The Securities and Exchange Board of India (SEBI) has reported a significant increase in unclaimed dividend amounts held by mutual funds during financial year 2025-26. According to SEBI’s Annual Report 2025-26, unclaimed mutual fund dividends reached ₹2,689 crore as of March 31, 2026, marking a 15.7% increase from ₹2,324 crore recorded at the end of FY25.
In contrast, unclaimed mutual fund redemption proceeds declined marginally during the same period. The amount fell to ₹1,122 crore in FY26 from ₹1,128 crore a year earlier, representing a decrease of approximately 0.5%.
Combined, unclaimed dividend and redemption amounts in mutual funds stood at ₹3,811 crore at the end of FY26, compared with ₹3,452 crore in FY25.
SEBI has been implementing measures to improve investor access to financial assets that remain unclaimed. These initiatives include integration of mutual fund and demat holdings with DigiLocker, enabling investors to view relevant financial information through a consolidated platform.
The regulator has also introduced a centralised mechanism for reporting an investor’s death through a KYC Registration Agency (KRA). Once reported, the information can be updated across relevant financial intermediaries, helping streamline the process for nominees and reduce delays in transmission of assets.
Separately, SEBI, in association with the Investor Education and Protection Fund Authority (IEPFA), has undertaken the Niveshak Shivir initiative to assist investors in recovering unclaimed shares and dividends. The programme provides support relating to Form IEPF-5, dematerialisation of securities, KYC updates and nomination details.
During FY26, six Niveshak Shivirs were conducted in Pune, Hyderabad, Amritsar, Jaipur, Bengaluru and Bhubaneswar, while dedicated Seva Kendras were made operational across six states.
SEBI clarified that the ₹2,689 crore figure specifically represents unclaimed dividend amounts with mutual funds and should not be interpreted as the total value of unclaimed dividends associated with listed companies. CASansaar