buy sell mutual funds through hdfc online banking

POSTED BY Sonal R Patel ON February 3, 2013 2:36 pm COMMENTS (10)

I have HDFC salary account and I do buy/sell mutual funds through ‘mutual fund section availabe in hdfc online banking’. But many fund houses like Peerless, Taurus, Templeton, DWS, etc. are not available in the list. Also many debt funds in some fund houses like ICICI, BSL, Canara Robeco, etc. are not present. So, how to buy debt funds of my choice?

10 replies on this article “buy sell mutual funds through hdfc online banking”

  1. Sonal R Patel says:

    Canara Robeco Short Term Inst, IDFC SSI Short-term, Escorts Liquid, Birla Sun Life Floating Rate ST, Peerless funds are not available in HDFC ISA.

    Can you help me in Debt Funds from bigger AMCs for 8-15 months target?

    Thanks
    Sonal

    1. Dear Sonal, although a bit riskier than debt funds, but for 15 month period, I may opt MIPs like Reliance MIP or HDFC MIP LTP. That’s my personal call for myself if I want to go for the given duration,

      Thanks

      Ashal

    2. Ramesh says:

      If you want to invest for period upto 31st March 2014, then use dividend option of Templeton Low Duration Fund (exit charge applicable till 3 months) or Templeton Short-term Income fund (exit load applicable till 9 months).

      If you want to invest for period beyond that, then use the growth option of the latter.

      If you are not sure, follow the first option.

  2. Ramesh says:

    1. Templeton’s funds are all available in HDFC ISA. See under Franklin Templeton AMC heading.
    2. The other smaller AMCs are not available. I cannot confirm/deny about funds from ICICI or Canara Robeco or BSL. In general, they should be available, unless some of the funds are marked for Institutional or have been merged that way recently. Do check those things or tell us the names of funds which you want to invest in AND they are not available to you in HDFC ISA.
    3. From Jan 2013, there is availability of separate NAVs of Direct Plans under various funds in the major AMCs (I have not bothered to check the status in smaller AMCs, since I do not follow them). So this just means that if you invest in these AMCs directly through their site portals as DIRECT, then you will get an added advantage of having lesser expense ratio. So, by losing the ability to track all of them at one place, and by going directly to AMC into their Direct plan versions, you get that benefit.
    4. If you do not want to lose such abilities, you can either continue in HDFC ISA or you can go to fundsindia or others. This does not mean that fundsindia is charging you anything. No they do not (though, HDFC bank does charge you), they just take the trail commissions which has been allowed all these years in the MF industry. Fundsindia even allows you to go to Quantum AMC which does not provide trail charges since their inception. So, from my point of view, fundsindia has a lot of good will.

    In short, fundsindia is ‘free’ as they have stated.

  3. Radheesh says:

    Hi Ashal… Is it not easier to use an online portal like fundsindia as they give you an easier access to all your funds in a single location and track them with ease? Also, are u saying that there is additional expense ratio if we go via such online portals more than the ones the AMCs charge on them? If so, whats stated as free is not really free may be? Can u clarify please?

    1. Dear Radheesh, when I’m saying lower expense ratio, I’m referring to new kids on the block – Direct funds from same AMCs. If you are investing through fundsindia or sharekhan or icici direct or HDFC Bank ISA, the expense ratio is common to all these brokers.

      But when you are investing directly with your AMC say in HDFC top 200 fund Direct plan, the expense ratio ‘ll come down to nearly 1.2% against the 1.8% of broker option.

      Hope I’m, able to clarify your doubt.

      Thanks

      Ashal

  4. Dear Sonal, if you are using the services of any online distributor, the expense ratio ‘ll be a higher one. Where as if you invest directly with AMC or through RTAs, the expense ratio ‘ll be lower by 0.5 to 0.6% & this ‘ll create a good difference in the final corpus after 20-25-30Y down the line.

    Thanks

    Ashal

  5. Sonal R Patel says:

    Dear Suhel and Ashal
    Is there any additional charges for using those online distributor or RTA CAMS or Karvy?

    Thanks
    Sonal

  6. Dear Sonal, you may purchase directly from the fund house or through RTA CAMS & Karvy. Apart from that, there are online distributors as mentioned by dear Suehl above.

    Thanks

    Ashal

  7. suhel desai says:

    you can purchase from online distributors like fundsindia or fundsupermart. you will need to open an account with them.

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