representative or Distributor who can complete the KYC formalities for you.

* Are there any special requirements for an NRI?
Yes. In addition to the certified true copy of the passport, certified true copy of the overseas address and permanent address will also be required. If any of the documents (including attestations/ certifications) towards proof of identity or address is in a foreign language, they have to be translated to English for submission. The documents can be attested, by the Consulate office or overseas branches of scheduled commercial banks registered in India.

* Is there any special requirement for a PIO (Person of Indian Origin)?
The requirements applicable to an NRI will also apply to a PIO. However, additionally, he will need to submit a certified true copy of the PIO Card.

* What about Minor becoming Major?
Upon a Minor attaining the age of majority (i.e. on completing 18 years of age), he/she must be KYC Compliant and have KYC Acknowledgement of their own. The same should be informed to the Mutual Fund where he/she holds an investment, along with other details such as the Bank Details, Signature, etc as per the present requirements of such Mutual Fund.

* Whom do I inform about change of Name/Address/Status/Signature etc?
You should intimate your change of Name/Address/Status/Signature etc to any convenient PoS. You need to quote your PAN and submit proof (in case of new address). You should provide for at least 10 days for the change of address to take effect with all the Mutual Funds with whom you are invested. Please note that you should not write to the Mutual Fund or its Registrar for the change of address (unless as a designated PoS). The specified form can be obtained from the AMFI/Mutual Fund/CDSL website. All details of the holders in the Mutual Fund records will be replaced by the address details available in the CVL record.

* If I am already providing my PAN/PAN Proof for my investment in Mutual Fund. Is that not sufficient for meeting the requirement of KYC?
The requirement of providing your PAN along with proof is sufficient for proof of identity. However, the current requirement for KYC requires the mutual fund to verify identity, address as well as obtain further information about the investor.

* Why do I need to give my Income details? How can I be sure that it will not be misused?
As per PMLA, it is mandatory for Mutual Funds to obtain financial status details from its investors. It is for this reason that the Income details are sought. Please note that no proof / income documents are required. The information given you in the KYC Application form will be treated in a confidential manner and used for regulatory purposes if called for.

* Do I need to inform about my change of Income status?
Yes. If you find an increased/decrease in your income, which would effectively, changed the income bracket that you have declared in the KYC Application form, you should apply to any convenient PoS in the specified form. No proof is needed.

* Can an investor give a COA (Change of Address) along with redemption request?
Redemption request is given to the investor service centre while the change of address (if KYC process has been previously completed) has to be given to a PoS. The change of address will be effected by CVL and informed to the Mutual Funds. As it will take 10 days for this process to be completed, the redemption transaction accompanied by a change of address request is likely to be processed without effecting the change of address request.

* Is the KYC Acknowledgement a separate form or is it a part of the Mutual Fund application. Which of the forms require being time-stamped?
KYC Acknowledgement is a separate form. Time stamping is not required on the KYC Acknowledgement.

* What do I do once I have received my KYC Acknowledgement?
Once the investor is KYC compliant, it will be required to intimate his KYC details to all the g Mutual Funds with whom it has investments by quoting the folio numbers. The same will be updated in the records of the Mutual Fund.

* What if I have already obtained a MIN?
Scenario 1
If the MIN was obtained by submitting the PAN, the MIN Acknowledgement can be enclosed along with the Investment Application Form(s) / Transaction Slip(s) while investing for the first time in a Mutual Fund, as the PAN number will be stated on the said acknowledgement.

Scenario 2
If the MIN was obtained without submitting the PAN but with other proof identity documents, the investor needs to carry the PAN card in original and a copy for submission at the PoS. For such cases, CVL will send out a communication to the respective investors requesting them to submit the PAN for KYC compliance.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Five easy steps to investing in Mutual Funds:

Search:
Where to look for if you want to begin saving in mutual funds

Mutual funds are much like any other product, in that there are manufacturers who provide the product and there are dealers who sell them.
Large banks to organized brokerage houses to Individual Financial agents get empanelled with Mutual Funds to provide advise and assistance to customers who want to buy units. Mutual funds units can now also be bought over the Internet
Contacting an Investment advisor in a bank or a brokerage house or an Independent Financial Advisor is the first step to gathering information.
Evaluation:
choosing the right mutual fund for you

Each Mutual fund offers a variety of schemes to suit differing needs of investors. The Bank/ Brokerage house/ Individual Financial Advisor helps you make the choice based on your needs.
As an investor one may
a) for the short term or long term want to invest
b) want regular income or growth
c) want to target lower risk or higher returns
d) be convinced of a particular sector and want to invest in it
Remember, just like a salesman in a gift shop, your investment advisor can help you the most if he knows what you are looking for.

Purchase

After you have decided to save, you may have to decide among the various investment and withdrawal options that any fund offers to its investors.
Most of these schemes also offer various options to customize your operation of the fund to your needs:

Systematic Investment Plan (SIP):
Allows you to save a part of your income regularly. Also used to reduce risk when investing in schemes targeting aggressive growth.
Systematic Withdrawal Plan (SWP):
Allows you to withdraw a part of your investment regularly. Used when you want to withdraw your investment for a specific regular payment, like insurance premium payments of monthly/quarterly frequency.
Automatic debit:
Saves the hassle of writing a cheque when making an investment. Your account is debited automatically for the amount invested.
Automatic credit:
The reverse of Automatic Debit. Saves the hassle of enchasing a cheque when withdrawing an investment. Your account is credited automatically with the amount withdrawn.
Dividend plan:
Allows you to get Tax-free dividends from your investment. (As per current Tax laws).
Growth plan:
Allows the income generated from investment to be ploughed back into the scheme. Used by investor targeting growth in their investment.
Some funds carry an entry load, which is a percentage fee deducted from the amount invested before investment. Thus a 2.5% entry load will mean that if you invest Rs 1 lakh in a Rs. 10 per unit IPO, instead of getting 10,000 units, you will be allotted 9,750 units. Check for presence of such loads and other conditions before investing.
After deciding the choice of mutual fund, investment and withdrawal, you are ready to begin your savings. You need to now fill up an application form and attach a cheque of the value of your investment or mention your account number to have it automatically debited from your account.

Post Purchase Monitoring

Once you have invested in an ongoing fund, expect a period of two to three days before you receive an account statement on the address mentioned by you in your application form.

The Account Statement

Your account statement indicates your current holding in the scheme that you have invested. Please ensure that all your details have been correctly captured in account statement. Please point out any discrepancies to your nearest CAMS investor Service Centre or the Mutual Fund office. You can request an account statement any time by calling up your nearest CAMS/ Mutual fund offices usually mentioned on the back of the account statement.
The transaction slip at the end of the account statement can be used for additional purchases, redemptions or to intimate the mutual fund on any change in bank mandates/address.
The NAVs of all the open-ended schemes are published at the fund’s website, financial newspapers and AMFI (Association of Mutual Funds) web-site http://www.amfiindia.com/.

Exit

While you should periodically monitor the performance of your investments, we recommend you do not get swayed by short term considerations in deciding your exit. If you have invested in a long term fund, you can spare yourself undue worries by not monitoring the NAV every day or week. Checking the performance once in a while along with your advisor should be fine.
Most mutual funds will provide you with a toll free number that works from 9 am to 5 am and a website. For specific assistance you can also use your financial advisors help.

Redemption/ Withdrawal

Just submit your completed transaction within the transacted time for the scheme that you are invested in and deposit the same at the nearest CAMS Investor Service Centre or the office of the fund. You can either get a direct credit to your bank account or you can generally collect the cheque at the CAMS Investor Service Centre/ AMC offices. If you fail to do so then the cheque is couriered to the address mentioned in your account statement. Most funds take 1-3 days to credit your account with your redemption proceeds.

In case an exit load is applicable to your withdrawal and you have redeemed a fixed amount, an additional number of units equivalent to the exit load amount will be liquidated from your investment. You can check this amount with the mentioned exit load when you get the account statement using a simple calculator.

Systematic Investment Plan( SIP)

The importance of Systematic Investment Pan.
The strategy and/or plan of investing at regular intervals is just as applicable to mutual funds as it is to common stock. Establishing such a plan can substantially reduce your long-term market risk and result in a higher net worth over a period of ten years or more.

A Technique that Drastically Reduces Market Risk

Systematic Investment Plan is a technique designed to reduce market risk through the systematic purchase of securities at predetermined intervals and set amounts. Many successful investors already practice without realizing it. Many others could save themselves a lot of time, effort and money by beginning a plan. In this article, you will learn the three steps to beginning a Systematic Investment Plan plan, look at concrete examples of how it can lower an investor’s cost basis, and discover how it reduces risk.

Systematic Investment Plan: What is It?

Instead of investing assets in a lump sum, the investor works his way into a position by slowly buying smaller amounts over a longer period of time.

This spreads the cost basis out over several years, providing insulation against changes in market price.

Setting Up Your Own Systematic Investment Plan Plan
In order to begin a Systematic Investment Plan plan, you must do three things:

Decide exactly how much money you can invest each month. Make certain that you are financially capable of keeping the amount consistent; otherwise the plan will not be as effective.
Select an investment (index funds are particularly appropriate, but we will get to that in a moment) that you want to hold for the long term, preferably five to ten years or longer.
At regular intervals (weekly, monthly or quarterly works best), invest that money into the security you’ve chosen. If your broker offers it, set up an automatic withdrawal plan so the process becomes automated.
An Example of a Systematic Investment Plan Plan
You have Rs15,000 you want to invest in XYZ Stock common stock. The date is January 1, 2000. You have two options: you can invest the money as a lump sum now, walk away and forget about it, or you can set up a Systematic Investment Plan plan and ease your way into the stock. You opt for the latter and decide to invest Rs1,250 each quarter for three years. (See chart for math of Systematic Investment Plan plan.)

Had you invested your Rs15,000 in January 2000, you would have purchased 264.46 shares at Rs56.72 each. When the stock closed for the year in December of 2002 at Rs13.69, your holdings would only be worth Rs3,620!

Had you Systematically Invested (thru SIP) into the stock over the past three years, however, you would own 746.21 shares; at the closing price, this gives your holdings a market value of Rs10,216. Although still a loss, XYZ Stock must only go up to Rs20.10 for you to break even, not Rs56.72, which would have been required without the Systematic Investment Plan.

To go a step further, without Systematic Investment Plan you would break even at Rs56.72. With Systematic Investment Plan, you would have turned a profit of Rs27,326 when the stock hit that price thanks to your lower cost basis (Rs56.72 sell price – Rs20.10 average cost basis = Rs36.62 profit x 746.21 shares = Rs27,326 total profit.)

Combining the Power of Systematic Investment Plan with the Diversification of a Mutual Fund
Index funds are passively managed mutual funds that are designed to mimic the returns of benchmarks such as the S&P 500, the Dow Jones Industrial Average, etc. An investor that puts money into a fund designed to mimic the Wilshire 5000, for example, is literally going to own a fractional interest in every one of the five thousand stocks that make up that index. This instant diversification comes with the added bonus. Traditionally, management fees of passive funds are less than one-tenth those of their actively managed counterparts. Over the course of a decade, for example, this can add up to tens of thousands of Rupees the investor would have paid in fees to the mutual fund company that, instead, are accruing to his or her benefit.

The Systematic Investment Plan component reduces market risk, while the index fund investment reduces company-specific risk. This combination can be among the best investment options for Rs individuals looking to build up their long term wealth by having a portion of their portfolio in equities.

Table 1: XYZ Stock with Systematic Investment Plan Plan
Invest date Amount Price per share Shares purchased
Jan. 2000 Rs 1,250 Rs 56.72 22.04
Apr. 2000 Rs 1,250 Rs 54.19 23.07
Jul. 2000 Rs 1,250 Rs 31.34 39.27
Oct. 2000 Rs 1,250 Rs 22.60 53.31
Jan. 2001 Rs 1,250 Rs 22.10 56.50
Apr. 2001 Rs 1,250 Rs 19.05 65.62
Oct. 2001 Rs 1,250 Rs 18.13 68.95
Jan. 2002 Rs 1,250 Rs 16.14 77.45
Apr. 2002 Rs 1,250 Rs 14.58 85.73
Jul. 2002 Rs1,250 Rs 8.66 144.34
Oct. 2002 Rs1,250 Rs11.64 107.39
Total Rs15,000 Rs20.10 avg. 746.21 sharesowned.

Islamic Mutual Funds.

Get to know some interesting aspects of Islamic  guidelines. I am not a  subject matter expert, however as  part of continuous education for self, clients, other beneficiaries i shall try and explore the world of this novel way of managing money.

Under the Islamic law a person (Following principles of Islam religion) is basically not allowed to charge interest for the money he lends. The money  which is  given to someone should be for a noble cause. It should comprise of not being used for purposes which are restricted under its laws. Accordingly it should not be invested in business which are in feilds of liquor, gambling and pornography.

Basically many religions across the world prohibit such business and investments in them. In fact many religions in India such as Jainism also prohibit such investments. However what differs is the degree of adherence to such guidelines. Many Jains are involved in the Equity and Bond markets.

More details to follow.Check this place for more on this topic.

Are Equity funds suitable for Elder People?

SHOULD YOUR GRANDFATHER INVEST IN EQUITY SCHEMES. THE ANSWER SHOULD BE A BIG NO.ELDERLY PEOPLE SHOULD TYPICALLY STAY AWAY FROM EQUITY SCHEMES SINCE THEIR RISK PROFILE SHOULD SPECIFICALLY EXCLUDE SUCH SCHEMES.

Slew of Tax Saving Funds ELSS NFO’s in recent months.

As all of us know huge number of AMC’s (Asset Mgmt Companies) are out with Tax Saving Funds (ELSS) NFO’s.
The obvious reasons are that Nov-Dec are the months people think about taxes.
As well that the recent run up in the markets have given them even more reasons to cheer and make money out of gullible retail investors.
DSP Merill Lynch
HSBC
Lotus India MF etc.

These are some of the AMC who are under the disguise of offering a complete product range have brought these new funds.

As SEBI has now made it mandatory for fund houses to give a clear reason and purpose of the fund before going for a new fund.
Now the fund managers cannot make a fool of gullible investor by launching a similar fund which it already, has under a fancy new name(much like old wine in new bottle).

DSP Merill Lynch recently have shown a better performamce compared to its past for equity schemes.
HSBC has however very few products to offer and is relatively a new fund house. Not all of its schemes are doing a decent job as far as equity schemes are concerned.
Lotus India has struggled the most of above. Its perhaphs does not even know who are its own fund manager and how long will they stay with the fund house. After a high profile launch and a good team to start the operations. Its has lost its way. I wont be surprised if the current manager quits before the fund completes the mop-up from the market.

Moral of the story is stay away from these NFO and put your precious and hard earned money in safe and time tested schemes like HDFC, SBI, PRINCIPAL etc. who have a longer history or a longer base to start of with.

Also a new investor need not pay high NFO fees which will get ammortised over coming years for these NFO.