How to read mutual fund statement? | Value Research How to read mutual fund account statement: Read on to know the things to look for in a mutual fund statement. Doing so will make your life easy while managing your investment. And also when you exit it.
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Eight things to look for in your mutual fund statement

Doing so will make your life easy while managing your investment. And also when you exit it.

Just like a bank statement helps you keep track of all your debits and credits, a mutual fund statement contains a complete summary of your investment. Basically, the fund statement enables you to review your investment from time to time.

Given its importance, let's first understand how to get your fund statement.

You can request a fund statement from the fund house for any period of your choice. The fund statement contains a host of information. You can see the image below to get a sense of what a typical fund statement looks like. This can be fetched at any time from your AMC's website.

What's an AMC? AMC is the fund house that is operating and managing your investment. In the image below, ICICI Prudential is the AMC.

What to look for in a fund statement

While formats and layouts may vary across fund houses, the basic components remain the same.

Here are certain things you should keep in mind as you go through this statement:

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. Your personal details. This section contains your full name, correspondence address, contact number, email address, date of birth, and investor category, i.e., single investor or joint investor. This section also contains your PAN. Make sure all the information is correct.

3. Check your bank details. This section will include your bank account number, name of the bank and IFSC code. Ensure the name of the bank and the account number are correct to avoid facing problems at the time of exiting the investment.

4. 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.

5. 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.

6. IMPORTANT: Check your nominee details. A nominee is someone who you have assigned to claim your mutual fund investment in the event of your death. The section on nomination will highlight whether you have or have not selected a nominee.

In case you have not added a nominee, make sure you do that at the earliest. Having a nominee enables smooth transmission of assets in the case of an unfortunate event.

Without nomination, only the investor's legal heir(s) can have a claim after proving their legal heirship, which can be a tedious process.

7. See your transaction summary. This section displays information about your transactions such as amount invested, number of units and current value of your investments.

8. Understand your load structure. It gives you details about the entry and exit cost of your investment. However, do note that the exit load applicable on your redemption is the one that prevailed at the time of making the investment and not the current exit load structure of the fund.

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.


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