In yesterdays announcement, NSDL has now made it easy to buy and sell Mutual Funds online which is exactly in the same way do for Stocks now. You can either buy the MF using your demat account or do it via the stock broker after filling up the registration form.
To convert your existing mutual fund units into by filling up a simple form. Below are the steps :
- Find if your Mutual Fund is in this list
- Then Obtain Conversion Request Form (CRF) from your DP. ( DP here means depository participant )
- Fill-up the CRF and submit the CRF along with the Statement of Account to your DP.
- After due verification, the DP would sent the CRF and Statement of Account to the Asset Management Company (AMC) / Registrar and Transfer Agent (RTA).
- The AMC / RTA will after due verification confirm the conversion request sent by your DP and credit the mutual fund units in your demat account.
How to redeem your MF Stocks :
There are two ways of doing it. First is through the stock exchange if your broker provides the service. You will have to submit the delivery instruction slip to the DP to transfer the Mutual fund units like you have been doing it for stocks.
Second way is directly through your DP by submitting Repurchase Request Form (RF) which will be verified and DP will send the RF to the AMC / RTA. Then they will verify the form and confirm the redemption request and make the payment as per your bank account details available in the depository system.
So no more lot of forms to be filled and wait for them to get verified etc etc. This will speed up the process of buying MF even more and there is no hassle to even sell it.