Technicalities you should know about Mutual Funds

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James Barber
5 years ago
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1 Technicalities you should know about Mutual Funds An Investor Education & Awareness Initiative By Franklin Templeton Mutual Fund

2 Process of Investing in a Mutual Fund 1 Refer Key Information Memorandum (KIM) to know your fund details 2 Fill a Mutual Fund Application form 3 Get your KYC done and attach a Copy of Your KYC and PAN Card 4 You can approach a Mutual Fund Distributor or Invest through your Broker using your Demat A/c 5 You can even Invest through Online Mode Submit Application Form to official 6 Point of Acceptance (POA) 7 Collect Acknowledgement Slip 1

3 What You Get After Investing in Mutual Fund Folio Number Allotment of Units Statement of Account 2

Things to Consider While Transacting in a Mutual Fund Scheme While Buying Fresh Purchase or Additional Purchase in a Mutual Fund Scheme Lump sum or SIP in a Mutual Fund scheme You can pay through

4 Things to Consider While Transacting in a Mutual Fund Scheme While Buying Fresh Purchase or Additional Purchase in a Mutual Fund Scheme Lump sum or SIP in a Mutual Fund scheme You can pay through Cheque / DD / ECS Submit Investment form to POA before Cut-off Time Collect Acknowledgement Slip While Selling Check Folio Number and Scheme Name Mention the No. of Units or Amount you wish to Redeem Signature of the Unit Holders should be as per the Mode of Holding Check Bank Details for Payment of Sales Proceeds Submit Redemption form to the POA before Cut off Time Collect Acknowledgement Slip 3

Check Funds performance Refer Quantitative Indicators Consider Fund NAV

5 How to keep a Track of Your Mutual Fund Scheme Refer Monthly Fact sheets Track Fund Manager details Check Holdings in Schemes Investment Portfolio Check Funds performance Refer Quantitative Indicators Consider Fund NAV for Your Portfolio Valuation ReferExit Load Period Fund Expenses can be Crucial 4

Nominate any person as a Nominee for all Your Investments.

6 Some Key Take Aways Key Information Memorandum (KIM) can help you know your scheme better You need to get your KYC done Mention correct Scheme Name, Plan and Options of the scheme you wish to Invest in You should mention your Bank Account detailscorrectly Nominate any person as a Nominee for all Your Investments. An exclusive Folio Number will be created for your Investment with the Mutual Fund Post Investment,Mutual Funds allot Units and Issue a Statement of Account Submit Investment or Redemption form to POA before Cut-off Time 5

7 Some Key Take Aways Monthly Fact Sheets published by Mutual Fund houses reflect the latest details about your Mutual Fund Scheme Compare Your Schemes Performance vis-à-vis its Benchmark Index and its Comparable Category Peers. NAV reflects the Value of each Unit of your Mutual Fund Scheme Exiting before the end of Exit Period may be an Added Cost on Your Investment The Expenses Incurred by the Mutual Fund Schemes are Indirectly borne by the Investors 6

8 We now invite you to test your learning bytaking up this simple quiz (And win exciting prizes!) 7

10 Quick Quiz 1) reflects the value of each unit of your mutual fund scheme. A. Fact Sheet B. NAV C. Expense Ratio D. Portfolio 2) KYC is an important document required to invest in a mutual fund. A. True B. False 3) Your investment process in a mutual fund will be complete once your application form is submitted to the. A. Fund Manager B. Distributor C. Official Point of Acceptance D. Investor 9

11 Quick Quiz 4) Which one of the following document is required for investment in the name of a minor? A. Photograph B. School Leaving Certificate C. Child s Birth Certificate D. Mark sheet 5) Mutual funds issuea Certificate for your investment in the scheme. A. True B. False 10

13 Franklin Templeton Asset Management (India) Pvt. Ltd. Indiabulls Finance Centre, Tower 2, 12 th and 13 th floor, Senapati Bapat Marg, Elphinstone (W) Mumbai Tel (91-22) Fax (91-22) Caveat (Arial Narrow 10pt.) 2014 Franklin Templeton Investments. All rights reserved. FTI PPT 4:3 01/14

Analysing Risk Return and Performance of Mutual Funds

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