What Is A Consolidated Account Statement (CAS)?

The investor receives all the necessary information about their transactions and investments related to depository accounts and mutual fund investments in one comprehensive document known as the consolidated account statement. In 2015, SEBI implemented CAS after assigning all depositories the duty of compiling this crucial investor-related information in conjunction with their PAN.

Every transaction involving a specific mutual fund, including purchases and sales, is detailed in the CAS. Investors can systematically follow the performance of mutual funds over time as a result. The document is made available each month without charge, usually as a soft copy via email. They are also provided via hard copy based on a request that you have to put forward. They usually include:

1. AMC and Mutual Fund details- All financial transactions, including purchases, fund transfers, bonus payments, bank account information, etc.
2. Investor Details- Included are the investor’s name, contact information, nominee registration, bank contact information, and method of holding the units.

Benefits of Consolidated Account Statement 

The Consolidated Account Statement offers numerous advantages to investors, including:

• Streamlined Investment Monitoring: CAS allows investors to easily oversee all their holdings across various schemes and Asset Management Companies (AMCs) in one comprehensive statement, streamlining the monitoring process and eliminating complexity.
• Efficiency in Management: The advent of CAS has eliminated the need for investors to sift through several statements from different AMCs to monitor their portfolios. Now, a singular statement consolidates all investment information, significantly reducing time and effort.
• Tax Planning Assistance: The consolidated view provided by CAS aids investors in better tax planning by offering a holistic view of their investments. This comprehensive insight supports informed decision-making regarding tax obligations and investment strategies.
• Enhanced Transparency: CAS ensures total transparency in investment activities, presenting detailed records of all transactions, such as acquisitions, sales, and transfers. This clarity allows investors to verify that their investments are managed in accordance with SEBI’s guidelines and regulations.
• Reliable Accuracy: The preparation of CAS by the registrar and transfer agent (RTA) assures investors of the accuracy and reliability of their investment data. This precision is crucial for making confident and informed investment decisions.

Why is CAS important for mutual fund investors?

There are many benefits of consolidated mutual fund statement for mutual fund investors such as:

• Investment Tracking: Monitoring investments is a breeze thanks to CAS, which contains all the information about financial transactions, lists all holdings and their current value, notates consultant/mutual fund distributor fees, and more.
• Helps evaluate the business: The consolidated mutual fund statement gives investors additional information about a fund house’s or company’s financial condition, performance, and general standing, which makes it simpler for them to make educated investment decisions.
• Reduction in Paperwork: Paperwork management is greatly streamlined as a result of the organisation and collection of all the information into a single, well-organised document.
• To the point: By removing all subsidiaries and concentrating on a fund’s or company’s overall performance, the process is streamlined and investors can always keep informed with minimal effort.

How to generate a Consolidated Account Statement?

There are 5 steps to generate the CAS:

1. Visit the website https://www.camsonline.com/
2. Click on the tab named Investor Services
3. Click on CAS-CAM, Karvy, FT, SBFS
4. Type in your email ID and your PAN (Permanent Account Number)
5. Choose your own password and it does not have to be the same as given mutual fund account

How do AMCs compute Consolidated Account Statement?

In addition to including all marketing costs paid on distributors in the form of gifts/rewards, travel, and event sponsorships, AMCs publish distributor commissions in common account statements. According to the average AUM that each investor holds in each scheme, AMFI has requested that AMCs determine the commissions.

The CAS determines the statement of transactions and holdings for a shareholder’s Demat account with NSDL and CDSL. The NSDL CAS provides information on transactions and holdings across many Demat accounts and mutual funds. It also includes stocks, warrants, preference shares, and mutual fund units that are kept in a dematerialized form.

Money market instruments, securitized assets, government securities, and corporate bonds make up the remaining elements. With platforms like Karvy, Cams, FTAMIL, and SBFS, investors can get a consolidated view of their holdings or funds under a single PAN. The investors will receive it via email.

What are the contents of a Consolidated Account Statement?

There are two main components of CAS:

AMC and Mutual Fund Details –

Every financial transaction is recorded in a consolidated mutual fund statement, including fund transferring or merging, dividend or bonus payments, bank account information, and redemption before or after maturity dates. They also contain details about reinvestment and whether a New Fund Offer is being made (NFO). It provides specifics about the investment approach, such as the closing and opening share unit portfolio balances, whether they are lump sum or SIP (Systematic Investment Plan). Some investors, according to the AMC in the statement, choose for the Systematic Withdrawal Plan or Systematic Transfer Plan.

Investor Details –

A consolidated mutual fund statement requires nominee registration and your bank’s contact information in addition to name and contact information. Additionally, it includes details on each plan and portfolio’s ISIN, UCC, and unit holding mode. Checking the KYC status and nominee registration status is made simpler by CAS. But, it won’t contain private information like your PAN number or your bank information.

What are the Disadvantages of Consolidated Account Statement?

The Consolidated Account Statement (CAS) offers various advantages, yet it comes with its own set of challenges:

1. Duration Limits: The availability of CAS is restricted to a six-month window. For those requiring records spanning longer intervals, it necessitates creating separate statements for each time frame.
2. Readability Issues: Investors managing a vast portfolio might find the CAS overly intricate and challenging to navigate.
3. Privacy Risks: With critical data such as Permanent Account Number (PAN), investment specifics, and personal contact details included, investors must safeguard their CAS to avert potential data breaches.
4. Reliance on RTA: The production and precision of the CAS rely on the Registrar and Transfer Agent (RTA), making investors reliant on their efficiency and punctuality in delivering the statements.

Conclusion

You should be aware of things like your financial situation, investing objectives, risk tolerance, short- and long-term plans, portfolio diversification, and so on as an investor. Always remember to conduct thorough research before making any type of investment. With the development of technology and the internet, you may achieve this with the aid of online resources or mobile applications that can provide you with real-time market updates, professional guidance, price alerts, and other useful insights. To keep track of your investments and maximise their potential, make sure you receive the consolidated account statement on a regular basis.

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