Mutual fund in demat form

I don't quite understand the expenses of mutual funds. A specific amount is being transferred to my bank account by my DP but the details are not shown anywhere. How to check these details?
-B Vijaya Gopal

It seems that you hold mutual funds in demat form. If you opt for a demat holding of your MF investments, there is a cost attached to demat transactions which differs for each depositary participant (DP). Generally sales of units would involve a charge of approximately Rs 20 per transaction. The demat route has brokerage costs as well. The broker charges his normal commission at the time of purchasing or selling MF units (generally 0.30 -0.40%) of the value of units bought or sold. These information will be mentioned on your demat contract. You can contact your DP to get detailed information about these charges.

To avoid these cost you can directly invest through the fund house or the R&T agents.

This article was originally published on April 03, 2017.