If you are a mutual fund investor or are considering investing in them, chances are that you may have heard of the term CAS or Consolidated Account Statement. Through this statement, mutual fund managers can regularly notify investors about the fund’s performance. Here, we will explain the concept of CAS in detail for investors to have a better understanding of it and make the most of the information contained in it.
What is a Consolidated Account Statement (CAS)?
CAS, or consolidated account statement, is a document containing all the relevant details of an investor’s:
- depository account and
- mutual fund transactions
CAS was introduced by SEBI in 2015 as part of its mandate for all depositories to consolidate all important investment-related information for each investor and align the same with their PAN.
CAS includes:
- information on each transaction of a mutual fund investment
- purchase and sale details
Investors can use CAS to easily track their mutual fund investment performance at any time. CAS is available free of cost every month. Investors can avail a soft copy of the same through email. For CAS in paper format, an investor must specifically request for the same to be delivered via post.
What information is included in the Consolidated Account Statement?
Here are the details that are included in CAS:
AMC and mutual fund information:
A consolidated account statement includes all transactions surrounding a mutual fund account like :
- purchases,
- bonus payments,
- bank account details, etc.
Apart from this, it also contains reinvestment information or possibility of a New Fund Offer (NFO), investment mode, available portfolio balance, etc. As part of CAS, the AMC also needs to state whether the investor has chosen a systematic withdrawal plan or systematic transfer plan.
Investor details:
CAS must contain information like:
- Name of investor,
- investor contact details,
- nominee information,
- Investor’s bank contact details,
- mode of holding the fund units
Through CAS, one can check the status of nominee registration along with the KYC status. Some of the confidential and sensitive information, specifically surrounding bank details or PAN, are not included in CAS.
Why is CAS important for investors?
Here are some of the ways that the information contained in CAS can help investors:
- Keeping close track of investments: Since CAS contains all relevant information on financial transactions, such as a list of holdings, current value, consultant or mutual fund distributor’s fees, etc, an investor can easily track his/her funds and investments at all times. Using this information, an investor can also take charge of overall financial planning.
- Helps assess the company: With a consolidated account statement, one can get better clarity on a mutual fund’s or company’s financial health, and overall performance. Investors can thereby take more informed investment decisions for the future.
- Paperwork reduction: Since CAS comes as a single document containing all the relevant investment information, it helps in significantly reducing the paperwork that would otherwise be needed to gather all investment information.
- Tax liability: Since CAS contains all investment information, an investor can easily know his/her tax liability for a financial period. It can also provide information required for claiming tax deductions and investment proofs required for tax saving.
How to access CAS online?
CDSL or Central Depository Services Ltd. offers a facility using which investors can easily download their CAS straight from the depository’s website. Here are the steps to be followed to access the same:
- Login to CDSL’ website at – www.cdslindia.com
- On the home page, select ‘login to-CAS’ option
- Users can login using their date of birth, PAN, and demat account number
- Once a request for CAS has been submitted, the user will receive an OTP on his/her registered mobile number
- A user can also select the month and year for which he/she wants to use CAS
What are the benefits of CAS?
Some of the benefits of CAS are:
- Easy Tracking: CAS allows investors to track all their investments in different mutual fund schemes and securities in one place, making it easier for them to manage their portfolio.
- Comprehensive View: With CAS, investors can get a comprehensive view of their investments across different asset classes and with different intermediaries, helping them make more informed investment decisions.
- Reduced Paperwork: With CAS, investors no longer need to maintain physical records of their investments, as all their transactions and holdings are available online in a single document.
- Better Control: CAS enables investors to have better control over their investments by providing them with a transparent and accurate view of their portfolio.
- Simplified Taxation: CAS makes it easier for investors to calculate their tax liability, as it provides a consolidated view of their capital gains and losses across all their investments.
- Improved Transparency: CAS enhances transparency in the investment process by providing investors with information about their investments, including their holdings, transactions, and fees and charges.
- Enhanced Security: CAS provides a secure and encrypted platform for investors to view their investment holdings and transactions, ensuring that their sensitive financial information is protected.
Conclusion
Every investor should know about the various factors like financial standing, strategies, risk appetite, investment goals, portfolio diversification, etc. while conducting a thorough research for informed investment decisions. Ensuring that one has access to a consolidated account statement on a regular basis can help to keep a close watch on your investments and maximise benefits from the same.
FAQs
CAS includes all the mutual fund folio details of an investor as linked to his/her Permanent Account Number or PAN. While starting an SIP investment in a mutual fund, for instance, the PAN details are submitted. Based on this, CAS sources and includes all details on the investment.
SEBI has mandated for all the AMCs to state all applicable fees and charges against every investor’s total investments in half yearly CAS. The information therefore includes expense ratio, gross commission, operating expenses and other payments, if applicable.
Yes, in case an investor comes across mis-represented or misinformation in CAS, he/she can dispute the same with the mutual fund house for correction through depositories.
No, any folios held in a minor’s name are not included in CAS.
Depositories are institutions that hold an investor’s securities in electronic form, also known as dematerialization of shares or DEMAT account. Depositories look after the safe-keeping of an investor’s securities and keep a record of all transactions. The two depositories in India are Central Depository Services Limited (CDSL) and National Services Depository Limited(NSDL).
