Mutual funds can be bought, held and sold using D mat accounts. In this video, we will see how this is possible and what is to be what is needed to be done. We will also see the nuances of holding mutual funds through a D mat account. Now, for the people who may not be familiar with debit account, we will very briefly touch upon what exactly is the merch account and how it operates. So, what is d mat account? D mat account is an account in which investors can hold their shares and bonds etc.

In electronic format. dematerialization is the process of converting physical documents into electronic form. So, in a D mat account the investors stocks bonds, mutual funds etc remain in a D materialized form. investors can hold their mutual funds also in the D mat account. This demek realization is not a very big advantage in the case of mutual fund investments. Because even in the physical form the mutual funds are held in electronic form only.

There is one huge advantage of D mat accounts. When the investor dies, all the holdings of the investor can be transferred to the legal heir by just transferring the D mat account. Now, to transfer the demand account, the legal aid needs to submit the death certificate etc and the demand or create a new demand account for himself or herself. Then the D mat account to the investor can be transferred to the new account that has been created for the legal a in the case of mutual funds are held in the physical form. Now the legal heir has to apply to every AMC where the investor had mutual funds to transfer the holdings to his or her account.