Ease Of Mutual Fund Operation: Keep Your Email, Mobile Updated

There is quite a bit of concern among investors with respect to completion of Know Your Client, or KYC, norms as mutual fund Registrars and Transfer Agents, or RTAs, send across missives regarding its compliance.

While gathering and submitting these details is one aspect there are a lot of investors who have no idea that there is something missing and it needs their attention due to lack of details.

The presence of an email and a mobile number that is linked to the mutual fund investment becomes a very important thing that will keep the communication flowing.

Ensuring that the various documents related to the KYC process is submitted to the registrars of the mutual fund is crucial so that the system shows that this is updated. If this is not the case then there are chances that the individual will not be able to transact in their funds.

Another point that has arisen in recent times is the type of documents that were used for the KYC process. Some of the documents that were earlier accepted for KYC no longer count so if these were submitted then there are chances that the investor could be asked to do the KYC again. This can be frustrating for a lot of people as there seems to be no end to the entire process and the rules also keep changing multiple times.

One of the most important part of the entire details that need to be given is a valid email ID.

The email ID ensures that if there is any communication related to the mutual fund then this can be done through it. For example there are several places where if one wants to transact in the mutual fund online then an OTP will be sent to the investor. This comes on the email ID too so the investor can access this from their mail and then enter it so that they are able to transact.

Account statements after any transaction has been undertaken are sent to the email ID and the investor can then access this by opening the statement. This also means that the email ID submitted should be one that is being used. Otherwise, there is no meaning to the process especially if the mails go unread and ignored.

The other communication tool for the mutual fund for any transactions being done by the investor is the mobile number of the investor.

The various intimations related to the transactions normally come to the mobile number. So if there is anything that needs to be conveyed to the investor then there it is likely to be sent on the mobile number. Now a lot of funds also use the facility of Whatsapp for the purpose of communication and this will be done using the mobile number that is registered with them. Mobile numbers might not be registered for old folios that were opened a long time ago as there was no such requirement at that point of time. This can be easily rectified by updating the details with the mutual fund.

One small thing that the investor should not forget is that it is not enough that the mobile number and email ID is mentioned with the mutual fund.

Both these details need to be verified and then it will be considered to be updated with the mutual fund in their records. The process of verification would require that an OTP that is sent to these two areas is then entered and when this is completed then it would said to be verified.

This verification ensures that the email and the mobile number are active and that they are getting the necessary communications

Arnav Pandya is founder of Moneyeduschool