New Delhi, Sept. 25 -- Mutual Fund (MF) investors can now gift/transfer units held in the non-demat mode, i.e., units held in the statement of accounts (SoA) form. The facility can be availed across all mutual fund schemes except ETFs (Exchange Traded Funds), according to a recent directive by markets regulator SEBI.

This online-only initiative is designed to simplify the transfer process while minimizing the risk of fraudulent transfers, according to CAMS. Here is a guide on gifting/transferring MF units held in SoA form.

This facility is available only to individual investors under the Resident/Non-Resident Individual category. Transfers are permitted under the following scenarios.

Minor to major: A minor unit holder who has turned i...