How to invest in Mutual Funds online
Nowadays, everything happens online. You get things done at the click of a button. Why should your mutual fund investments be any different? Besides, mutual fund investment is a great option for everyone.
Why you should buy mutual funds online
- Cost-effective: All services on online mutual fund platforms are free of charge. Cut through the cost of brokerage fees and other commissions involved in the offline mode.
- No paperwork: Minimise your paperwork and documentation when you apply for mutual funds online. Just quickly submit some personal details along with copies of your PAN card.
- Fast and convenient: The online mutual fund platform is available at your fingertips round the clock. View your portfolio and make necessary changes at a click of a button.
- Safe and secure transactions: Undertake all your transactions seamlessly. Use your Demat account or link your bank account to the investment account with ease.
- You decide: Make your own decisions without the help of any advisors. Do your own research and take informed decisions through the online mutual fund platforms.
How to buy mutual funds online
Buying mutual funds is no longer difficult. Here is a quick guide on how to invest in mutual funds online.
1. Websites of asset management companies
Why depend on middlemen and agents to invest in mutual funds? Be your own boss and buy it online.
- Head to the company’s website.
- Select the scheme of your choice.
- Download the scheme form from the website and fill in accurate details.
- Submit it along with documentation proof like a PAN card photocopy and Know your Customer (KYC) forms.
- Apply for a PIN to undertake safe and secure transactions. You need to remember your PIN to sell or switch funds.
- Once you apply, you get a folio number for your mutual fund investment.
- No charges are levied when you apply for mutual funds online through your fund house.
- Make payments through your bank’s net banking system. Link your bank account with your fund house and make payments with ease
2. Online brokerage
Online brokerages also provide an option to buy mutual funds online.
- Log on to your broker’s online portal. Select a mutual fund investment scheme of your preference. Most brokers are linked to the NSE and BSE mutual fund exchanges.
- You need to hold a Demat account if you want to buy equities. If you do not have one, the brokerage will set up a Demat account for you.
- Opt for a lump sum investment or systematic investment programme.
- Map your existing mutual fund investments with your investment account.
3. Independent online portals and intermediaries
You can also buy mutual funds from other sources. Look at banks, finance companies like Bajaj Finserv, and financial advisors.
- Open an online account with your chosen provider.
- Fill a generic form online with accurate details.
- Submit it along with a copy of your PAN card and KYC acknowledgment.
- Buy mutual fund schemes from different fund houses and asset management companies. Compare different options before making your choice.
- There is no cost involved. Most of the independent portals have tie-ups with leading banks to ensure a seamless payment process.
- Keep track of your holdings, and follow the in-house research and analysis news. This can help you build a successful portfolio.
When in doubt about how to buy mutual funds, just check online. Buying mutual funds online is easy. Besides, you get so many options as well.
Independent online portals are slowly on the rise. But most fund houses already have their individual transaction portals. Moreover, online brokerages also welcome mutual fund investment online. Just make sure to invest in the right scheme when you shop online.