Need advise on how to start with Investing in SIPs

Q & A Forum › Category: Mutual Funds › Need advise on how to start with Investing in SIPs

illi asked 9 years ago

I hold a DEMAT account with axis bank. should i invest in MFs through this bank demat account or directly with MF company online? also if, the maturity date of SIPs is over and what happens if do not redeem the SIPS immediately? when can we redeem them- as we like or any time frame for open ended schemes?

2 Answers

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Sreekanth Staff answered 9 years ago

Hi, Kindly note that Demat account is not mandatory to hold MF investments. If you are comfortable doing online investments, you may consider investing in Direct plans of MF schemes through MF utility platform. Read: What are Direct plans? Direct plans Vs Regular plans of MFs MF Utility platform. After the expiry of SIP tenure, you can either renew it or can hold the units of open ended schemes as long as you would like to.

illi replied 9 years ago

Dear Srikanth,
Thanks for the reply. i appreciate . i also would like to know the difference between (or benefits) of starting /registering with MF utility vs registering with CAMS for all my MF investment requirements. Both platforms seem to offer the same ! i am confused. Thanks again!

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Sreekanth Staff answered 9 years ago

Hi, MFU is mutual fund industry sponsored platform. It is fairly new platform when compared to CAMS, which is a pvt service provider. Both platforms do offer Direct plans option.