What is a Mutual Fund?

A Mutual Fund is a pool of money contributed by a number of people to invest in stocks, bonds and other financial assets. Each investor owns shares (‘units’) which represent a portion of the holdings of the fund.

Why should I invest in Mutual Funds?

Mutual Funds offer a simple solution for the small investor. 

When you put your money into a fund, it is pooled with money from other investors to create much more buying power than you would have on your own.

Secondly, investment professionals agree that it’s smarter to own a variety of stocks and bonds than to gamble on the success of a few. But, for an small investor, diversifying can be expensive and tough because knowing what individual stocks to buy – and when – is a full time job. 


A Mutual Fund, on the other hand, could have tens of different stocks or bonds and is managed by qualified investment professionals who constantly watch the markets, making your money work hard to get the best possible returns.

And finally, unlike physical assets or some illiquid stocks, mutual funds offer liquidity – easy access to your money within 2-3 working days of placing a sell order.

Why should I invest through Clearfunds when I can directly transact with the Mutual Fund Companies?

Good question. Of course, you can buy Direct Plans straight from the respective Mutual Fund Companies but here are some reasons we think Clearfunds makes sense for you:

  • We get nothing back from any Mutual Fund Company. No hidden brokerage, no invisible annual commission, no distribution fees. Therefore we are independent and unbiased and recommend the best funds for you irrespective of which Mutual Fund Company pays the most commission.
  • There are 40+ Mutual Fund Companies in India. If you want to buy Direct Plans straight from them you will have to register and do your paperwork/KYC with each one separately. With Clearfunds, you only need to do your paperwork/KYC once with us and you can invest easily across Mutual Fund Companies.
  • Our advanced reporting tools help you view all of your holdings in one single place.
  • Our  FLEXI-SIP and Auto-Pay tools give you much more flexibility than the Mutual Fund Companies in setting up your personalised investment plan.
  • We give you all tax reports at tax filing time.
  • We love what we do. And we promise to invest continuously in our technology, user interface, tools and offerings to help you make more money on your investments.
Where is my money invested?

Your savings are invested in Mutual Funds under your own name.


The dashboard on your Clearfunds account has your investment snapshot, with details of all your investments. The Mutual Fund Company(ies) also separately send you statements and email/SMS confirmations for your transactions.

How soon can I start investing?

You can start investing as soon as your bank account is linked to your Clearfunds account. This takes up to 12 working days from the time we receive your signed application form. 

To link your bank account, we submit your ECS mandate and the cancelled cheque to your bank. Once they verify this, you’re good to go!

How often can I invest?

As often as you like. Or as little as you like. Your Clearfunds account itself is a free, zero-balance account. 


If you are making your investment using netbanking you can transact freely, as long as you have sufficient cash in your bank account.


You can also automate your investment schedule, if you choose. 

We’ve set it up so you can schedule an investment every month or every quarter. 

If you need to make two investments in a month, simply set up two separate instructions, each 15 days apart.

Is there a minimum amount I need to invest? What is the maximum amount I can invest?

The minimum investment amounts are set by the Mutual Fund Companies and not by Clearfunds. You can start investing in most funds with a minimum of Rs 5,000. Once you have an investment in a scheme, your additional investments can be as low as Rs 1,000.


The maximum amount you can invest through Clearfunds is Rs 9.99 crores for each NETBANKING transaction (all funds in your investment cart taken together) and Rs 1 crores per scheme on mandate (FLEXI-SIP and AUTO-PAY). You will need to contact your bank to raise the Netbanking limit (generally set at Rs 5-10 lakhs per customer by the bank).


PAYMENT METHODNETBANKING

AUTO-INVEST/ AUTO-PAY
(using bank mand
ate)
Maximum investmentRs. 9,99,99,999 per transaction
(though the limit set by your bank may be lower)
Rs. 1,00,00,000 per scheme
(though the limit set in the mandate you gave us
may be lower)
How do I increase my limit?Contact your bank to increase your
Netbanking limit.

When increased, the limit will be applicable
for ALL NETBANKING transactions.
Send us a mandate form to increase your
FLEXI-SIP & AUTO-PAY limit.

When increased, the limit will be applicable
only to your transactions at Clearfunds.


If you have more to invest in a single scheme, give us a call – we’ll figure something out for you right away! :-)

How long do I need to stay invested? Is there a minimum or lock-in period?

There is no minimum or lock-in period for Equity or Debt funds. You can sell your investments at any time. When you buy Tax-saving funds (ELSS), you lock in your investments for a minimum of 3 years under law.

How long should I stay invested?

If you hold your investments for the long term, you're more likely to make money. We recommend that you should stay invested for > 5 years in order to receive maximum benefit from your mutual fund investments. Here’s why:

  • Rational, not Emotional: One of the best things about long-term investing is that it almost entirely removes your emotions from the equation. A market that jumps 10% in a matter of days isn't going to have you sitting on the edge of your seat to sell, and a hiccup in overseas markets that sends the Indian markets down 3% isn't going to make you panic. Although short-term fluctuations seem random, your investments will tend to reflect the overall growth and productivity of the economy in the long run.
  • Long-term Smoothening: Although stocks do have a chance of rising or falling unpredictably, they can only fall to Rs.0. But they can rise infinitely. If you continue with your winners, there's a good chance that, over the long run, you're going to see your investments grow in value.
  • Transaction Costs: Long-term investing will also save you other expenses, such as transaction costs from active trading.
  • Tax Savings: Putting your money to work for the long-term rather than short-term also provides tax advantages on capital gains. Long-term gains (equity funds held for over 12 months and debt funds held for over 36 months) are taxed at rates much lower than your income tax bracket. Short-term gains, on the other hand, are taxed as regular income. When you sell your holdings, Clearfunds automatically calculates your long-term, non-taxable amount to help you make a tax-efficient decision.
  • Peaceful Sleep: And finally, being a long-term investor will allow you to sleep better at night. You won't have to wake up every morning, worrying whether your holdings dropped overnight.
If I want to invest every month, do I need to transfer money myself, every month, from my bank account?

No. Clearfunds is linked to your bank account. 

When you set up a FLEXI-SIP, your fixed investment amount will be automatically transferred from your account to the Mutual Fund Company. It works just like a standing instruction with your bank.

When are the mutual funds units allotted to me?

It depends on how you pay for your investment:


NETBANKING:

If you have purchased Liquid/Money Market Funds using PAY VIA NETBANKING before 12:00PM or any other fund before 1:00PM, your order will be processed on the same business day. If not, your order will be processed on the next working day.


On the next working day, you will receive a confirmation of investment from Clearfunds as well as the Mutual Fund Company. We send you our confirmation as soon as we receive this from the Mutual Fund Company.


Go to the Transaction History screen on your Clearfunds account to see the date, amount and units purchased.


AUTO-PAY/ FLEXI-SIP (using Bank Mandate):

Your investment will be complete within 2-3 days from the date the funds are transferred out of your bank account. This is how it works:


Aug 1

Today (T+1)

Aug 2

(T+2 working day)

Aug 3

(T+3 working days)

Aug 4

(T+4 working days)


  • Your scheduled AUTO-PAY or FLEXI-SIP PAYMENT DATE.
  • Money is transferred out of your bank account by the Payment Gateway using your mandate under the NACH (National Automated Clearing House) payment system.


  • Your INVESTMENT DATE.
  • Your bank and the Payment Gateway confirm the transfer of money to the Mutual Fund Company to us.
  • We then send your investment instructions to the Mutual Fund Company.


  • You receive a confirmation of investment from Clearfunds as well as the Mutual Fund Company.


  • It sometimes takes longer for your bank and the Payment Gateway to confirm the transfer, which pushes everything out by a day.


Please note that the above example assumes all days are working days. In case of holidays or weekends, the next working day will need to be considered.


A simple way to think about the payment cycle for AUTO-PAY and FLEXI-SIPs is below.



SWITCH TRANSACTIONS:

Switch instructions are often processed on separate dates by the Mutual Fund Companies. Switch-outs are processed ASAP, but switch-in dates are based on when funds from the related switch-out Liquid, Debt and Equity scheme are available.


What is a SYSTEMATIC INVESTMENT PLAN (SIP)? What is FLEXI-SIP? How are they different?

A Systematic Investment Plan or SIP allows you to invest a certain amount of money at regular intervals. This is also known as Rupee Cost Averaging.


Clearfunds makes it even easier to set up regular investments. Our FLEXI-SIP PLAN is so much more flexible than that the traditional SIP offered by Mutual Fund Houses. We built it to give you total control of your planned savings. You can schedule your investment on any working day of the month, cancel a single upcoming payment without cancelling the whole instruction, and even increase the amount of a single installment (such as when you get a 


How do we do this? Our FLEXI-SIP option which is not a real SIP but a series of monthly additional purchases. The advantage of this is that it gives investors complete flexibility over their monthly investments (such as letting you choose any date of the month to invest, choose any amount, increase or decrease your investment amount, or even cancel the next installment).


But this also means that in case of suspension of purchases in a scheme, Clearfunds cannot continue with FLEXI-SIP purchases if the AMC will not accept any 'additional purchase' instructions. This will not affect any current holdings that you have in the scheme in any way - you are not required to sell these.


As this is not a real SIP, the minimum investment amount in a single fund is subject to the minimum initial purchase restrictions (generally Rs 5,000) set by the mutual funds, although subsequent investments can be as low as Rs 1,000.


We do not charge you anything when you start your FLEXI-SIP plan for a scheme. You can cancel, modify or delete a payment (or the whole plan itself) at no charge during this period. 


So when you set up a FLEXI-SIP PLAN with Clearfunds, you simply tell us how often you'd like to invest, and what you'd like to buy. We do the rest. 


Go on, give it a try. We’re sure you will love the experience.

Can I transfer or move my existing portfolio to Clearfunds? Can you convert my Regular Plans to Direct Plans?

No. Here’s why ...


Regular Plans and Direct Plans are two separate schemes issued by the Mutual Fund Company. So you can’t transfer your high-commission Regular Plans that you have already purchased through your earlier broker/distributor to Direct Plans. Instead, you need to sell the Regular Plan and buy a Direct Plan with Clearfunds.

Remember, when you sell, you incur taxes. So please make sure your sales are tax-efficient (generally held for > 1 year for equity funds and > 3 years for debt funds) before you sell them and start your new commission-free Direct Plan investments with Clearfunds.

Also, we don’t let you transfer your holdings from other advisers to Clearfunds as we cannot track purchase dates and cost information for your holdings.

How do you process my order instructions?

It’s all electronic and automatic and cost-efficient. Once you place an online order, we electronically transfer your instructions (your details, which fund, how much, etc) and the funds from your bank account to the Mutual Fund Company


We securely track the whole process from beginning to end and send you a confirmation email and SMS once the Mutual Fund units are issued to you.

Why does take so long to invest? Today is January 17 but the earliest investment date is January 20?

If you need to make an investment today, you should use the PAY VIA NETBANKING option.

When you use AUTO-PAY or FLEXI-SIP, we need to send your fund transfer instructions 2 days in advance to your bank.

Can I skip a month or change my investment date? Are there any charges to do this?

Yes, you can increase the amount you invest or decrease it, or even skip an investment entirely. You can also change the investment date.

Just click on My Investment Plan under your Dashboard to modify your instructions or cancel them entirely. 

What option should I choose? Growth, Dividend Payout or Dividend Reinvestment?

You should select Growth or Dividend depending on how long you plan to stay invested and your current tax rate. We’ve prepared a handy table below which explains how we would pick between Growth and Dividend for our own investments. But Clearfunds is not a tax advisor, and you should always seek independent tax advice before making a decision.


IF YOUR CURRENT TAX RATE IS 10% OR 20%


CATEGORY
HOW LONG WILL
YOU STAY INVESTED?

OPTION
WHY DO WE RECOMMEND THIS?

Equity Funds

Balanced Funds

< 1 year
Dividend Payout #

Any gains on holdings < 1 year are taxed at 15%. Dividends are taxed at 10%

Equity Funds

Balanced Funds

Arbitrage Funds

> 1 year
Growth +

Any gains > 1 year more than Rs 1 lakh are taxed at 10%.

Tax-Saving (ELSS) Funds

> 3 years
Growth +

You have to stay invested for > 3 years. Any dividends reinvested are locked in for 3 years.

Debt Funds

Income Funds

Liquid Funds

< 3 years
Growth +

Your gains are taxed at 10% or 20% which is lower than the dividend tax rate of 25%.

Debt Funds

Income Funds

Liquid Funds

> 3 years
Growth +

Your gains are taxed a 20% after indexation.


All tax rates above are base tax rates and do not include surcharge or education cess.

+Surcharge is based on total income, and Health and Education cess of 4% is applicable to Capital Gains.

# Dividend Tax of 10% + Surcharge 12% + Cess 4% = 11.648%

$ Dividend Tax of 25% + Surcharge 12% + Cess 4% = 29.12%




IF YOUR CURRENT TAX RATE IS 30%

 

CATEGORY
HOW LONG WILL
YOU STAY INVESTED?

OPTION
WHY DO WE RECOMMEND THIS?

Equity Funds

Balanced Funds

< 1 year
Dividend Payout #

Any gains on holdings < 1 year are taxed at 15%. Dividends are taxed at 10%

Equity Funds

Balanced Funds

Arbitrage Funds

> 1 year
Growth +

Any gains > 1 year more than Rs 1 lakh are taxed at 10%.

Tax-Saving (ELSS) Funds

> 3 years
Growth +

You have to stay invested for > 3 years. Any dividends reinvested are locked in for 3 years.

Debt Funds

Income Funds

Liquid Funds

< 3 years
Dividend Payout $

Your dividends are taxed at the Mutual Fund at 25%, lower than your tax rate of 30%.

Debt Funds

Income Funds

Liquid Funds

> 3 years
Growth +

Your gains are taxed at 20% after indexation.


All tax rates above are base tax rates and do not include surcharge or education cess.

+Surcharge is based on total income, and Health and Education cess of 4% is applicable to Capital Gains.

# Dividend Tax of 10% + Surcharge 12% + Cess 4% = 11.648%

$ Dividend Tax of 25% + Surcharge 12% + Cess 4% = 29.12%



NOTE: This FAQ has been updated with the announcements made in the Union Budget 2018.

Where can I see my detailed investment history?

Your Dashboard has your latest investment snapshot.

If you want to see your investment history (including buys, sells, dividends, etc) please click on Order History under your name.

I invested in a Dividend Payout plan but my dividends have been reinvested. Help!

Mutual Fund Companies pay out dividends into your bank accounts only if the dividend amount is more a certain minimum (generally ₹500-₹1,000, but differs for each AMC) decided by them. 

There are situations where the dividend payout is less than this minimum amount set by them. As processing payouts of small amounts is not cost effective for the Mutual Fund Company, they will compulsorily reinvest your dividend into the same scheme. 

Clearfunds will intimate you for any such transactions by sending you a Dividend Reinvestment alert.

Can I redeem my mutual fund investments without going through Clearfunds? Can I buy more units in the same fund without going through Clearfunds?

Of course. All investments are held in your name. So you can always go directly to the Mutual Fund Company to make more purchases or sell your investments.

However, these transactions will not be tagged with our Investment Adviser Code (INA000004773) and hence we may not be able to track these transactions and reflect them in your Clearfunds account.

What is 'exit load'?

Exit load is a charge levied directly by the Mutual Fund Company in case you have redeemed/sold your investments within a short time period (generally 1 year). These charges are around 1% but vary from one scheme to another.


To see the exit load for each of your investments, go to your Clearfunds dashboard and click on the scheme name to generate the latest PDF factsheets. Happy investing!

What happens to my money in case Clearfunds shuts down?

Good question. It’s your money and you should think about things like this. Your hard-earned savings are completely safe. 


Here’s why:

When you invest your money through Clearfunds, it goes directly into your Mutual Funds in your name and when you withdraw it comes directly back into your bank account. It never goes into our bank account at all. 


The Mutual Funds are always held in your name with the Mutual Fund Company. If you ever really need to, you can always deal directly with the Mutual Fund Company or their Registrar & Transfer Agent. Therefore, your investment is always safe.

Which Mutual Funds can I buy at Clearfunds?

At Clearfunds, we plan to allow you to buy every single Direct Mutual Fund available in India. You can currently buy 3000+ Direct Mutual Funds from any of the 36 Mutual Fund Companies listed below:

  1. Aditya Birla Sun Life Mutual Fund
  2. Axis Mutual Fund
  3. Baroda Pioneer Mutual Fund
  4. BNP Paribas Mutual Fund
  5. BOI-AXA Mutual Fund
  6. Canara Robeco Mutual Fund
  7. DHFL Pramerica Mutual Fund
  8. DSP BlackRock Mutual Fund
  9. Edelweiss Mutual Fund
  10. Essel Mutual Fund (formerly Peerless Mutual Fund)
  11. Franklin Templeton Mutual Fund
  12. HDFC Mutual Fund
  13. HSBC Mutual Fund
  14. ICICI Prudential Mutual Fund
  15. IDBI Mutual Fund
  16. IDFC Mutual Fund
  17. IIFL Mutual Fund
  18. Indiabulls Mutual Fund
  19. Invesco Mutual Fund
  20. JM Financial Mutual Fund
  21. Kotak Mahindra Mutual Fund
  22. L&T Mutual Fund
  23. LIC Mutual Fund
  24. Mahindra Mutual Fund
  25. Mirae Asset Mutual Fund
  26. Motilal Oswal Mutual Fund
  27. PPFAS Mutual Fund
  28. Principal Mutual Fund
  29. Quantum Mutual Fund
  30. Reliance Mutual Fund
  31. SBI Mutual Fund
  32. Sundaram Mutual Fund
  33. Tata Mutual Fund
  34. Taurus Mutual Fund
  35. Union Mutual Fund
  36. UTI Mutual Fund

The fund companies listed above cover 99.95% of the assets managed by the Mutual Fund Industry. We will be adding more Mutual Funds every month to take our coverage to 100%. If you think we've missed out an open-ended direct mutual fund from the companies above, please let us know!


A handful of schemes are restricted for fresh purchases by the Mutual Fund Company. A list of these is available here

Can I upload, transfer or monitor my existing investments at Clearfunds?

We don't let you monitor or transfer any of your current Mutual Fund holdings with other advisers to Clearfunds. Here's why:

Mutual Fund Companies share transaction data only for the investments you have made with us (where we are 'tagged' as your advisor). When you initiate a transaction through our platform, we can see it through its transaction life - buy, sell, switch, etc. So your portfolio tracking is completely automated!

If we let you import your holdings for investments where we are not tagged as your advisor, we could track announced dividends, but there is no way we could track sells or switches. This means we have to rely on you to update your holdings - which defeats the whole purpose of automated portfolio tracking!

There are some great portfolio trackers out there - Morningstar, Money Control and Value Research - that you should check out.


Also see our FAQ article on Can you convert my Regular Plans to Direct Plans?


I'd like to do an offline request with the Mutual Fund Company?

You're always entitled to approach the Mutual Fund Companies yourself for any transactions - financial or non financial (change of address etc), but we can handle your requests on Clearfunds itself.


If you would still like to approach the Mutual Fund Companies, you can visit their offices (check the individual Mutual Fund Company websites for details), or visit their Investor Service Centers:


CAMS-serviced Mutual Funds

Find your nearest investor service center at https://www.camsonline.com/InvestorServices/COL_ISServiceCenter.aspx


Karvy-serviced Mutual Funds

Find your nearest investor service center at at https://www.karvymfs.com/karvy/Generalpages/locateUs.aspx


Frankin Templeton Mutual Fund

Find your nearest investor service center at https://www.franklintempletonindia.com/investor/customer-services/find-franklin-templeton/locate-us


Sundaram Mutual Fund and BNP Paribas Mutual Fund

Find your nearest investor service center at https://www.sundarambnpparibasfs.in/web/service/our-network

I'm an NRI. Is there any TDS or WHT on my sales?

Yes. The gains earned by NRIs are subject to withholding tax (WHT) or Tax Deducted at Source (TDS) directly by the Mutual Fund Companies.


TDS DEDUCTED ON
SHORT-TERM CAPITAL GAINS
LONG-TERM CAPITAL GAINS
Equity, ELSS & Balanced Funds15%None
Debt, Income & Liquid Funds30%20%


All tax rates above are base tax rates and do not include surcharge or education cess.

Surcharge is currently calculated at 10% or 15% based on your income, and education cess is currently at 3%.


 Local resident investors are not subject to TDS upon sale or redemption, though they may have a tax liability.

What schemes are not available on Clearfunds?

At Clearfunds, you can purchase open-ended direct mutual fund schemes from 36 different fund families, but unfortunately, you can't make a purchase (one-time or SIP) for just a few schemes.

This isn't because we are stopping you. Rather it is because the Mutual Fund Companies have restricted or suspended fresh purchases into these schemes.


SCHEME
SUSPENDED EFFECTIVE
WHAT IS SUSPENDED BY THE AMC
DSP BlackRock Micro Cap Fund
February 20, 2017
Fresh purchase, Additional Purchases, Fresh SIPs
Edelweiss Tax Advantage Fund
October 17, 2016Fresh purchase, Additional Purchases, Fresh SIPs
IDFC Focused Equity Fund
December 4, 2017Fresh purchase, Additional Purchases, Fresh SIPs
restricted to ₹ 200,000
IDFC Premier Equity Fund
May 27, 2014Fresh purchase, Additional Purchase, Fresh SIPs (see link)
L&T Emerging Business Fund
December 11, 2017Fresh purchase, Additional Purchases, Fresh SIPs
restricted to ₹ 200,000
Mirae Asset Emerging Bluechip Fund
October 25, 2016
Fresh purchase, Additional Purchases, Fresh SIPs > ₹ 25,000
Reliance Small Cap Fund
March 26, 2018Fresh purchase, Additional Purchases, Fresh SIPs > ₹ 100,000
SBI Small and Midcap Fund
October 30, 2015
Fresh purchase, Additional Purchases, Fresh SIPs (see link)
Taurus Liquid Fund
February 23, 2017Fresh purchase, Additional Purchases, Fresh SIPs
Taurus Ultra Short Term Bond Fund
February 23, 2017
Fresh purchase, Additional Purchases, Fresh SIPs
Taurus Short Term Income Fund
February 23, 2017
Fresh purchase, Additional Purchases, Fresh SIPs
Taurus Dynamic Income Fund
February 23, 2017
Fresh purchase, Additional Purchases, Fresh SIPs    


At Clearfunds, we provide our investors with the FLEXI-SIP option which is not a real SIP but a series of monthly additional purchases. The advantage of this is that it gives investors complete flexibility over their monthly investments (such as letting you choose any date of the month to invest, choose any amount, increase or decrease your investment amount, or even cancel the next installment).


But this also means that in case of suspension of purchases in a scheme, Clearfunds cannot continue with FLEXI-SIP purchases if the AMC will not accept any 'additional purchase' instructions. This will not affect any current holdings that you have in the scheme in any way - you are not required to sell these.


You may want to think about these funds in the way that the Mutual Fund Companies suggest - they think the valuations are too high or they cannot profitably deploy your money for you in these strategies. We recommend that you follow the advice of the Fund Managers who are ultimately responsible for investing your savings!

I sold my mutual funds. When will I receive the cash?

SELL ORDERS

Your sell instruction will be processed the same day if it was placed before 1:00PM. If not, your instruction will be processed on the next working day.

Once they receive the sell instruction, it takes 1-3 working days for the Mutual Fund Companies to directly transfer the money into your bank account (depending on whether you sold a Liquid, Debt or Equity mutual fund).


  •  Liquid/Money Market funds are paid out in 1 working day.
  •  Debt funds in 2 or 3 working days (depending upon the scheme).
  •  Domestic Equity funds in 3 working days.
  •  International Equity funds in 5 working days.

Once your sale is complete, you will receive a confirmation email and SMS from Clearfunds as well as the Mutual Fund Company.


SWITCH ORDERS

Switch orders work a little differently. If your switch amount is > Rs 200,000, the Mutual Fund Company needs to sell your units, realize the cash and then purchase fresh units for you in the new scheme.

Your switch instruction will be processed the same day if it was placed before 1:00PM. If not, your instruction will be processed on the next working day.

Your instructions in Liquid, Debt and Equity funds are processed separately by the Mutual Fund Companies based on when funds are available to them. It therefore takes 2-3 working days to reflect both legs of your switch investment on your Clearfunds dashboard.

Also see https://help.clearfunds.com/solution/articles/17000062142-why-does-it-take-so-long-to-process-a-switch-order-

Why does a search for "Templeton" or "Franklin" only return select funds offered by Franklin Templeton?

There are two open-ended schemes run Franklin Templeton Asset Management India which do not contain Franklin in their legal name.

These are Templeton India Growth Fund and Templeton India Equity Income Fund. These funds are specifically managed by a different team of fund managers at Templeton team, and therefore do not bear the 'Franklin' in the legal fund name. To search for all schemes offered by Franklin Templeton, please select this Fund House in the filters on the left on your BUY or SIP pages in the dashboard.

Why are each of my investments in a separate folio?

Your folio number is similar to your bank account number at the Mutual Fund Company. Just like you could hold many  accounts at the same bank, you can hold multiple folios at the same Mutual Fund.

At Clearfunds, we create separate folios for each scheme you purchase at the Mutual Fund Company. There are two reasons for this:

  • When we purchase investments for you in a PORTFOLIO, we could be buying with the same scheme that you have already purchased in your Personal Portfolio. It then becomes really hard to track and split out portfolio performance and keeping these two investments in separate folios is a convenient way to track them.
  • The Mutual Funds only allow you to hold Dividend Payout OR Dividend Reinvestment of a single scheme in a single folio. If you already hold a Dividend Reinvestment scheme, and subsequently purchase Dividend Payout of the same scheme, the original investment gets flipped into Dividend Reinvestment (which is not your intention). In order to avoid this, we purchase each scheme & payout combo in a separate folio.

We realize that this could be inconvenient for those tracking their investments on a folio basis, but your Clearfunds dashboard has all your investments in one convenient view.

Contact us

Clearfunds / Harvest Fintech Pvt Ltd
206 Natwar Chambers,
94 Nagindas Master Road, Fort,
Mumbai 400001, India.

+91 90225-22555 (Weekdays 10AM-6PM)

help@clearfunds.com

Media queries: media@clearfunds.com

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