As simple as it is to invest in mutual funds (MF) these days, keeping track of your portfolio can become quite a task if you have too many investments and too many MF folios. But this can be avoided if you just know how to manage your MF folios.
Mutual fund folio can loosely be compared to an account in a bank. One can have multiple accounts in a bank. Similarly, one can have multiple folios with a mutual fund house. Mutual funds also allow zero-balance folio. Simply put, if you sell all units of schemes held in a particular folio then it becomes a zero-balance folio.
