Capitalworx has teamed up with RankMF to help you sanitize your mutual funds portfolio with an online smart-switch upgrade facility.
Quick how-to guide:
- Open an online account here: https://www.capitalworx.in/go/invest-online
- Once you get your customer id, login and click on “Evaluate Portfolio”
- Upload your e-CAS (Consolidated Account Statement)
- Boom! you get your portfolio evaluation score
- You also get recommendations for upgrade to higher rated funds
- If you agree, click to activate the switch – and you’re done.
- Mutual Funds Portfolio sanitized successfully
Check out the detailed steps below:
1. Open an online investment account:
- The Portfolio Evaluation is only available to registered customers
- So it is necessary to open an account through above link.
- The complete process of account opening is online, paperless and free.
- You will need clear soft copies of your PAN card, Address proof, bank cheque and photograph.
- You can sign online with a digital pen, mouse or with your finger on the screen to complete the process.
2. Evaluate Mutual Funds Portfolio
You will receive your customer id in your email after the account is successfully opened. Login to your account and click on “Evaluate Portfolio” in the top navigation bar.
3. Generate e-CAS – Consolidated Account Statement
It will open a page where you need to upload your e-CAS (Consolidated Account Statement) for evaluation.
- You can get your e-CAS from the following links.
- For mutual funds portfolio held in demat accounts, you can generate your e-CAS from CDSL:
- You will need your PAN, BO id (demat a/c number) and date of birth.
- For mutual funds portfolio held in non-demat form, you can generate your e-CAS from Karvy Fintech
- If there are no transactions for the period specified, the e-CAS will not be generated.
4. Mutual Funds Portfolio Evaluation Score
Once you upload the e-CAS, you will get the Portfolio Evaluation Score. This score is based on the RankMF algorithm which tracks 20 million data points consistently to rate mutual funds performance. The portfolio evaluation will tell you
- the good mutual funds in your portfolio – stay invested, no change
- the bad mutual funds in your portfolio – recommendations of better funds, click to change.
- The reason for low rating of bad funds is also given.
- In the same asset category, the algorithm will suggest a fund which can potentially give you a 20% better performance.
- However, if such fund is not available, the algorithm will look for a better fund in a different asset category. The algorithm will suggest a new fund only if it can potentially give a 30% better performance.
- You have the option of accepting or rejecting the recommendations. You can even partially accept them and de-select the others which you do not like
5. Click to Smart – Switch Online
- Once you click the button, the online process for switching your mutual funds portfolio will be handled automatically online.
- The redemption proceeds will not come to your bank account. The Clearing Corporation of Bombay Stock Exchange will directly transfer the amount to the new fund.
- You have to consider the tax implications of the switch. If there is a gain, you may have to pay short term or long term capital gain tax as applicable
- ELSS funds will not be switched if they are blocked due to tax saving scheme. In such cases, the transactions will be rejected at the RTA level.
- If the balance in the fund is lower than minimum amount required for the new fund, then, the switch will not happen.