How to Check If Your Mutual Funds Are in Demat or SOA Format?

Learn how to check if your mutual funds are in Demat vs SOA format. Understand Groww’s new approach and know where your mutual fund units are held.

Mutual funds have always been considered one of the simplest investment tools for every common investor. But lately, a lot of investors are waking up to a new surprise — they are realising that their mutual fund units are not in the format they thought!

This confusion came to light recently when Groww, a popular direct mutual fund platform, quietly shifted fresh mutual fund investments of many investors into Demat format instead of the usual SOA (Statement of Account) format. Many new investors didn’t even realise this switch was happening.

In this blog post, let’s understand:

• What is Demat vs SOA format?
• What happened with Groww and why it matters.
• How YOU can check if your mutual fund units are in Demat or SOA format.
• Which format is better for you as a long-term investor.

What is Demat and SOA Format?

When you invest in mutual funds, there are two ways your units can be held: Demat format or SOA format (refer my post “Should You Hold Mutual Funds in Demat Form? Pros & Cons“).

Demat Format:

• Your mutual fund units are stored in your Demat account, just like stocks.
• You buy/sell units through a stockbroker or trading platform.
• Your units show up in your stock holdings.
• Charges like Demat AMC and brokerage may apply.

SOA Format:

• Your units are directly held with the AMC (mutual fund company) or with the registrar (like CAMS or KFintech).
• You get a Statement of Account (SOA) as proof.
• You transact directly with the AMC or through platforms like MF Utility, or trusted advisors.
• There are no Demat-related charges.

Both methods are legal. But the difference shows up when you switch funds, redeem, or look at costs and convenience.

What Happened Recently with Groww?

Many of you might have read my recent article about Groww’s silent shift (Groww Demat Mutual Funds: Should You Switch or Stay?). Groww, which started as a mutual fund-only platform, later became a full-fledged stock broker too. Recently, they quietly converted new mutual fund purchases into Demat format instead of SOA.

So, if you invested in mutual funds on Groww expecting the usual SOA, you might now find your units in your Demat account instead. Many investors didn’t know this was happening — and are now confused at the time of redemption or when trying to switch funds.

This is exactly why this article is important — so you don’t get any surprise when you need your money!

Why Does It Matter?

Let’s refresh the key differences with a simple table:

In the Groww incident, the main issue was lack of clear communication. Many investors didn’t know about this shift and naturally felt cheated when they discovered that redemption/switch processes were not as simple as before.

How to Check If YOUR Mutual Funds Are in Demat or SOA?

If you’re wondering, “Are my units in Demat or SOA?”, here are some simple checks you can do today:

1) Log In to Your Broker Account

If you use Groww, Zerodha, Upstox, ICICI Direct, HDFC Securities or any stockbroker:

• Check your Holdings/Portfolio section.
• If you see your mutual funds listed along with your stocks — they are in Demat format.
• If not, they may still be in SOA.

For Groww users specifically:
If you invested before Groww started the Demat shift, your old units are probably still in SOA format.
If you invested recently, chances are they are in Demat format.

2) Look at Statements from AMC or Registrar

If you receive statements from AMCs (like HDFC Mutual Fund, SBI Mutual Fund) or from CAMS/KFintech, those show SOA holdings.

• Check your email for any SOA or Unit Statements.
• If you get these, your units are in SOA.
• If you only see your units in your Demat account and no SOA, then they are in Demat format.

3) Check CAS (Consolidated Account Statement)

If your units are in Demat, they appear in your NSDL/CDSL CAS (the same statement that shows your stocks).

If your units are in SOA, they will appear in a separate statement from CAMS/KFintech.

So, check both:

• NSDL/CDSL ? For Demat units.
• CAMS/KFintech ? For SOA units.

4) Try myCAMS or KFinKart Apps

These apps show all your SOA folios.

• Download myCAMS or KFinKart, log in with your PAN.
• If you see your units here, they are in SOA format.
• If not, they are probably Demat.

5) How Did You Invest?

Ask yourself: How did you buy this fund?

• Bought through a broker like Groww (after they started Demat) ? Units likely in Demat.
• Bought directly through AMC website or MF Utility ? Units in SOA.
• Bought long ago through an advisor who never used your Demat ? SOA.

Can You Convert from Demat to SOA or Vice Versa?

Yes, but it needs paperwork.

• From SOA to Demat: Fill a Dematerialisation Request Form (DRF) with your DP (Depository Participant).
• From Demat to SOA: Fill a Rematerialisation Request Form (RRF) with your DP.

However, unless you have a strong reason (like consolidating or saving annual charges), converting is rarely needed. Be mindful that remat or demat may take time.

What Should You Do Now?

If you’re fine with your units in Demat and you actively invest in stocks too — Demat format might be convenient for you.

But if you don’t want Demat AMC charges and want flexibility to switch, invest, or redeem directly through AMC websites or MFU — SOA format is simpler.

Important: For many investors, SOA is the better choice — especially if you only invest in mutual funds and don’t trade stocks.

Key Takeaway from the Groww Incident

The Groww incident highlights one big lesson: Always check the mode of holding before investing.
Don’t assume your units are automatically in SOA format just because you are buying “direct” funds — if your platform is a broker, it may put units in Demat.

So, always read your broker’s communication, terms & conditions, and check your folios.

Final Thoughts

Your mutual fund investments are your hard-earned savings — so you must know exactly where they are kept.

Take 5 minutes today:

• Log in to your broker,
• Check your statements,
• Open myCAMS/KFinKart,
• Find out exactly where your units are sitting.

If you find you are unknowingly in Demat format and you don’t want that, consider your options — but always take help from a SEBI-registered advisor if you are confused.