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From March, get single statement for MF, demat holdings, says SEBI

| Updated on: Nov 12, 2014

Consolidation of account statement would be done on the basis of PAN. For accounts held by more than one person, the PAN of the first holder and pattern of holding would be considered.

Starting March 2015, investors will receive a consolidated account statement (CAS) for all their mutual fund investments and demat accounts.

This would be a unified record of transactions done during February 2015 and their holding in the accounts.

Budget announcement effect

This follows the Union Budget announcement to create one record for all financial assets of every individual. In a circular on Wednesday, SEBI directed depositories (NSDL and CDSL), asset management companies and mutual fund registrars (RTA-CAMS, Karvy) to put in place systems that would generate and dispatch single CAS to investors.

AMCs and RTAs have to share information with the depositories on a monthly basis to enable generation of CAS.

Consolidation of account statement would be done on the basis of permanent account number (PAN). For accounts held by more than one person, the PAN of the first holder and pattern of holding would be considered.

Matching PAN & CAS

AMCs/MF-RTAs and the depositories would match their PAN database to determine the common PANs for allocating the job of sending the CAS.

For PANs which are common between depositories and AMCs, depositories shall send the CAS. For cases such as PANs with no demat account and only MF units holding, the AMCs/ MF-RTAs shall continue to send the CAS to their unit holders as is being done presently.

For investors having multiple accounts across the two depositories, the depository having the demat account, which has been opened earlier, shall be the default depository for CAS.

However, depositories have to give demat account holders the option to receive the CAS or otherwise; option to receive by email or in physical form and option to choose the depository through which they wish to receive the CAS.

The CAS has to be dispatched to investors within 10 days from the month-end. Accounts with no transactions during the month will receive CAS once in six months.

Published on November 12, 2014

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