POSTED BY May 22, 2012 7:24 pm COMMENTS (34)ON
Today I got a mail from www.moneysights.com that they stopped mf transaction through their website.But the mail contains no information why they have taken such step.In these circumstances existing unit holders will definitely face problems.Should we trust these types of online mf platforms like fundsindia or moneysight.
2021 © Jagoinvestor.com All Right Reserved
34 replies on this article “Why www.moneysights.com Stopped its online mf transaction.”
This is very unprofessional from MoneySights, this has caused inconvenience to a lot of investors. Earlier when they used to advertise their products Santosh used to answer to each one’s query but now he is gone hiding.
Manish your team should have done a background check before allowing moneysights to advertise here. Most of the investors invested because of their trust in Jagoinvestor.
I had a choice to choose between Moneysights and Fundsindia, I am glad i opted for Fundsindia and i am very happy with their service, somehow this guy santosh did not impress me with his conversation.
Dear Rakesh & others, Sky is not falling. All of you who have investments with moneysights have the option to shift the same to other ones. Just forget about this moneysights thing –
So many retail chains closed down in last 2-3 years – Subhiksha, Spencer, More…………. had any body made a cry? No. People got adjusted to next best opportunity.
Same is the case here. Please do not get so much annoyed for moneysights. I’m not defending moneysights or team Santosh or even dear Manish but merely clearing the way ahead for all of you.
Disclosure – I’m an active investor having an online MF account with fundsindia.
It does make sense that company may not see business sense in continuing but point to observe is that did they came to that decision in 1 day.. Senior managment must have been discussing this from some time. if they knew that the decision would be in favour of stopping the operations then they must have stopped the transaction then and there and stopped taking further applications.
for me , my first SIP was executed on 20 and after 2 days am seeing this notice that the operations have been stopped. This is frustrating as if they decide to stop the operations in just 2 days. There would have been many more whose SIP/transaction would have been carried out near 20 of this month.
Another thing to note is that they have given only 7-8 days to redeem ur existing units. A person may not be able to decide within such short span whether he wants to redeem the units or continue keeping it.
Just hope if i could have made any contribution to keep MS alive. Was a wonderful platform for newbies..
Companies open and they close, no big deal!!
The only thing I find irritating / unprofessional is that they have not mentioned anything on their website. The signup page still seem to work.
There would be lot of people who might not have known the news yet, what about them if they signup or waste time comparing moneysights with others? If they have informed it to their existing customers, they should do the same to the potential customers.
Think over it once and try to find out an answer, you will get the answer on your own. At some point of time, a company might not see a business sense in continuing some thing and things can get out of control. This happens all over the start up world, i think one should not be too much attached to this incident , better focus on what to do next .. As Zion said above they have professionaly closed the service intimating all the aspects of what happens next.
Thanx all, This incident might work as an eye opener for JagoInvestor team and Manish who frequently adviced us to invest through moneysights.Though our money is safe, what happen to our personal data sent by us at the time of a/c opening.
I am using fundsindia for the past 8 months . I am overall satisfied with the service.
I am using FundsIndia since last year. and I am happy with their service.. and they are also quick in responding.
We rolled it out just a few weeks back. In your case, you likely don’t. Please wait a few days and we’ll have it out for existing customers as well.
Chill ! The issue is not that big as it is being fussed about here. Definitely if the company is no longer providing the service impacts your ability to do online transactions and adds to your inconvenience. But your money is perfectly safe ! Moneysight is just a broker sitting between you and MFs. You can still get your statements and transact offline, which personally speaking is not that tedious as we all thing, specially when it comes to SIPs. SIP requires one time effort and no further paper work, except when we want to modify, stop, increase or redeem them. Considering them to be a long term investment, doesn’t sound to be a big problem for a one time effort. What if tomorrow FundsIndia is out of business ? There is no gaurantee to this.
Lets wait for further details on Moneysight.
We have rolled out this facility (open ECS) for new customers only as of now. In a few days, we will roll it out to existing customers as well. At that point, you can generate an open mandate for each bank account that you have and get it registered so that you can start an SIP any time from any account that you have.
When did you rolled out open ECS facility , i opened account with Fundsindia around March 2012..how can i know whether i have that facility or not.
Don’t worry about stopping the SIPs. They have indicated that the SIPs will automatically stop. Just please open an account with FundsIndia, and employ the Easy Transfer process to shift the folios.
Regarding continuing the SIPs, it would be best to start the SIPs as part of your FundsIndia account opening process for quickest turnaround time. We can merge the folio ids later if you need.
PS: For others: I am happy to inform you that at FundsIndia, we are following the same open ECS mandate process that MoneySights was following. So, you can do a one-time ECS setup for multiple SIPs and not submit paperwork for future SIP setups.
Thats great , i already have active account with Fundsindia …so as you suggested i will use Easy transfer process to shift the folios immediately
Great news. I wanted to put that in as suggestion but you people have made it already 🙂 .How does this work now who already has Fundsindia SIPs going on. Will we need to send one time ECS mandate form ? is it available for download in the site?
I already have an account with FundsIndia. Today when I asked your customer care on transferring of folios from moneysights, they told me that first I’ll have to make them a Direct Holding.
Please advise me on this!
I dont see any unprofessional behavior on part of moneysights here. They have given a advanced notice to existing people saying they are closing out the business and have clearly mentioned the further options the people can take to get their investment transferred or redeemed.
Simple point is they have realised they cannot sustain their business and hence wants to close down . What they have done is very professional way to do.
This does not mean other platforms are going to go burst. There is no panic button to press yet.
Well closure of a company can be due to muliple reasons unknown to the masses. I think we should wait for an official statement from Moneysights before discussing about the same here. For the investors who invest through them, there is no point in clicking the panic button as your investments are with AMC and not with the online distributor. I know it would sound troublesome but you may opt for other online mutual fund portals like “fundsupermart” and “fundsindia”.
They have been into the industry from quite some time and have gained good credibility among investors about their services. Just remember, before selecting any of the distributor service i would advice to view their history as well as use their respective online chats to understand them better.
Disclaimer: I use Fundsupermart.com for my mutual fund investments and have done a complete analysis before investing through them. Also I’ m Happy with their Personalised Services 🙂
I think in general the closure of Moneysights is being blown way out of proportion.
They are not the erstwhile finance companies RUNNING AWAY WITH YOUR CAPITAL. Your capital and market returns are yours to keep. They just are removing the online feature and that’s all to it. Moneysghts was indeed superior in terms of setting up SIPs online etc. and it is a sad thing to seem them go away but other than the loss of convenience and additional paperwork now there is absolutely no loss to anyone.
In any case people holding more than 4-6 schemes are generally over diversifying and it is likely these 4-6 schemes will come under 3 -4 fund houses max. Just go and get the transaction pin for those AMC websites or look at platforms like FundsIndia. Some AMCs like Reliance let you generate password/PIN online itself making it further inconvenient.
This is really strange. There is no such info on the internet except for few forum discussions. On the website also moneysights.com has not put any information regarding this. Do I smell a fish here?
Sad to hear about the demise of Moneysights..
I have been using fundsindia for over a year now and am quite happy with their services til now..Recently when my wife wanted to start investing in MFs, we were tempted to try out moneysights by the strong recommendation by blog members, particularly Manish.
Still we went with fundsindia, becoz of the already good experience.
IMHO, the reasons for collapse maybe
1. The MF industry is launching its own online platform
2. In this tight market, Fundsindia has the firstmover advantage.
However the main issue is that there are lessons for all of us in this fiasco..
1. I have kept al necessary arrangements ready (eg. HPIN etc) for direct online transaction with the AMC in the event something similar happens to Fundsindia
2. Allways keep cheking with CAMS or the AMC for accuracy of your investments
3. To Manish, you have been doing a fabulous job with this blog. Plz dont tarnish it with these actions. sure, you continue to recommend us good things but always try to give multiple options without trying to favour anyone particular.
4. LASTLY, all of us should realize that ultimately we ourselves are responsible for any decision we take no matter who says what. So check thousand times before u invest!
Srikanth from FundsIndia here. I am a co-founder and director at FundsIndia.com
I note with sadness the closing of MF services by MoneySights.
However, I request folks to not extrapolate this to a failure of all online transaction platforms.
At FundsIndia, we were the pioneers in this field and our company is in a VERY, VERY HEALTHY state. We are not going anywhere. As our customers have noted, we have recently ADDED features to the site and we are primed to provide more FREE value-added services on our MF platform.
If you are a moneysights customer looking for an alternative, do check us out at FundsIndia.com and send us a mail at email@example.com
Thanks and regards,
Thanks Srikanth for the assurance. On a side note I wish to congratulate you and your service team for providing excellent support.
I had a account with moneysight & fortunately with you (Fundsindia ) as well , however as of now i was inveting in SIP through moneysights only .Now if i want to transfer my folio from Moneysights to Fundsindia , your representative suggested me to cancel the existing SIP from moneysights and then use Easy Transfer option.
However when i went to moneysights , i am surprised to see there is no cancel /stop option available there . i tried contacting there customer care , but to my surprise even doesn’t know how to stop ..instead he told just to drop a mail to them…disgusting.
Can you please suggest me seamless steps to transfer my folio from moneysights to you and then continue them.? Early response appreciated as Moneysights closing down on 28th May..
If you walk down your market area in your town/city or even in many other places chances are you will find a dozen MF agents. You can apply through them.This can continue for sometime. The agent may decide to leave the place anytime. Is your money unsafe? No because the folio is maintained by the registrar. The agent was merely that – an agent/broker.
Moneysights was an online broker and that’s all to it guys. Agreed it is putting some of us into inconvenience in setting up SIPs all over again but barring that I see no issues here. It is still prudent to go with other online brokers like FundsIndia or just go online directly with the AMC. Paying for MF purchase is a sheer waste of money unless you are given extremely sound research based on your personal risk profile.
I too got this email from moneysights. This is not professional. That’s the reason I always thought of going for brands like HDFC ISA because even if they charge you nominal fees you can be sure that you are dealing with an established professional company and that your money is in safe hands. I agree here also our money is safe as the folios are maintained by the Registrar of the Mutual funds as said by JGMM but still it gives un necessary mental trouble and botheration.
Taking a lesson from this incident I think we should shun investing with these local unprofessional companies and go for brand names only like HDFC, ICICI etc.
If anyone disagrees, please share your comments.
It is your decision.
Why not select a Single MF company, and invest online into it (or for that matter, two companies at max.).
Anyways, we got the Jagoinvestor book written by Manish for free.
Experts – what do you suggest to the people having their active SIPs in MoneySights?
MoneySight did come with big bang. Not sure what might have gone wrong. wild guess, Any chances of take over by another company?
I too got similar email notification from moneysights support team. I am really appalled to see such an unprofessional service from them. I had sent my initial application sometime back. I had received an email notification recently from them asking me to submit additional information for processing my application. After all this painstaking effort, I got an email that says there are no longer in this business. I got in this trap after reading some posts on this website which were really praising their service. Please remember and remind yourself every time you hear something like this, that there are no freebies in the world. Therefore I urge people who post information and recommendations about such websites in the future to be more responsible before giving away strong recommendations.
Manish must say something on this topic.
Guys – In any case your money is safe as the folios are maintained by the Registrar of the Mutual funds.
There can be many issues for a fledgling company in terms of cost overrun etc. that might make operations unsustainable. Lets wait to hear the official version,though.
I have received similar email. Can Santosh ( from Money sights) explain the situation? . Santosh is active member of JI
Dear Sanjay, first of all please check the matter with moneysights itself to know the exact reason.