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Mutual Funds

Conversion vs redemption in mutual funds

How FolioSync treats mutual fund redemptions and fund-to-fund conversions.

Common symptoms

  • A conversion looks like money was redeemed from one fund and added to another.
  • Converted units changed the Cost NAV of the destination fund.
  • Completed profit/loss appears on the original fund after a conversion.

What to try first

  1. 1A redemption removes units from one fund and records proceeds from that fund only.
  2. 2A conversion creates two linked entries: one removes units from the original fund and one adds units to the destination fund.
  3. 3The original fund side uses FIFO, just like a redemption, so the oldest units are used first.
  4. 4The destination fund receives units based on the transferred value and destination NAV.
  5. 5If a conversion is deleted, FolioSync removes both linked entries and recalculates the affected holdings.

When opening a ticket

  • Send the original fund, destination fund, conversion date, units, NAVs, charges, and screenshots from the AMC statement.
  • Attach the statement PDF or a backup export if the conversion was imported and values look wrong.

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