How can minors invest in a mutual-fund scheme?
Oct 14, 07:10

Minors can invest in mutual funds through their parents or guardians. Make that minor is the first and sole account holder. There needs to be a guardian as well; parents or court-appointed legal guardian. Also, make sure that the bank account from where the money would flow in your child's mutual fund account is also held in the name of the child. On attaining the ‘major' status, the guardian needs to apply for change of status of the account holder from minor to major, using the Minor to Major (MAM) form. If you don't apply for this change, the mutual fund will suspend future transactions in the scheme.

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