Mutual Funds: Rs 3,811 Crore Lies Unclaimed In FY26, Check Why Your Money May Be Stuck

Unclaimed mutual fund money rose 153 per cent from FY23 to FY26, with unclaimed dividends making up around 71 per cent of the total.

The rise in unclaimed mutual fund money highlights the importance of keeping bank details, addresses, KYC information and nominee details updated.

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Key points generated by AI, verified by newsroom

• Unclaimed mutual fund money surged to Rs 3,811 crore in FY26.
• Amount rose 153% since FY23, mainly from unclaimed dividends.
• Outdated investor details are primary reasons for these unclaimed funds.

Mutual Fund houses held Rs 3,811 crore in unclaimed money in FY 2025-26, according to recent Securities and Exchange Board of India (SEBI) data. The amount includes unpaid Dividends and redemption proceeds that investors were entitled to receive but could not receive or claim. The unclaimed amount has increased sharply over the past three financial years.

It stood at Rs 1,506 crore in FY 2022-23 and rose to Rs 2,861.9 crore in FY 2023-24, an increase of nearly 90 per cent. It then increased 20.6 per cent to Rs 3,452 crore in FY 2024-25 before rising another 10.4 per cent to Rs 3,811 crore in FY 2025-26. Overall, the amount has increased by Rs 2,305 crore, or around 153 per cent, since FY 2022-23. Unclaimed dividends account for the larger share of this amount.

Unclaimed dividends increased from Rs 992.8 crore in FY 2022-23 to Rs 2,689 crore in FY 2025-26, registering a rise of nearly 171 per cent. As of FY26, they accounted for around 71 per cent of the total unclaimed mutual fund money. Unclaimed redemption proceeds also increased over the same period, rising from Rs 513.2 crore to Rs 1,122 crore, a growth of around 119 per cent.

However, redemption proceeds declined by about Rs 6 crore during FY26, while unclaimed dividends increased by Rs 365 crore. Unclaimed mutual fund money does not necessarily mean that investors have lost their funds. It generally refers to money that was due to an investor but could not be paid or remained unclaimed.

This can happen when investors have outdated or incorrect Bank account details, change their address without updating records, leave dividend cheques unencashed for several years or have incomplete KYC details. Investors who suspect that they may have forgotten an old mutual fund investment can check with the respective asset management company (AMC) or registrar and transfer agent (RTA).

They can also review their Consolidated Account Statement and use MF Central to track their mutual fund holdings and any unclaimed amounts. For investments where the investor no longer remembers the AMC or has lost track of the investment, SEBI's MITRA platform can help identify inactive or forgotten mutual fund folios. Investors can then approach the relevant AMC or RTA to complete the required verification and claim the money.

The rise in unclaimed mutual fund money highlights the importance of keeping bank details, addresses, KYC information and nominee details updated. Investors should also regularly review their mutual fund holdings and ensure that dividend and redemption payments are credited to an active bank account.

(“Disclaimer: This article uses information originally published by Dalal Street Investment Journal (DSIJ). The views expressed are those of the original authors and not necessarily of ABP Network Pvt. Ltd. This content is provided for general informational and educational purposes only and should not be construed as investment, financial, legal or tax advice. Readers are advised to conduct their own research and/or consult a qualified financial advisor before making any investment decisions. This content is for informational purposes only and should not be treated as investment advice. ABP Network, its employees and associates shall not be responsible or liable for any losses or damages arising directly or indirectly from the use of or reliance on this article or any information contained herein.”)