What is a Folio Number in Mutual Funds and How to Find It?

There are no two ways about it that the mutual fund industry in India is growing by leaps and bounds as different kinds of funds cater to all types of investment needs. With an increase in investor awareness about mutual funds, the growth shown by this industry is likely to surpass that achieved so far. Therefore, it goes to say investors must learn all the salient points about their mutual fund investment such as how they can check mutual funds status, keep track of fund balances and other factors that monitor performance, etc. For doing all this seamlessly, mutual fund investors need a folio number as a unique identification number. This is not a magic number, but it plays a crucial role in your mutual fund investment decisions by checking your mutual fund status regularly. We are going to reveal what the folio number is all about here, and how to keep track of your fund with this very important identifier. 

What is the folio number? 

The meaning of the word ‘folio’ originates from the Latin language and translates to ‘a numbered sheet of paper’. The numbered sheet denotes the order of the page in a broader document, such as a book. 

When you make a mutual fund investment, you do so with an Asset Management Company (AMC) or a mutual fund house. After your investment in a particular mutual fund scheme is made, you get a distinct identification number allocated to you. The AMC or mutual fund company issues you this number and uses it to monitor your particular mutual fund portfolio. Hence, with the special identification number, known as the folio number, any AMC can assure the safe and systematic maintenance of records pertaining to mutual funds. 

Features of the Folio Number 

Folio number meaning is not that difficult to grasp, but you can get a decent idea of the role of the folio number if you know its features. Typically, the folio number of a mutual fund is in alphanumeric or numeric form. Sometimes, folio numbers may be separated by a slash sign to denote a fund's holdings more clearly. When an investor selects a mutual fund investment and signs up for a particular fund, they  receive a periodic Consolidated Account Statement (CAS) informing them about their fund’s status. The folio number usually appears in the top corner of the CAS. Furthermore, the features of a folio number depend on whether investors hold funds with the same AMC or different AMCs, as explained below: 

• If you hold different mutual fund plans under the same AMC, you will be issued only one folio number. Therefore, the designated folio number is assigned to denote that you hold funds with a specific AMC (no matter how many different mutual funds you hold under that AMC). 
• In case you hold mutual fund units with a different AMC, you will be assigned a different folio number. 
• Additionally, you should know that if you have several funds under different mutual fund AMCs, you can avail of the facility of consolidating these under a single folio number. 
• There is no restriction on the amount of folio numbers you can possess, but for the sake of managing your funds systematically, you may consider a single folio number. 

Who allocates the folio number? 

Now that you have the answer to the question, “What is a folio number?”, you may be wondering who allocates the folio number to you after you make a mutual fund investment. You may have already gauged that the folio number is assigned to investors by the Asset Management Company (AMC) or mutual fund house that an investor holds the fund with. 

Advantages of Having a Folio Number 

The following are the advantages of having a folio number for your particular mutual fund investment: 

1. The folio number makes it easy for investors to monitor and track their investments, especially if they hold multiple mutual fund units.
2. The folio number helps in the identification of the owners of mutual fund accounts in a common investment pool.
3. The folio number offers an AMC an easy way to have all the relevant information about an investor in a single location. 
4. The folio number helps in tracking your mutual fund investment, as well as updated personal data like contact information and the like. Furthermore, it also aids in delivering information about the sum that each mutual fund investor has contributed to a specific mutual fund. 
5. The folio number aids you in finding the value of the holding units of your fund.
6. The folio number gives you access to all aspects of your mutual fund investment, and you can easily detect any discrepancies like duplicate entries.
7. Having a folio number to identify information about mutual fund investment gives lawyers, bank creditors, and regulators access to information and a means to resolve cases of suspected fraud by tracking investments. 
8. With a folio number, it is possible to track mutual fund profits and losses and make decisions about further investment in the same fund or alternative funds. 

How to Locate the Folio Number 

You can locate your folio number in a hassle-free way by the following methods: 

• CAS: AMCs and mutual fund houses issue a Consolidated Account Statement (CAS) to investors on a periodic basis. Whether you have a single folio number or multiple folio numbers, these appear on the CAS which is mapped by the Registrar via your PAN.
• AMC Account Statements: AMCs issue account statements periodically and in the case of SIPs, these are delivered to investors monthly. These statements contain your folio number (s).
• AMC or Mutual Fund House App or Website: You can access your folio number through the website of the AMC or the online website of the AMC. 

Ways to Check Mutual Fund Status with the Folio Number 

You can check your mutual fund status with your folio number in the following ways:

1. Check Online: It is possible to check the status of your mutual fund account with your folio number online, either at the web portal of your AMC or other designated websites. 
2. Customer Care Unit: The customer care unit of your AMC can help you check the status of your mutual fund with your folio number. 
3. Check with CAS: Investors who invest in mutual funds and other stock-related investments receive a CAS or Consolidated Account Statement of their investments on a periodic basis. You can check your account status via these statements and request your AMC to send you these with the help of your folio number. 
4. Check with your Broker: In case you have invested in a mutual fund through your brokerage, you can access your mutual fund account through your broker by giving them your folio number to check the status of your account. 

Why is the folio number relevant to the investor?  

When you make any investment, including a mutual fund investment, it is necessary to keep a check on your investment accounts just as you keep track of your bank account. Mutual fund statements are a compilation of your mutual fund transactions and contain your folio number (assigned to each new fund you invest in with the same AMC). As it is possible to consolidate different mutual fund schemes you have invested in under a single folio number, your investment tracking process becomes hassle-free and convenient. 

Conclusion

A folio number plays an integral role in your mutual fund investment, helping you to keep track of your investments in mutual funds, and remain updated on your fund status. This distinctive identification number is issued to you by your AMC and should be safeguarded for determining the periodic performance of your mutual fund (s) through which you can plan further investments. Mutual funds are potentially considered a positive way to diversify your portfolio and grow your wealth and the folio number keeps your funds organised.