🔄 Investment Operations

This guide covers the three major investment operations: Redemption (early exit), Transfer (move between customers), and Rollover (reinvest matured amount).

Operations Overview

flowchart TB subgraph "Active Investment" I[💰 Investment Folio] end subgraph "Operations" R[↔️ Redemption] T[🔀 Transfer] RO[🔄 Rollover] end subgraph "Outcomes" R1[💵 Payout to Customer] T1[📋 New Owner] RO1[📈 New Investment] end I --> R --> R1 I --> T --> T1 I --> RO --> RO1

↔️ Redemption (Early Exit)

Redemption allows customers to exit their investment before maturity, subject to lock-in period and applicable charges.

Redemption Flow

flowchart TD A[Select Redemption] --> B[Choose Series] B --> C[View Eligible Customers] C --> D[Select Customer/Folio] D --> E{Lock-in Period?} E -->|Not Completed| F[Show Error] E -->|Completed| G[Calculate Payout] G --> H[Enter Reason] H --> I[Submit Request] I --> J[Goes to Approvals] J --> K{Approved?} K -->|Yes| L[Process Payout] K -->|No| M[Request Closed]

Steps

  1. Navigate: Click Redemption in sidebar
  2. Select Series: Choose from dropdown (shows only series with eligible investments)
  3. View Eligible: System shows customers who have completed lock-in period
  4. Select Folio: Click on the investment to redeem
  5. Review Calculation:
    • Principal Amount
    • Accrued Interest (till date)
    • Early Exit Charge (if any)
    • Net Payout Amount
  6. Enter Reason: Required field for audit
  7. Submit: Request goes to Approvals queue

Redemption Calculation

Component Formula
Principal Original investment amount
Accrued Interest Rate × Principal × Days/365
Early Exit Charge % of principal (as per series terms)
TDS 10% of interest (if PAN provided)
Net Payout Principal + Interest - Charge - TDS

🔀 Transfer

Transfer moves an investment from one customer to another, typically used for inheritance, gift, or ownership change.

Transfer Flow

flowchart TD A[Select Transfer] --> B[Search Source Customer] B --> C[View Their Investments] C --> D[Select Folio to Transfer] D --> E[Search Destination Customer] E --> F{KYC Complete?} F -->|No| G[Complete KYC First] F -->|Yes| H[Review Transfer Details] H --> I[Enter Reason] I --> J[Submit Request] J --> K[Goes to Approvals]

Steps

  1. Navigate: Click Transfer in sidebar
  2. Source Customer: Search by name, code, or PAN
  3. Select Investment: Choose folio from their investments list
  4. Destination Customer: Search and select recipient
  5. Verify: System checks destination has complete KYC
  6. Review:
    • Transfer amount
    • Remaining tenure
    • Interest rate (may change for senior citizen)
  7. Reason: Select from dropdown (Inheritance, Gift, etc.)
  8. Submit: Request goes to Approvals

Transfer Rules

Rule Description
KYC Required Both source and destination must have complete KYC
Status Only active investments can be transferred
Interest Rate May change based on new owner's age (senior citizen)
Folio Number New folio may be generated or retained

🔄 Rollover

Rollover reinvests a matured investment into a new NCD series, allowing customers to continue earning returns.

Rollover Flow

flowchart TD A[View Expired Series] --> B[Select Source Series] B --> C[View Matured Investments] C --> D[Select Customers/Folios] D --> E[Select Destination Series] E --> F{Auto-create Series?} F -->|Yes| G[Create New Series with Same Terms] F -->|No| H[Use Existing Active Series] G --> I[Set Rollover Details] H --> I I --> J[Submit Request] J --> K[Goes to Approvals]

Steps

  1. Navigate: Click Rollover in sidebar
  2. View Expired: System shows matured series
  3. Select Source: Choose the matured series
  4. View Investments: See all matured investments
  5. Select Folios: Choose which to rollover
  6. Destination Series: Either:
    • Select existing active series
    • Auto-create new series with same terms
  7. Rollover Amount: Options:
    • Principal only
    • Principal + Accrued Interest
    • Custom amount
  8. Submit: Request goes to Approvals

Rollover Options

Option Description
Full Rollover Principal + all accrued interest
Principal Only Interest paid out, principal rolled
Partial Custom amount, rest paid out

Operations Comparison

Aspect Redemption Transfer Rollover
Investment Status Active Active Matured
Customer Change No Yes No
Money Movement Out No Reinvested
Lock-in Required Yes No N/A (already matured)
New Folio Created No Usually Yes

Related Guides

✅

Approvals

Processing operation requests
💰

Investments

Investment management