How does MF Utility benefit an Investor?
MF Utility (MFU) provides a whole lot of features to Investors like:-
- Common Account Number (CAN) – a single reference for all the Mutual Fund investments
- KYC Registration facility, through KRAs – for the purpose of CAN creation
- Neutral Points of Service (POS) – irrespective of the RTA servicing the Mutual Fund
- Common Transaction Form to transact in multiple schemes at a time, across Mutual Funds
- Single payment facility for investments in multiple schemes across Mutual Funds, using a single form
- Multiple modes of payments for investments through physical and electronic means
- Consolidated view of investments across the industry using CAN
- Industry level alerts, triggers, reminders etc. for transactions, SIP expiry etc.
- Centralized complaint management and tracking system to login complaints across the industry
How does an investor gain access to MF Utility?
Will investors be able to have multiple Common Account Numbers?
Where an investor wants to have a change in the combination, a new CAN will be created.
Common Account Number (CAN) is provided for a combination comprising of the following:-
- Number of Investors i.e. 1 or 2 or 3
- Order of holding i.e. A; A&B; A,B&C; B; B&A; B,C&A; C; C&B; C,A&B; and so on
- Mode of holding i.e. Single, Joint and Anyone or Survivor
- Social (Tax) Status i.e. Individual, Company, Non-Resident etc.
How will the existing folios/investments be migrated/linked to MF Utility?
MF Utility (MFU) will not migrate the existing investments of the investors. However, upon creation of a Common Account Number (CAN), MFU will map the existing folios of the investor/s across Mutual Funds, to the CAN, based on the PAN, holding pattern and certain other parameters as mentioned earlier.
How does the CAN-Folio mapping happen?
CAN-Folio mapping is a technical exercise which happens without any manual intervention. Upon successful creation of a CAN, MFU Server makes an electronic request to all the RTA servers to find out whether there are any folios which are matching the CAN criteria. Based on the RTAs response, the folios are mapped to the CAN.
How long does it take for all the existing folios to be mapped to the CAN?
There are 4 different RTAs in the MF industry and each of them may have different kind of technology, software and processes in place. Therefore, the folio mapping from different RTAs happen at different times. We normally wait for 2-3 days from the time of CAN approval, for the Folio mapping process to be completed.
Will all the existing folios matching the CAN criteria get mapped to the CAN without any failure?
Ideally, all the folios matching the CAN criteria should automatically get mapped to the CAN. However, either due to some technical reasons or some data mismatch between the CAN & Folio, the CAN-Folio mapping may fail in certain instances. In such cases, if the investor writes to MFU the MFU team will do the needful.
How will the investor come to know whether all his existing folios are mapped to the CAN?
After 3 days from the time of CAN approval, an email is sent to the investor with the list of folios mapped to the CAN with a request to notify the unmapped folios, if any. If the investor writes to MFU with the folio numbers which are not mapped, the MFU team coordinates with the RTA for getting the folios mapped to the CAN.
How can I change Bank Mandate and other details in CAN?
Investor can submit changes to Bank Mandate and other details in CAN to MFU POS, and such requests will be appropriately processed in MFU and will be updated in all related folios. Thus change of CAN level details, such as Bank Mandate, Nominees, etc., submitted through MFU will reflect in all mapped folios with different AMCs and there is no need for submission of such requests separately with different AMCs.
Will an Investor be able to get his KYC Registration done through MF Utility?
MFU will not enable standalone KYC Registrations like a KRA. However, MF Utility (MFU) will facilitate KYC Registration for Investors along with creation of CAN, i.e., it will facilitate submission of KYC documents to KRA for KYC registration.
I am not a KYC compliant investor. Can I get a CAN created for me?
KYC compliance is compulsory for CAN creation. If an investor is not already KYC compliant, MF Utility (MFU) will facilitate KYC registration for investors along with creation of CAN.
Are there any pre-requisites to get a CAN created?
Investors should submit a CAN Registration form to get a CAN created. All the investors in the CAN form should be KYC compliant. If an investor is not already KYC compliant, MF Utility (MFU) will facilitate KYC registration for investors who wish to create a CAN.
What if I do not create a CAN?
Common Account Number (CAN) provides a lot of benefits/facilities to the investors and Distributors / RIAs. Without availability of a CAN, these benefits/facilities will not be available.
Will the folio number be redundant after CAN creation?
Ideally CAN will be a single reference number for all your investments/transactions across the Mutual Fund industry. However, if an investor has multiple folios for the same combination, within the same Mutual Fund, the folio number under which the transaction is required to be processed should also be quoted while transacting.
Is CAN transferable?
CAN is not transferable. In case of eventualities like demise of one or more holders in the CAN, the surviving holders have to request for transmission with MF Utilities India Pvt Ltd (MFUI) who shall do the needful.
How can I transact through MFU?
You can transact by submitting a physical MFU transaction form through any Mutual Fund Distributor / RIA having a valid ARN /RIA Code or at a MFU Point of Service (POS). You can get the transaction forms at www.mfuindia.com/forms
What are the modes of payments for purchase transactions submitted through MFU using a physical transaction form?
Investors will have multiple choices for making the payments for purchase transactions submitted using a physical transaction form. Physical payments can be made through Cheques, Demand Drafts or Banker’s Cheques drawn in favour of ‘MFU ESCROW ACCOUNT’. Electronic payments are also possible for transactions submitted through a physical form. The possible modes of payment are PayEezz, NEFT and RTGS. Investors have to specify the PayEezz Reference Number (PRN) received from MFU upon successful registration of the PayEezz Mandate as the payment reference number in the transaction form. Payments through PayEezz will be handled by MFU based on the PRN mentioned by the investors. For payments through NEFT and RTGS, investors have to be make the payments either offline by providing necessary instructions to their bankers or online by independently logging into their Bank’s website and specify the UTR number as the payment reference number in the transaction form as well as attach the proof of making such payment along with the transaction. For more details on PayEezz, please click here. For details of Beneficiary accounts to which the NEFT/RTGS payments are to be made, please click here.
Is online access available?
Yes. Only if you are a primary holder or a guardian of the primary holder in a CAN.
Will I get online access automatically when I open a CAN?
No. Every CAN is opened without an online access facility. You have to specifically request for an online access through a written request either by physical letter or from registered email id quoting the CAN.
Where should I send my request for Online Login access?
Can I submit a transaction under my distributor’s ARN Code while transacting online?
Yes. You can mention the ARN code of your Distributor / RIA for choosing Regular plans.
Will I be able to transact across all the CANs where I am a holder?
You will be able to transact across all the CANs where you are the primary holder or guardian of the primary holder. If you are a second or third holder in any CAN, you will only be able to view the details under those respective CANs.
What are the modes of payments for purchase transactions submitted online through MFU?
Investors have multiple options for making the payments for purchase transactions submitted online. The possible modes of payment are Net Banking, PayEezz, NEFT and RTGS. For Net Banking Payments, the investors will be redirected to their Net Banking site for payment. Payments through PayEezz will be handled by MFU based on the PRN chosen by the investors. For payments through NEFT and RTGS, investors have to be make the payments either offline by providing necessary instructions to their bankers or online by independently logging into their Bank’s website. For more details on PayEezz, please click here. For details of Beneficiary accounts to which the NEFT/RTGS payments are to be made, please click here.
What are the other features available to me through my Online Login access?
At present, you will be able to submit transactions, view your orders submitted, account profile and unit balances across your investments. You can also lodge complaints and track redressals. More features will be made available in future.
What is CaST?New
Create and Schedule Transaction (CaST) is a facility where a Distributor / RIA can create and schedule a transaction to be executed on a defined future date to better manage future cash flow situations. For e.g.
- If some funds are expected to be available for investment on a future date, a purchase transaction can be scheduled to be executed on an appropriate date to utilise those funds using this facility.
- If there is a planned cash out flow (payments like EMI, rent, premium etc.) on a future date, a redemption transaction can be scheduled to be executed on an appropriate date.
Please click here for more details on CaST.
What is CaRT?New
Create and Retain Transaction (CaRT)” is a facility where frequently ordered transactions can be created and retained as a template to be executed later whenever desired by a SINGLE CLICK. Every such CaRT template can be identified by an exclusive CaRT Name.
- If some funds are expected to be available for investment on a future date, a purchase transaction can be added to the CaRT to be placed later using this facility.
- If there is a future cash out flow, a redemption transaction can be added to the CaRT to be placed later using this facility.
Please click here for more details on CaRT.
Will I be able to submit my CAN Registration or Transaction form to my Distributor / RIA?
Investors may submit the CAN Registration and Transaction forms to their Distributors / RIAs. If the Distributor / RIA is signed-up with MF Utility (MFU) for online access, he may scan and submit the transaction in MFU. Else, he may submit the transactions at an MFU POS or redirect you to a nearest MFU POS.
Will the Bank details and nominee details provided in the CAN Registration form override the existing details in the folio?
Yes. The Bank details and nominee details provided in the CAN Registration form will override the existing details in the folios. However, if you do not wish to override the nominee details already existing in the folios, please tick the option ‘I DO NOT WISH TO NOMINATE’ in the nominee section of the CAN Registration form.
If my existing Bank details in the folio are different from what I wish to register under the CAN, do I need to change the bank details in the folio before I open the CAN?
No need to change. You can register different bank accounts under the CAN without getting the details changed in the folio. Upon successful CAN opening, the bank accounts registered under the CAN will get over-written in the folios. While submitting the redemption transaction, you can choose either the default bank account under the CAN or mention any other bank account registered under the CAN as your choice for payout.
If I select “I do not wish to nominate” in the CAN Registration Form, will my previous nominations in the existing folios be cancelled?
If you select “I do not wish to nominate” in the CAN Registration Form, your existing nominations in the existing folios will continue to remain as it is.
How can I track my existing investments in Mutual Funds through MFU?
Upon CAN opening, MFU will map all your existing folios matching the CAN combination. When MFU provides access to Investors, they will be able to track their existing investments using the CAN.
How long does it take for a CAN to be opened?
CAN opening is a simple process. Upon submitting a duly filled CAN registration form to an MFU POS, the CAN is opened instantly.
Can a photocopy of the cheque be submitted as proof of bank account or a cancelled cheque leaf is required?
Ideally a cancelled cheque leaf which has the primary applicant’s name printed on it, should be submitted as a proof of bank account. The applicant may also submit a copy of the cheque, self-attesting the same.
Is switching between one AMC to other AMC permitted through MFU?
Switching between one AMC to another AMC is not possible.
What are the documents required for CAN Registration for NRI investors?
NRI investors are required to submit all documents as similar to Resident investors. All documents detailed in the instruction of the CAN form should be submitted for CAN creation.
How will I get the account statement for transactions done through MFU?
Currently, you will continue to get the statements from the each AMC/RTA. MFU will start providing the consolidated account statements shortly.
How do I open a CAN?
You will have to fill up a CAN Registration Form and submit the same along with necessary documents to an MFU POS or a Distributor / RIA.
Where can I get the CAN Registration Form?
You can download the form from our website www.mfuindia.com under the forms section. Please click here to download the CAN Registration Form. If you are an Individual Investor, you may also use the eCAN options to submit the CAN Registration request online. Click here to know about the eCAN options.
Is there any help document to fill the eCAN form Online?
Please click here for instructions to fill the eCAN form Online.
Will my address changes updated in the KRA automatically get updated in the CAN and the respective folios with different AMCs?
Yes. The changes updated by you in the KRA will get updated in the CAN and the folios mapped with the CAN.
Will MFU permit cancellation of one or more SIPs registered through MFU?
Yes. MFU will send your cancellation requests to the respective AMCs to cancel the SIPs registered in that AMC.
Is it necessary to have the MF Units in DEMAT form to obtain CAN?
Can I move my units in the Depository (DEMAT) Account to CAN?
Yes. The process to be followed is as below:
- Fill up a REMAT Request Form (RRF) signed by all account holders and submit the same to your Depository Participant (DP).
- Your DP will verify the details on the RRF and send it to the Issuer / RTA.
- The Issuer / RTA will verify the request and confirm the same to Depository.
- Depository will debit the securities in the account to the extent of quantity rematerialized.
- Issuer/ RTA issues units in Account Statement form to the Investors.
- Upon your confirmation about REMAT of units, MFU will map your folios to the CAN.
Can my units bought through MFU account be credited to the Depository (DEMAT) Account?
Yes. You need to register your Depository (DEMAT) Account in CAN. During the transaction, you can request for crediting the units in the Depository (DEMAT) Account. MFU will send the instructions along with the transaction and the AMC/RTA will credit the units to your Depository (DEMAT) Account.
Can I subscribe to Direct Plans through MFU and get the units credited into my Depository (DEMAT) Account?
Yes. You can subscribe to Direct Plans through MFU and get the units credited to your Depository (DEMAT) Account. Once credited to your Depository (DEMAT) Account, the units can be redeemed only through your Depository Participant.
Will CAN eliminate the investor transacting directly and force him to route his transactions through a Distributor / RIA only?
CAN is nothing but a COMMON FOLIO applicable for all participating AMCs. Therefore, just like in folio, CAN will continue to provide all modes of transactions for investors. Quoting CAN, investors can transact in DIRECT plans or in REGULAR plans.
Will MFU consolidate the redemption/dividend payments from different Mutual Funds and make a single payment to the investor?
The redemption/dividend payments from the Mutual Funds will continue to be paid as they are currently done.