Well, there are multiple options for someone looking to invest online in Mutual Funds. Almost all mutual funds offer online investing through their own website or mobile app Certain distributors of Mutual Funds offer online investing facility through websites or even through mobile phones. Nowadays, there are some portals that also offer online investing for a fee. These portals do not earn commission and hence may be able to offer direct plans.
Like investing through paper mode, online investing also requires processes like KYC and submission of photocopy of the PAN card. If you have completed the KYC formalities, you can straight away invest online since the KYC is in centralized databases accessible to the Mutual Fund companies. If you haven’t done the KYC yet, many Mutual Fund companies allow online KYC for first time investors if one has the Aadhar number. If you haven’t done the KYC and if you do not have Aadhar, too, you must complete the KYC formalities once through submission of various papers offline – KYC application form, address proof, identity proof, etc. After the KYC is completed, you’ll be able to invest online.
To invest online, you definitely need netbanking, since the payment for the purchases would go through this route.
So go ahead, and invest online, and enjoy your Mutual Fund journey from the comfort of your home/office!