A mutual fund statement is pretty much like your bank account statement. It is a complete summary of your mutual fund investments. While formats and layouts may vary across fund houses, the basic components remain the same.
The account statement is emailed to you occasionally or you can download the same from the respective Asset Management Company's (AMC) website. You will have to go to the AMC (mutual fund company) website and register yourself if you have made investments from other aggregators. It is important to know that in spite of making investments from any source, you can always access the same on their website and sell/buy more from there.
The account statement looks like this:
1. Keep a record of your folio number. It is your reference number for the investment made. Each time you make an additional investment in an AMC, ensure that the folio number is the same. This will make it easier to track all your fund investments with a particular fund house. If you don't use the same folio number, you will have many folio numbers over time and this will make tracking your investments difficult.
2. Ensure that the name of the bank and the account number are correct to avoid facing problems at the time of redemption.
3. Make sure you are KYC compliant and have made your FATCA declaration. FATCA is a US law and as per an India-US treaty, Indian fund investors have to declare if they are US citizens or not.
4. If you have invested through an agent, his/her name code and EUIN number will appear in the account statement. Take a note of it.
5. See your transaction summary. This section mentions the types of transactions that you have opted for, which also include purchase, SIPs, SWPs, etc.
6. Check the NAV date on your account statement. If you invest before 12 pm, then same days NAV is used, if you invest around 3 pm, it is possible that your investments would be made on the following date. Hence, you must verify the same.
6. Understand your load structure. It gives you details about the entry and exit cost of your investment.
A fund statement is generated within two to three days of your investment in a particular scheme. You receive it within seven to ten working days if you have opted for a physical copy or in three to four working days on your registered email address. If you have not received one, you can always get in touch with the AMC that is managing your fund.
Wealth Cafe Actionable - You should verify your account statements after you have made investments. It is prudent practice to save the same regularly for any future reference.