If you are looking for a way to aggregate all your mutual funds of different companies into one common place there’s great news for you! Like shares, you can now convert your Mutual funds into an electronic format and have them stored in your Demat account. Once you convert these funds into the Demat format you can sell them either directly through your account like shares or through a depositary participant like you do currently.

One of the biggest advantages of this new development is that it enables a centralization of all the funds that you have invested in. Instead of 10 different statements for 10 different Mutual funds, you can now have a consolidated statement of your holdings.

This makes it much simpler to keep a track of your investments. It also becomes much easier to monitor them and keep a track of the investments. With all your investments in a Demat account transactions would also become much faster and efficiency would increase manifold. By following a few simple steps you can convert your mutual funds into a Demat format.

The very first thing you need to do is obtain a DRF (Dematerialization Request Form) which will enable you to request a conversion of your mutual fund units into Demat. The next step would be to provide a proof of all the funds that you own in the form of your statements and various documents that are attached to them. Once you finish providing all associated documents to your depositary participant he will finish the final processing and provide them to you. An important point that you need to keep in mind before you consider this option is to have a proper Demat account in place. Without that you cannot go ahead and take advantage of this development. Demat and online trading accounts are important if you wish to trade effectively and you must make it a point to get hold of them.

Find a reliable and renowned broker to help you get started.

SOURCES:

http://www.jagoinvestor.com/2010/10/convert-your-mutual-funds-into-demat-form.html https://www.geojitbnpparibasblog.com/brand/?p=311 http://articles.economictimes.indiatimes.com/2010-11-14/news/27612718_1_demat-account-mf-units-dp

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