Earlier this year I started investing in mutual funds through coin and also started investing in the same mutual funds through ICICI (NOT ICICIDirect, you can invest in mutual funds via ICICI if you have a bank account through their online portal)
I have 2 simple questions regarding this.
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Does it make sense to invest in the same mutual fund , say Axis Focused 25 Fund through ICICI and Zerodha ? I have invested around INR X through Coin and INR Y through ICICI in this same mutual fund because I felt having two different brokers is less risky. Am I right about this ? I think I know the answer but would like someone to tell me I’m wrong 
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The mutual fund purchased through ICICI has a folio number associated with it whereas the mutual funds I purchased through Coin by Zerodha don’t. Why is there this difference and are there any benefits or drawbacks to not having a folio number (as is the case with Zerodha)
Please help, I’m relatively new to investing in mutual funds and since a demat account is not mandatory for mutual funds I feel understanding these differences is all the more important.
There’s nothing wrong, but why not have all investments in one place? I guess ICICI has Regular Mutual Fund plans, on Coin you have Direct Mutual Fund plans without any commission which also helps your returns in long run. You can read this post to know more Regular vs Direct Plan in MFs - #3 by nithin
Your Mutual Fund investments too has a Folio number associated with it, you can see this in the Coin portfolio by clicking on the fund you have invested in.
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I think this question has been asked before but I’m going to explain what I’ve understood so far, the folio number is akin to a bank account or PAN card, it identifies me uniquely to the AMC (Asset Management Company) in question.
If a demat account isn’t mandatory for Mutual Funds, does this mean that my shares or NAV units in mutual funds (with Coin) are not held in demat form ? If yes, are there any downsides ?
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Right.
All your Mutual Fund investments made through Coin are held in your Demat account, you can also view this on CDSL website.
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whatever i have understood so far the mutual fund is managed by a AMC (in your case axis), hence it doesn’t make sense to buy the same fund from different breakage (if both are direct fund), and the advantage of having a demat account is, in worst case your broker shuts down , you can always shift your demat account and all your mutual fund holding will shift to your new broker.
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having your investments in one place is easier from perspective of managing them… imagine switching between multiple portals to keep track of all your investments, it is time consuming… also holding mutual funds in demat is much more productive and as @Sunil_Sethy said in case something bad happens, all your holdings are perfectly safe in demat and shifting is also easy.
On a related note, I received an email with my NSDL CAS (Consolidated Account Statement) and I had a silly question regarding why my mutual fund investments were split into 2 separate subsections
Mutual Funds (M)
Mutual Fund Folios (F)
The mutual funds that I purchased using Coin are all listed under the subsection Mutual Funds (M)
The mutual funds that I purchased using ICICI Bank are all listed under the subsection Mutual Fund Folios (F)
I’d like to understand why it’s been split this way ? Does it have to do with the fact that the funds purchased through Coin and Direct Mutual Funds and through ICICI are potentially Regular Mutual Funds ?
In fact I invested in a fund through ICICI and Zerodha but the ISIN number on the CAS is different and the ISIN description is slightly different as well even though they both are the same, AXIS FOCUSSED 25 - GROWTH.
Could this difference in ISIN be because of the route used to purchase them, regular vs direct ?
Thanks
Dhiwakar
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with little info in the picture, this separation might be because of demat and non-demat nature of purchase or because of two different broker (ISIN difference you asked). Dont worry about these little difference.
Thank you Mr. Sethy we will not worry. Does any one have the answer the question?
