PS: This is more of a personal query and I’m hoping like-minded people on this platform might be able to provide some aspects to make a better decision.
Facts:
- I’m currently having a portfolio (principal) of about 1cr+ spread across Equity + Debt mutual funds. All the investments has been made in Direct schemes over the last 4-5 years.
- These investments have all been made digitally using the following platforms:
- CAMS + Karvy
- Zerodha
- AMC Websites
- Going forward there is going to be an addition of 20L-30L YoY to the current corpus. This addition is in the form of automated SIPs and lump sum investments.
- For the money flowing in equity/debt MF my investment horizon is a minimum of 25+ years from now on.
- I’m well versed with the subject area and can carry on doing my own research going forward.
Current Challenges:
-
None of my family members are digital savvy. While they are aware of these investments, they can’t really appreciate the fact that they will have to go to multiple places (physically/digitally) to get an overall sense of what’s going on with respect to them. With the uncertainty around life and other aspects, I’d like to aggregate them under one platform/place for the ease of convenience for them. For e.g. it’s easier to tell them to visit ICICI or SBI or any other place, sit with the branch manager/relationship manager, and ask them to give detailed statements across Mutual Funds, Demat, FD and other investments made under the ambit of the institution.
- I have evaluated and used the following solutions available in the market:
-
CAMS + Karvy : They do have physical branches ; But it’s pointless going there, they are not designed to serve retail customers
-
Zerodha Coin : Problem being, its digital only ; There’s scope for ‘0’ in person support.
-
AMC Website : They are supported by their multiple physical branch ; -ve being that one has to visit multiple branches for continued support
-
ICICI or HDFC Demat: Well this platform aggregates all my investments, however the major downside being that I’d have to shift to regular plans.
In short, I’m in a dilemma over the cost vs convenience (safety) primarily on a matter that’s economic in nature. I’m inclined to shift to ICICI or HDFC Demat A/C to aggregate all my existing investments. The cost incurred for the same would be in range of 1% of the overall return in the present circumstances.
Finally the moot question,
Is the cost justified for the convenience/peace of mind offered by an established operator for the next 25+ years given my situation?
It would be great if someone can give me an alternate solution or a counter point of view.
PS: Apologies for such a long description. 
So what according to you is the overall best platform given the situation wherein the overall consolidation would be quick and ‘safe’? or Are you suggesting let the things be segregated and continue to depend on digital statements from CAMS/Karvy? @Gautam
@Gautam How do you see Zerodha Coin? Is there scope for offline/physical support available with Zerodha in case I decide to hold all my holdings with them. I’m not into trading, more of buying and leave it kind of an investor.
I would say, give me the money let me manage it all for you 
Jokes apart. You are truly a HNI. If I were in your position, then what I would do?
I would rather keep it simple, and enjoy the leisure my good life has offered and spend it on improving my loved ones life. Write a book or two, about favorite subject or work. Search for some startups, which has really bright and studious founders, and back them up.
In the present case and constraints, the best would be to choose simply one broker for the equities, MFs and then enjoy the dividends on your investments. Add a simple BANK FD to divide your risks. You will be getting substantial passive income at this level of investments.
Live Life and Happy Trading
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My suggestion is you go for Z coin with the demat account.
The benefits are already mentioned. But you will thank yourself when it comes to tax filing. When you have all MFs in one demat, its easy to get the statement holding and PNL records.
Try that with cams/karvy and see the pain. E.g My fathers MFs redemption on LIC MF don’t even show up in karvy and karvy is the operator for LIC MF. Which was a real pain while filing taxes.
you can keep a physical copy for record purpose only. Thats the only purpose of a physical copy these days. Everything is electronic these days. you can even digitally sign the electronic docs these days which are as legally valid as a signed copy of a physical document.
But it depends on your comfort level and convenience as to which platform is suitable for you.
@Qrious_Kamal
I don’t buy the HNI aspect, but I’m engaged in a full time job with a MNC. Consider me the only source of income in my family.
Now coming to my case and constraints, the very reason I have posted this query is because I have been thinking of simplifying and aggregating investments to one broker for equities, MFs and allied investments like FD and Bonds.
So the entire question is down to the following:
- ICICI or HDFC vs Zerodha : While the former offers convenience (aggregation across instruments), the latter offers cost advantage (1% of the overall MF corpus).
- My experience with Zerodha personally hasn’t been great, but that’s primarily got to do with their model - where they don’t have a concept of in-person physical support (if needed).
In totality, its down to cost vs convenience. And I’m unable to make a rational decision. That’s way looking to seek some opinions.
Is there a better way to manage all my investments, which I’m not aware of?
I’m invested in FDs, Bonds, PPFs, EPF, NPS on one side. Add to this the, Mutual Fund (Debt+Equity) portfolio to go with stock investments. And I’m personally managing these investments across 4 individuals in my family to go with a full time job.
@trader_dude Does Zerodha have any offering wherein one can get support/services over call or in person, if one wishes to?
Isn’t Zerodha’s philosophy somewhat like this, ‘We give you the platform/technology access and it’s cheap’. Don’t expect anything else from us, if anything happens, ‘God save you’ or write to our support desk and we’d reply. Also, if theres anything you need to do, send us the stuff by post to an address in Bangalore.
Personally I like Zerodha a lot, but when it comes to reliability with ‘real money’, I’m just not convinced.
So can you provide me a counter on this?
@Gautam I completely understand your argument on savings on commission.
So I’d tell you the kinds of issues I have faced in the past 5 years of doing stuff digitally (Direct plans). All these issues exist because as they say ‘there is no free lunch in this world’ and India mein public ko to free dedo kuch bhi, public khush ho jata ha.
So I’ll tell you my few experiences first:
- I had invested about 4-5 Lacs lumpsum via SBI MF website. The money got deducted via Netbanking, but somehow wasn’t getting reflected in their dashboard for over 3-5 days. Now when you are doing stuff digitally, the onus lies on you right. Even I was concerned, and had to do a lot of follow ups (calls/mails) etc. to figure out what’s wrong. Eventually the entire thing got resolved after 6-7 days, it was some TAT issue and reflection issue. But my energy/time got wasted. And yes I used to have time back then.
- CAMS and Karvy apps used to suck back then. Karvy app sucks even today. And if you want to make a fresh investment with an AMC, it won’t allow you to do so. Firstly, apply physically to ensure that your KYC/Bank Details are correct and then come back and do digital transactions generating UTRs and what not. And one operates trying to link investments via PAN the other operates trying to link investments via Email ID. In short, both these apps are in a different state of maturity.
- Zerodha Coin, Kuveras and others have emerged now in the last 2 years or so. Coin’s problem being, we have given you the platform. It’s free now you do what you want, responsibility lies with you. No support if anything goes wrong and if it does, send us a ‘post’ to the Bangalore address. In short no accountability.
- The only solution that wins a reliability and convenience is these banks - ICICI, HDFC, etc. Apni commission lenge but they’d send you this RM who’d do anything you ask him to do. What if tomorrow a transaction that you are doing digitally by mistake (gets done on a forged link/is lost or whatever). I’m not a cyber expert, but what if the transaction amount is 10 lacs? Would you be comfortable talking to Zerodha customer support or do you want someone to take it damn seriously?
Absolutely, i can always call if them i need support and i have many times in the past.
Just dial in put in your TPIN code and they will take your call.
if you don’t believe me , why don’t you call them ask all the doubts you have regarding coin.
Even nithin interacts with so many people on the forum. shoot an email or ask him your query right here on this forum.
I have over 3 Cr invested in MFs in coin. I tried cams/karvy and other free services. Trust me they the most horrible UI and reports are not accurate. Everything is not in one place with other platforms and they are also free.
They still have a long way to go in terms of reporting though , but thats something personal. I use Mprofit for reporting and they are fantastic. I hope coin would generate reports like that someday.
Coin is just a UI to access your MFs in demat. you can switch to another platform/UI if you want tomorrow with some paper work of course , but thats the case anywhere with any other platform.
Explain to me what exactly you have an issue with keeping MFs in demat?
you have any idea how hard it is to manage your LONG term investments if they are only in paper. e.g try managing your FDs in multiple banks without online access and you will know the pain.
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I’m all in for digital. Id definitely give a call on the support number once just to seek some answers once.
I personally don’t have issues with holding MF in Demat. It’s just I’m personally not getting comfortable with the idea that Zerodha is just Bangalore based.
Leaving aside Zerodha, is there any other Mutual fund platform or solution that allows you to invest direct and offers aggregation (AMCs) at the same time?
But why does that matter. Zerodha is not holding your money. Its in a demat account.
you have kuvera and groww , but i believe they are also small startups just like zerodha coin. At least zerodha is now the largest brokerage company compared to something like kuvera/groww.
So whats your overall recommendation?
Zerodha?
Any alternative way to manage these investments?
I suggest you try kuvera/groww and coin. Buy/sell something like 10k MF in all three and evaluate the platforms for yourself. e.g I think SWP is still not available in coin , but is available in kuvera. Also with zerodha coin , redemption goes via your trading account then to your bank account. Since i had a trading account with zerodha i went with coin.
There is no alternative way to manage your own money. you have to do it yourself. if you don’t want to have a trading account and simply link bank a/c to AMC , i guess kuvera would be best fit.
Its your money, do the research thoroughly before investing.
@trader_dude that’s a good idea. Can try the other two platforms as well once.
Lastly, you don’t support migration to Regular plans, for the aggregation across instruments to happen at the bank level?
I dont understand this statement. What do you mean migration to Regular plan?
Why even look at regular plan if you planning to invest with any online platform. The whole point is you get direct plans with these online MF platforms.
@trader_dude I was evaluating the possibility of using ICICI Direct platform, wherein I could aggregate my invesments across Bonds, MF(SIP and Lumpsum).
This is where the forced migration to regular would have happened. My whole argument being supported by the fact, that I have more trust in ICICI/HDFC as an institution for services, over a Zerodha/Kuvera/Others, at this stage.
But I do get your point wherein you are suggesting to stick to Direct Plans no matter what and then choose a platform.
That’s about it. Experience teaches you not the online articles or perceived benefits explained in eloquent English.
As a reply to your answer about online transfers/transactions, the risk is mitigated with credit card. You have a scope to report fraud.
But while you are transacting online with ‘your real money’ and when investing amounts are usually in lacs of rupees. One mistake/experience and you are doomed. One will have to run from pillar to post. I’m only referring in case of lump sum investments. Eg amounts like 5L, 10L. SIPs usually are a safer bet in that respect.
But I have had my answer. The wider consensus is stay invested in Direct plans. And I’d stick to that only. Now when it comes to platform, I’d have to think a bit because all the platforms come with their pitfalls and pros.
@Gautam @trader_dude
Thank you so much for sharing your thoughts. Have largely made my decision to stay Direct. The ambiguity with respect to the platform/mode remains. Seems like will have to do a bit of research to solve it.
ahahha , thats how they get you.
Now icici/hdfc could also have offered direct plans but they didn’t. why?
Their interest is in getting the commission. They don’t care about your investments.
Now imagine in a situation like this(pandemic). you are already in a loss and they get nice commission from you taking a loss.
The final choice is lesser of the devils 
every choice will come with its own risks, pros and cons
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