How to transfer your funds in case of the first holders demise

In any investment, holding the same on Either or Survivor basis is the best option.

In case of mutual funds, please note the following modalities depending upon holding / status of the investments -

1. Either or Survivor basis – On demise of either of the investor, the other investor can submit the notarised death certificate along with an application to get the units transmitted in his / her name. However, the bank accounts details to be checked and if the bank details need to be changed then submission of a cancelled cheque would require along with the application.

2. Nominee – In mutual funds you can actually nominate more than one person and allocate proportion % in which the units will be shared by each nominee (should aggregate to 100%). Upon demise of the unit holder, the nominees can claim the amounts upto the proportion % allocated to them by writing to the AMC with his / her ID, address proof and bank details. If the nominee/s wish, they can even request transmitting the units in their name by submitting the above documents along with KYC & FATCA formalities fulfilled.

We think, the investors should think through all these while investing in mutual funds or for that matter any financial instruments in order to avoid any dispute or inconvenience in future.

Hope the above helps you.

Thanks