Gifting a mutual fund is not an easy process either. In most of the mutual fund schemes, investment or payment (either lumpsum or SIP) through the third party is not possible. If you are doing it for a minor, then again, the account details of minor’s parent will be required.
Can I transfer my mutual fund to another person?
The only scenario in which mutual fund units can be transferred to another is in case of the demise of the unit holder. This is usually in favour of a joint holder or a legal nominee to whom the transmission of a mutual fund unit takes place.
Can you give away shares for free?
Whenever someone purchases shares of stock, that person receives an ownership interest in the particular corporation. In general, there aren’t any restrictions to gifting away the stock — it’s treated as the holder’s property and the holder is free to do with it as he pleases.
Can a mutual fund be given as a gift?
The recipient of the mutual fund gift will need to have an account with the company that the fund is offered through. It is likely that you will have to set up an account with the company that offers the mutual fund first.
Can you gift ETFs to friends and family?
Gifting a financial product can be a great way to introduce your friends and family to investing and capital markets. Zerodha, the largest stock broker in the country, has launched a new facility to allow gifting stocks, exchange traded funds (ETFs), and gold bonds online through their portal.
How to gift stocks, ETFs, gold bonds online?
Zerodha aims at enabling gifting of mutual funds and gifting to minors (less than 18 years of age) soon. Gifting of stocks, ETFs, gold bonds is as simple as logging in to your Zerodha Account, entering the name of the recipient of the gift, selecting stocks with quantity which you want to gift and clicking confirm.
What should I consider when gifting stock to a family member?
When gifting stock to a child or family member, make sure you’re considering the cost basis rather than the current value. The cost basis of cash is the value of the cash when gifted. To illustrate: If the person making the gift (the donor) gifts $15,000 cash to the person receiving the gift (the donee), the cost basis of the gift would be $15,000.
