
According to SEBI's Annual Report 2025-26, ₹3,811 crore remained unclaimed in mutual funds at the end of FY26, representing an increase from ₹3,452 crore in the previous year. The unclaimed amount comprises both redemption amounts and dividends that investors may have forgotten about. Of the total, ₹1,122 crore was in unclaimed redemption amount, marginally lower than ₹1,128 crore in FY25. However, unclaimed dividend amount rose by 15.7% to ₹2,689 crore in FY26 from ₹2,324 crore in FY25, as reported by Mint. The ₹2,689 crore figure specifically relates to unclaimed dividend amounts in mutual funds, and not to the total unclaimed dividends of listed companies, as clarified by SEBI.
Investors can check for unclaimed amounts through their mutual fund house's website or Registrar and Transfer Agent (RTA). According to the report, unpaid amounts are also available in the Consolidated Account Statement (CAS). For those who cannot remember which mutual fund they invested in, MITRA (Mutual Fund Investment Tracing and Retrieval Assistant) is available through the MF Central website to trace inactive and unclaimed investments. Once identified, investors must download the claim form from the AMC's website and submit it to the AMC or RTA for processing. The payment is generally made within two to five days after claim processing, with the applicable NAV determined based on the date and time when the claim form is received.
SEBI has implemented several measures to reduce unclaimed financial assets and improve investor accessibility. The regulator has enabled integration of holdings with DigiLocker, allowing investors to access demat and mutual fund information at a single location. Additionally, SEBI has introduced a centralised mechanism under which nominees can report the death of an investor once with a KYC Registration Agency, following which the information can be updated across intermediaries. The initiative provides assistance in filing Form IEPF-5, dematerialisation of securities, and updating KYC and nomination details. Six Niveshak Shivirs were organised during 2025-26 in Pune, Hyderabad, Amritsar, Jaipur, Bengaluru and Bhubaneswar, while dedicated seva kendras were made operational across six states to raise awareness about unclaimed shares and dividends with listed companies.
As reported by Mint, mutual funds can invest unclaimed amounts in call money market, money-market instruments, or overnight, liquid or money-market mutual fund schemes known as UDRS. This investment can generate additional returns called appreciation, which investors receive for three years from the date units are created. If claimed within this period, investors receive the applicable UDRS NAV along with appreciation. If claimed after three years, redemption is based on the value at the end of that three-year period, with any appreciation after that going to the Investor Education Fund.
To prevent mutual fund investments from becoming unclaimed, investors should keep PAN, KYC, address and bank account details updated with their AMC or RTA. After placing a redemption request, investors should check their bank account and contact the AMC, RTA or distributor if no electronic payment arrives within three working days or a cheque does not arrive within five to seven working days. If payment or rejection communication is not received within seven working days, investors can contact the concerned AMC or RTA, or escalate complaints through SEBI's SCORES platform.