Contents
Overview of Folio Number
A folio number is a connected concept in the dictionary of Mutual Funds. Like a bank account number, it is a solitary number to identify your holdings with the particular mutual fund. The unique number differs from fund house to fund house. Only an existing investor is considered to have a folio number, not the new ones. While filling the form, a new investor should ignore the column of folio number because only after making the investment, he will be allotted one. By using the same folio number within the same Mutual Fund an investor can make multiple purchases. This saves a lot of inconvenience for tracking your investments in the long run.
A folio number may be asked by the fund house from an investor to ensure the accuracy of the investor. It is always present in the account statements provided to the investor along with other details. The number is also very beneficial for mutual funds since it helps them maintain a credible record system of every investor.
A mutual fund folio number provides each mutual fund investor of a specific AMC, a unique identity. It can be used by the mutual fund investor to track his investments, update his personal information, and access any information related to the purchase of the mutual fund, at any time whatsoever. It is essential to ensure that an accurate record-keeping system is in place.
Mutual fund folio number is essential for both, the mutual fund investor and a mutual fund company.
It helps the AMC in maintaining and updating time to time, credible records and information about the mutual fund investor. It serves as an identity for each investor in a specific scheme or investors in multiple schemes of an AMC.
Multiple Folio Numbers
Whenever an investor invests in any particular scheme of an AMCs, he/she is automatically assigned a mutual fund folio number. Thereafter any subsequent purchase of the same or a different scheme by the same mutual fund company can be represented by the same folio number.
However, mutual fund investors must note that it is not compulsory to use the same number while investing in the same or a different mutual fund scheme of the same asset management company.
In case an existing mutual fund investor wants to invest in the latest scheme of a different mutual fund company, the same or existing number cannot be used. A new number shall be automatically assigned to the investor while investing in a new scheme of a different AMC.
The relevance of folio number to investors
A mutual fund statement is beneficial because it gives an outline of your investment trail in that fund. Similar to how a bank account statement displays every transaction you do. Hence, this Number is an integral component of your mutual fund statement. You must have surety that this number is the same every time you invest. Using the same Folio will make it simple for you to run your investments with the same AMC. They must email a statement to you within 2-3 days after investing, and a hard copy in 7-10 days.
Advantages of Folio Number
- It’s the easiest way to check an investor’s track record
- It can trace funds deposited by the investor in different funds
- It can detect transaction history and investor’s contact info
- Assist investment statements for any periods using the folio number
- Use this number to get a list of your units with the AMC immediately
- It can protect you from future KYC processes with the same fund house
- Besides saving investors the hassle of noting hundreds of account numbers in phone or diary, it helps to transact from anywhere anytime
- It helps the AMC to check the authenticity of the unit holder
Benefits Of Folio Number
- A folio number may be asked by the fund house from an investor to ensure the accuracy of the investor.
- Like a bank account number, this number can be used as a way to specifically identify fund investors and keep records of items. Such as how much money each investor has placed with the fund, their history of the transaction, and contact details.
- The concept of this number is very beneficial to the fund house as it helps them maintain a credible record system for every investor.
- An investor can make multiple purchases across asset class and funds using the same folio number within the same fund house. This protects an investor from having different folio for each fund he/she is invested in and also allows the investor to easily track his/her Mutual fund portfolio on a regular basis.
Process of obtaining Folio Number
Earlier, checking the mutual fund statement was the single way to find folio. Therefore, if the statement got lost or damaged, investors went through a lot of problems in obtaining a new one. But not anymore. There are several and easy ways to find or recover your folio as shown in the table.
| Consolidated Account Statements (CAS) | App or Website of the AMC | Mutual Fund Statements |
|---|---|---|
| Like bank issues passbook for savings or salary accounts | You can make your fund transactions app-based or online | Fund house gives it to investors at the time of purchasing the fund |
| They issue it monthly for free but there will be additional charges for other statement requests | Both the app and online portal are commission-free | AMC charges requests for new copies accordingly |
| Reflects info about the entire scheme including folio | Folio is available on every e-statement | You will receive the folio number as email and SMS |
It can be useful to Keep your folio number saved with you at all times. This will grant you access to check on your fund performance and make decisions at any time. Therefore, if you haven’t examined mutual funds as a good investment option, now is the time. Wealthbucket Save is a convenient option as we have hand-picked best-performing funds from India’s top AMCs. Start investing.
Conclusion
A mutual fund folio number is similar to a bank account number. It is accordingly allotted to each mutual fund investor upon purchase. Each scheme purchased under a different fund house attracts a new folio number.
A folio number assists the purpose of organized record-keeping for both the asset management company and the mutual fund investor. One may go through the scheme details, transaction history, and details, contact details via the mutual fund folio number.
Understanding a folio number is quite a daunting task. You can visit our website WealthBucket, our experts will advise and guide you very well regarding any issue. Moreover, we offer all services related to investing in Mutual Funds, whether they are Multi-Cap Mutual Funds, Large Cap Mutual Funds or Small Cap Mutual Funds.
For any queries related to Mutual Funds, call at +91 8750005655. You can email at contact@wealthbucket.in.
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