Mutual Fund Investing via IIFL

POSTED BY Jeetu ON May 25, 2012 12:10 pm COMMENTS (14)

As Moneysights had stop its operation for online purchase of MF, I am looking for feasible alternatives.

I come across, India Infoline platform for investing in mutual funds
https://appserver.indiainfoline.com/muon/mufuapplnform.asp

They are not charging for opening the account. Also they told the buying and selling transactions will not attract any charges.

Anybody having experience with IIFL for mutual fund investment?
Any idea about any hidden charges involved?

14 replies on this article “Mutual Fund Investing via IIFL”

  1. Varun Khurana says:

    I am using IIFL demat account from last 4 years. Its preety good and easy to use. There are no hidden charges whatever the charges guidlined by SEBI all the demat account follows the sam.

  2. Jeetu says:

    Thanks Ashal for your response.

    Just few comments… Icici bank Invest @ Ease will not be charging as per T & C (http://www.icicibank.com/Personal-Banking/investments/mutual-funds/mutual-funds-online.html)

    As you said fundsindia has been satisfactory for you… I think I need to give it a try…

    1. Jeetu says:

      Only condition as per SEBI is that, the monthly SIP should be less than 10k or lumpsum investment should be less than 10k…

      1. Ramesh says:

        You need to correct it to: total of the sip is to be considered. Eg if you put sip of 1k for 12 months, it will be considered as 12k and will incur a fee of 100-150 charged over a few months or so.

      2. Dear Jeetu, the charges for online investment in invest@ease are clearly written. check this –
        In accordance with SEBI circular, Cir/ IMD/DF/13/2011 dated August 22, 2011, the following transaction charges will be levied on all Mutual Fund purchases of Rs. 10,000/- and above –
        1) For existing investors, Rs. 100/- per subscription.

        2) For new investor, Rs. 150/- per subscription.

        In case of SIPs, the transaction charge shall be applicable only if the total commitment through SIPs amounts to Rs. 10,000/- and above. In such cases the transaction charge shall be recovered in 3-4 installments.

        Regarding that SIP issue, it’s the mly SIP * no. of months & not a single SIP amount to be considered for transaction charges.

        Regarding that fundsindia account, please invest only if you are comfortable yourself.

        Thanks

        Ashal

  3. 3sharad says:

    Hi Jeetu,

    I don’t think brokerage houses would have any hidden charges. They are paid commissions by the fund houses and they do not charge the investors for mutual fund investments.

    If you wish to trade in equities some time later, getting an account with a brokerage house would help. Edelweiss has a good platform too.

    Regards,
    Sharad

    1. Jeetu says:

      Thanks 3sharad…

      I inquired with them, they asked to open the trading+demat account with them. As you said if i am interested in investing equities in future it will benefit me… But at present I am looking for MF investment only.

      1. Ramesh says:

        Live in the present. Do not get locked in a non-required money-losing option.
        Invariably, after opening a trading-demat account, you will be paying money for that account maintenance. And to justify that, you will start with (small initially) investing/trading. There will be offers for too-good-to-be-true easy methods of earning a lot from the stock markets and real-market-beating stock tips. Even if you can resist all of those, the yearly maintenance of your demat account will not help you.

        Atleast I cannot find any Justification. There are no Free Lunches, atleast not for long.

        1. Jeetu says:

          Thanks Ramesh for your comment.

          The points which have mentioned, already I knew thats why I skip the decision to go for Edelweiss.

          But, as of now, I have to choose from the below:
          (I already have demat acc with Axis for which there is AMC).

          1) Open an online account with IIFL (No opening/ No Transaction charges) and get the units in axis demat
          2) Go for Icici invest @ ease
          3) Funds india

          [3 option is easy, free but at the same time, TRUST factor is a worry]

          1. Ramesh says:

            Trust factor: what particular thing is worry. They just provide a secure platform for you to interact with the AMCs. They do not keep your money. You are not locked in.

            Otherwise, just open an online access account with one or two of the AMCs and use them. That is what most people should actually do. You DO NOT need (you may Want, though) a lot of schemes.

          2. Dear Jeetu, out of the 3 options mentioned by you, option 3 of fundsindia is not possible to you due to your trust factor. In case of option 2, icici bank ‘s invest @ ease, it’s on chargeable basis so you ‘ll give a miss to it too.

            So you are left with only one option i.e. IIFL.

            By the way, I’m using fundsindia for my personal investments & I’m comfortable with it & satisfied.

            Thanks

            Ashal

  4. Dear Jeetu, it makes sense to with Indiainfoline, only if you are using Demat services also. Else for pure MF investors, fundsindia is a better choice. I neither have any personal experience nor any friend’s for indiainfoline so can’t comment on service related or other issues.

    Thanks

    Ashal

    1. Jeetu says:

      Dear Ashal
      Thanks for your response. I am primarily (& solely as of now) focusing on investing in MFs.
      To start with I opened my account with Moneysights (I had option to open with fundsindia too). But after moneysights closing I am somehow not getting trust on unknown / new firms.

      I know fundsindia are the first to come to this market and they are there from more than 4-5 years.

    2. Subbiah murugan says:

      Hi
      IIFL charged Rs 750 for opening demat account from me.

      No free…..

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