Individual behavior regarding mutual fund investment Jamnagar

1. A PROJECT REPORT
ON
“Individual behavior regarding mutual fund investment “at Jamnagar
FOR
Submitted to
Marwadi Education Foundation’s Group of Institutions
In partial fulfillment of the requirement of the award for the degree of
Master of Business Administration
Under
Gujarat Technological University
Under the guidance of
Faculty Guide: Company Guide:
Kapil shrimal
Assistant Professor
Mr. Ravindra
pansara (Br.
Manager)
Submitted by
Nakum Mohan
Enrolment No.: 138270592087
MBA Semester III
Marwadi Education Foundation‟s Group of Institutions
MBA Program
Affiliated to Gujarat Technological University
Ahmedabad
July 2014

4. Student Declaration
I NAKUM MOHAN hereby declare that the report for „Summer Training Project‟ entitled
“Individual behavior regarding mutual fund investment “at Jamnagar
Is a result of my own work and my indebtedness to other work publications,
references, if any, have been duly acknowledged?
Place:
Student
Signature
Date:
NAKUM
MOHAN

5. PREFACE
As a part of my course curriculum of MBA in summer internship program, we are assigned
some practical studies as well as the theoretical knowledge in the related areas for completing the
management research project. I am preparing comprehensive report on MF industry and “Study
on individual behavior regarding mutual fund investment” at Jamnagar.
The basic idea of assignment of this project is to augment the knowledge of students about
the industry in its totality and appreciate the use of an integrated loom. It is concerned about the
environment issues and tribulation. This makes students more conscious about industry and it
makes student capable analyzing industry's position in the competitive market. This may also
enhance student's logical ability.
So far as the selection of the industry is concerned, I have chosen the MF industry. In my
project, I am making use of secondary data.
This projects really my knowledge about MF and the industry as whole. I have
gained lot of knowledge from this project and I believe this will help me in near future.

6. ACKNOWLEDGEMENT
I would like to begin in the name of “GOD THE ALMIGHTY”, without whose grace
and blessing, the present work would not have taken this shape.
In today's era of cut & throat competition, Master of Business Administration is sure
to have edge over their counterparts.
MBA education brings its students in direct contact with the real corporate world
through training. The MBA program provides its student with an in-depth study of various
managerial activities that are performed in an organization. I have undergone my SIP at
“N.J.INDIA INVEST”-Jamnagar. I have selected this industry to enrich my knowledge about
the practical aspect of the mutual fund and to enhance my financial skills in the portfolio
management and the equity analysis.
I would like to express my deep gratitude and sincere regard for all those people
who have helped in the completion of this report. First of all I would like to thank my
company guide Mr. Ravindra pansara (Br. Manager), Kanji parmar (CRO) and Vipul bhai
for his valuable guidance and support.
I would like to make a special mention for Prof. Kapil shrimal (Guide) for giving me
his valuable time, support, and inputs that helped me at every step in this project. This
project is a step in the corporate i.e., SIP, during which I got the opportunity to learn a lot.
So, I would thank all those people who helped me in this project. In the end I take the
opportunity to thank my friend for supporting me at every step and bearing with me.

7. INDEX
SR NO
PARTICULAR PAGE NO
Part I General Information
1
Industry Overview
1.1 EXECUTIVE SUMMARY
1.2 INDUSRTY ANAIYSIS
1.3 ADVANTAGES OF MUTUAL FUND
1.4 DISADVANTAGES OF MUTUAL FUND
2 Company Overview
2.1 INFORMATION OF THE COMPANY
2.2 VISION & MISSION OF THE COMPANY
2.3 PRODUCT OF THE COMPANY

8. 2.4 SWOT ANALYSIS
2.5 DEPARTMENT OVERVIEW
Part II Research Work
INTRODUCTION OF STUDY
3.1 BACKGROUND OF THE STUDY
3.2 REVIEW OF LETRETURE
3.3 STATEMENT OF THE PROBLEM
3.4 OBLECTIVE OF STUDY
4 Research Methodology
4.1 SOURCES OF DATA
4.2 SAMPLING SIZE
5
Analysis and interpretation of data
6 Suggestions and conclusion
7 Limitations of the study

9. 8 Scope for further research
9 Bibliography [APA Format compulsory]
Annexure

10. EXECUTIVE SUMMARY
All investment carries risk in some form or the other. Risk, liquidity and return are
the so called factor, which are considered before making an investment. But there is a
tradeoff between risk and return. Higher the risk, higher the return, lower the risk lower the
return. The decision of which mode of investment to choose largely depends upon the
investors and the factors which according to him is the most vital one.
People with more security concern choose fixed investment in govt. securities and
various post office saving. The main reason for choosing such an investment mode is that
the amount invested in the above stated securities seems to be secure and hence they
seemed to be more preferred one where security is the prime concern.
People whom returns are most important are ready to take risk to earn fairer risk.
The preferred mode of investment over here is shares and mutual fund. The risk factor is
these modes of investment are basically performance based. If the company performs well
the investors can accept fairer returns but if the company fails to perform them there can
be a threat to the invested amount. Hence the returns are very with changes in the market
condition.
Hence it is to the investor to decide that which is the best kind of investment that
would cater his need. The hypothesis of the study was “Investors still prefer the traditional
funds for investment instead the modern method like mutual fund.

11. INDUSRTY ANAIYSIS
What is a mutual fund?
Mutual fund is a mechanism for pooling the resources by issuing units to the
investors and investing funds in securities in accordance with objectives as disclosed in
offer document.
A mutual fund is a professionally-managed form of collection investment that
pools money from many investors and invest it in stock, bonds, short-term money market
instruments, and/or other securities.
Investments in securities are spread across a wide cross-section of
industries and sectors and thus the risk is reduced. Diversification reduces the risk
because all stocks may not move in the same direction in the same proportion at the same
time. Mutual fund issues units to the investors in accordance with quantum of money
invested by them. Investors of mutual funds are known as unit holders.
The profits or losses are shared by the investors in proportion to their
investments. The mutual funds normally come out with a number of schemes with different
investment objectives which are launched from time to time. A mutual fund is required to
be registered with Securities and Exchange Board of India (SEBI) which regulates
securities markets before it can collect funds from the public.

12. MUTUAL FUND IN INDIA
Unit Trust of India was the first mutual fund set up in India in the year 1963. In early 1990s,
Government allowed public sector banks and institutions to set up mutual funds.
In the year 1992, Securities and exchange Board of India (SEBI) Act was passed. The
objectives of SEBI are - to protect the interest of investors in securities and to promote the
development of and to regulate the securities market.
As far as mutual funds are concerned, SEBI formulates policies and regulates the mutual
funds to protect the interest of the investors. SEBI notified regulations for the mutual funds
in 1993.
Mutual funds sponsored by private sector entities were allowed to enter the capital market.
The regulations were fully revised in 1996 and have been amended thereafter from time to
time. SEBI has also issued guidelines to the mutual funds from time to time to protect the
interests of investors.
All mutual funds whether promoted by public sector or private sector entities including
those promoted by foreign entities are governed by the same set of Regulations. There is
no distinction in regulatory requirements for these mutual funds and all are subject to
monitoring and inspections by SEBI. The risks associated with the schemes launched by
the mutual funds sponsored by these entities are of similar type.

13. ADVANTAGES OF MUTUAL FUND
 Advanced Portfolio Management
You pay a management fee as part of your expense ratio, which is used to hire a
professional portfolio manager who buys and sells stocks, bonds, etc. This is a relatively
small price to pay for help in the management of an investment portfolio.
 Dividend Reinvestment
As dividends and other interest income is declared for the fund, it can be used to
purchase additional shares in the mutual fund, thus helping your investment grow.
 Risk Reduction (Safety)
A reduced portfolio risk is achieved through the use of diversification, as most
mutual funds will invest in anywhere from 50 to 200 different securities - depending on
their focus. Several index stock mutual funds own 1,000 or more individual stock positions.
 Convenience and Fair Pricing
Mutual funds are common and easy to buy. They typically have low minimum
investments and they are traded only once per day at the closing net asset value (NAV).
This eliminates price fluctuation throughout the day and various arbitrage opportunities
that day traders practice.
Diversification
Using mutual funds can help an investor diversify their portfolio with a minimum
investment. When investing in a single fund, an investor is actually investing in numerous
securities. Spreading your investment across a range of securities can help to reduce risk.
A stock mutual fund, for example, invests in many stocks - hundreds or even thousands.

14. DISADVANTAGES OF MUTUAL FUND
 High Expense Ratios and Sales Charges
if you're not paying attention to mutual fund expense ratios and sales charges; they can
get out of hand. Be very cautious when investing in funds with expense ratios higher than
1.20%, as they will be considered on the higher cost end. There are several good fund
companies out there that have no sales charges. Fees reduce overall investment returns.
 Management Abuses
Churning, turnover and window dressing may happen if your manager is abusing his or her
authority. This includes unnecessary trading, excessive replacement and selling the losers
prior to quarter-end to fix the books.
 Tax Inefficiency
Like it or not, investors do not have a choice when it comes to capital gain payouts in
mutual funds. Due to the turnover, redemptions, gains and losses in security holdings
throughout the year, investors typically receive distributions from the fund that are an
uncontrollable tax event.
 Poor Trade Execution
If you place your mutual fund trade any time before the cut-off time for same-day NAV,
you'll receive the same closing price NAV for your buy or sell on the mutual fund. For
investors looking for faster execution times, maybe because of short investment horizons,
day trading, or timing the market, mutual funds provide a weak execution strategy.

15. INTRODUCTI
ON OF
COMPANY

16. INTRODUCTION OF COMPANY
GENARAL INFORMATION
Two dynamic young men after completing their education were about to start
their career when they sow the growing scope of the financial service sector. Both of them
decided to jump into the same field and came out with the dynamic concept of NJ Capital
stock now, which is known as NJ India Invest. The word NJ stands for the first letter of
Neeraj Choksi and Jignesh Desai the founder directors of NJ India Invest.
NJ India Invest Pvt. Ltd is one of the leading advisors and distributors of financial
products and services in India. Established in the year 1994, NJ has over a decade of rich
exposure in financial investment space, portfolio advisory services and distribution of
financial products

17. NJ prides in being a professionally managed, quality focused and customer
centric organization. The strength of NJ lies in the strong domain knowledge in
investment consultancy and the delivery of sustainable value to clients with
support from cutting-edge technology platform, developed in-house.

18. Presently, has over INR 10,000+ Cr. of mutual fund assets under advice. It is
a reflection of the trust, commitment and values that NJ shares with its clients. In
India, is
Present in 130 locations in 22 states. Also has a wide network of financial
advisors, under the division, which offers a dedicated platform for independent
financial advisors to help them grow &develop their advisory practice.
Today provides over 15000 of such advisors with a unique, comprehensive 360
Advisory Platform to grow their business and offer quality solutions to their
clients. NJ is tie up with 44 Asset Management company. It is national leveled
distribution channel of mutual fund. At NJ we believe in, having single window,
multiple solutions that are integrated for simplicity and sapience. NJ provides the
large product basket. He is offering mutual fund, fixed deposit, portfolio
management, Insurance, financial planning real estate.
The vision of the group is to be leaders in businesses driven by
customer satisfaction, commitment to excellence and passion for continued value
creation for all stakeholders. This vision has helped us grow and build the trust of
our customers and associates which is at the cornerstone of everything we do.
Trust is also at the heart of our success and the driver for passion for our
success.

19. NJ Group is a leading player in the Indian financial services industry
known for its' strong distribution capabilities. The journey of NJ began in 1994
with the establishment of NJ India Invest Pvt. Ltd., the flagship company, to cater
to investor needs in the financial services industry. Today, the NJ Wealth
Distributor Network, earlier known as the NJ Funds Network, started in 2003 is
among the largest networks of financial products distributor in India.
Over the years, NJ Group has diversified into other businesses and
today has the presence in businesses ranging from financial products distributor
network, asset management, real estate, insurance broking, training &
development and technology. Our rich experience in financial services, combined
with executioner capabilities and strong process & system orientation, has
enabled us to shape a rising growth trajectory in our businesses.
NJ Group is based out of Surat in Gujarat (India) and has presence in 130
locations in India and has over 1,100* employees, 15000advisors, 12000000
customers.
At NJ they believe in...
Having single window, multiple solutions that are integrated for simplicity and
sapience.
Making innovations, accessions, value-additions, and a constant process.
Providing customers with solutions for tomorrow which will keep them above the
curve.
.

20. COPMANY VISION AND MISSION
VISION
Total Customer Satisfaction
Commitment to Excellence
Determination to Succeed with strict adherence to compliance
Successful Wealth Creation of our Customers
Mission:
We work towards building trusted relationship with our stakeholders, for inclusive
growth through constant process of innovation; time bound implementation &
execution of ideas and technological developments. We stretch our means and
go overboard to make sure that our clients' aspirations, dreams and expectations
are met with, through high service standards.

21. PRODUCT OF THE COMPNAY
NJ offers advisory and distribution services on the following products.
Investment Products:
Mutual funds (MF) – covering all AMCs & all schemes,
Fixed Deposits of companies,
PMS products (Third party & NJ)
Government/RBI bonds,
Infrastructure Bonds,
Approved securities for charitable trusts, etc
Real Estate:
Residential properties
Commercial properties
Training & Education:
Certification training courses
AMFI
CFP
Training products

22. DEPARTMENTAL OVERVIEW
SR NO. PARTICULAR
1 FINANCE DEPARTMENT
1.1 FINANCIAL AUDIT
1.2 MONEY FLOW
2 MARKETING DEPARTMENT
2.1 MARKETING ENVIRONMENT
2.2 NJ PRINTSHOP
2.3 NJPUBLICATION
2.4 CUSTMER CARE
3 OPERATING DEPARTMENT
3.1 NJ WEALTH ADVISOR
3.2 NJ INDIA REALY
3.3 NJ FUND NETWORK
3.4 NJ GURUKUL
3.5 OPERATING PROCESS

23. FINANCE DEPARTMENT
FINANCIAL AUDIT:-
Financial audit means auditing the company internal data, which indirectly help
the company in finding out the deviation to corrective action. In NJ financial audit
is done by the two ways:-
1. Internal audit:-
This type of the audit is not genially accepted by the company in N J. it is
accepted in order to have track of its financial transactions. Here internal audit
is done on the monthly basis. Report of the audit is available from each
auditor from each book of the account maintained.
2. Statutory audit:-
Company on a curtly basis generally does this type of audit. There
the company audits its financial statement on a monthly basis by
discussing it with financial auditor. Again this audit is done at the end of
each year for preparing financial balance sheet, profit & loss account and other
financial statement. This type of statement has to be issued at the end of each
financial year to the public but being a private company NJ prepare this
document for the submission of the government and IT sector.

24. MONEY FLOW:-
Receipt
Monthly
Brokerage
Payment
Monthly
Brokerage Other
Salary, rent,

25. The above diagram shows the flow of the money taking place at the N J India
invest the money flow through two channel receipt and payment .The above
diagram shows the flow of the money taking place at the N J India Invest the
money flow through two channels receipts and the payment.
NJ INDIA INVEST has receipt in form of brokerage
The N J work as a distributer of mutual fund, they have a receipt in the form of
brokerage. The company has their receipt as brokerage.
NJ INDIA INVEST has payment on the form of salary.
In the NJ the payment part is divided in to 2 parts...
Brokerage
Monthly expense

26. Acquisition of the fund:-
As N J India invests is private company so the initial fund was acquired
from their own fund from two managing director of the company who are Niraj
Choksi and Jignesh Desai. Now fund id acquired from their profit only.
Capital structure
In NJ INDIA INVEST, the manager of the company has developed an
appropriate capital structure, which advantages the company so N J has a
capital structure of their own funds. They are not borrowing their fund from
anywhere else.
Turnover of the Company:-
Turnover of the company in last 10 year is 1000 cr. So we can say that on
an average annual turnover of the company are 100 cr. but at the time of
depression, the turnover was less than 100 cr. and at the time of boom, the As N
J India invests is private company so the initial fund was acquired from their own
fund from two managing director of the company who are Niraj Choksi and
Jignesh Desai. Now fund id acquired from their profit only.
In NJ INDIA INVEST, the manager of the company has developed an
appropriate capital structure, which advantages the company so N J has a
capital structure of their own funds. They are not borrowing their fund from
anywhere else.
Turnover may exceed than 100 cr.

27. Profitability and dividend :-
N J India Invest is providing brokerage to their partner from their profit and
the brokerage structure is as follow:
Equity and Balance fund - 0.50 to 0.75 paisa
Debt fund - 0.70 to 1 rupees
Short term fund - 0.40 to 0.50 paisa
ELSS - 2.50 to 3%

28. MARKETING DEPARTMENT
Marketing environment
The marketing team will help us give the relevant support needed for effective
sales, creating brand and for the development of our business. N J India invest is
the corporate distributer of mutual fund. But now days there are many
competitors in the market so this work is dangerous for marketing department.
NJ PRINTSHOP
Marketing plays a very important role in business as it contributes
greatly to the success. It is the process of introducing and promoting the
business into marketing to encourage sales.
NJ PRINTSHOP is online shopping portal dedicated for only NJ partner. It
offers you ready to use effective and attractive marketing products to market
and enhance your business. Product like banner, booklet, personalized
product.

29. NJ PUBLICATION
It is very essential to keep oneself updated with the latest trend, offering and
happening in the market, to sustain successfully in business, in today‟s
competition.
NJ believes in making its partner updated with the latest happening in the
market. They do not need to go anywhere to search for detail.
NJ offer all this through its various publication, some of which come with the
whole list the latest schemes with complete details.

30. CUSTOMER ARE
N J customer care offers investment with a “single service point” to the entire
advisor to help solve their customer quires. The centralized team of customer
care executive would solve investor‟s quarries at the earliest. Advisors and
Investors can also take view the latest status of all their quarries online.
As N J advisor may submit their quarries to customer care executive by
- Telephone
- Email
- Online directly through your advisors (partner) desk.

31. OPERATION DEPARTMENT
Established as a distinct entity, NJ Wealth Advisors Pvt. Ltd. seeks to offer
comprehensive financial planning and portfolio advisory services to premium
clients. With NJ Wealth Advisors, NJ seeks to leverage the strong financial
advisory and portfolio management skills gained in over a decade of experience
in the industry. NJ Wealth Advisors offers its clients with quality, unbiased, need-
based advisory services & investment solutions.
NJ INDIA REALY
At NJ India Realty we understand the challenges in shaping reality from your
realty aspirations. The strong processes and systems in place ensure the
effective & timely execution of the projects. High-quality assurance forms the
under-current in the entire value-chain of service delivery. NJ India Realty brings
with it professional management, total quality consciousness, confidence and
keenness to offer customers with high-quality development at attractive value
propositions. At NJ India Realty we commit ourselves to the continuous
improvements, accessions in the value-chain and the best practices adopted by
the industry.

32. NJ Funds Network, started in 2003, is a dedicated channel for providing
independent financial advisors or IFA‟s with a complete business platform for the
strengthening and development of their advisory practice. NJ offers advisors
under its network will all the products; support and services that enables them
add considerable value to their business, emerge as a „new age professional
financial advisor‟ and compete confidently in the industry.
NJ Funds Network is a unique, first time in India concept that offers such
comprehensive business platform to independent financial advisors.
This sporadic growth in terms of need of performers in financial advisory services
has led to the crunch of available performers. Though lots of youngsters are
getting into financial advisory services, but the greatest challenge is of RIGHT
SELLING, for which adequate Training is a prerequisite. Advisory function
demands updated knowledge, backed up by honed skills to fetch effective
business. Building long term relationship with clients depends upon possessing
clear edge over others in the field. Hence continuous people development has an
important role in building this fraternity.

33. OPERATION PROCESS
This department plays an important role in N J business. We can say heart of the
N J because without this N J department does not make the business. Working
of theses department divided into the two parts.
Processing
Registration
Processing is the main work of the operation department and the registration is
secondary part of the work but it is as much important as the processing
SWOT ANALYSIS
STRENGHEN
- NJ is tie up with 44 assets Management Company so scope of mutual fund is
enhances.
- NJ invest is 130 located, 22 states. Client can get the services at ant130
location.
- NJ invest has best information technology software like partner desk, client
desk.

34. - N J India Invest has given the very good research support to his advisor.
- The company has own print shop that will provide service to the advisor as well
as their employees.
- NJ has strong 360 degree support which makes it different from its competitors.
- N J Funds has over INR 10,000+ Cr. of mutual fund assets under advice.
WEAKNESS
- There is less people know about NJ invest company. Company should do more
advertisement of it.
OPPORTUNITY
- It has wide scope in mutual fund to increase the business.
- Company should also emphasize on insurance & fixed deposit.
THREATS
- Rigid investor of insurance, fixed deposit.

35. INTRODUCTION OF TOPICS
SR NO. PARTICULAR
1 BACKGROUND OF THE STUDY
3 REVIEW OF LETRETURE
4 STATEMENT OF THE PROBLEM
5 OBLECTIVE OF STUDY

36. INTRODUCTION OF THE STUDY
1.1 About Topic:
An Investment is the use of capital to create more money through the
acquisition of a security the at promises the safety of the principal and generates
a reasonable return. However, each investment avenues carries a certain degree
of risk and return therefore has to take care of his/ her risk taking ability, tax
issues, investment period etc. net mobilization of funds on educating investors
about different funds are the other key challenges it faces. Invest in Bank
Deposits, Post office savings and Public provident fund for reasons like liquidity,
assured returns and attached tax benefits. Every individual moving in the
pyramid of the hierarchy of needs should first satisfy the need for basic
necessities in life and then save for their future.
In today‟s environment, it is prudent for any investor to look into the real
interest earned as inflation is moving out of gear. It is imperative that the returns
be higher without the risk of losing the principle in an investment. This
necessitates for optimization of risk and reward.

37. REVIEW OF LITRATURERE
Mutual fund industry is growing at a very fast rate India. Various studies and
research has been on this industry by experts. Here are the lists of few books
that have been referred to for the purpose of the study.
Suit Sikidar and Amrit Pal Singh (1996) carried out a survey with an objective to
understand the behavioral aspects of the investors of the North Eastern region
towards equity and mutual funds investment portfolio. The survey revealed that
the salaried and self-employed formed the major investors in mutual fund
primarily due to tax concessions.
UTI and SBI schemes were popular in that part of the country then and other
funds had not proved to be a big hit during the time when survey was done.
Syama Sunder (1998) conducted a survey to get an insight into the mutual fund
operations of private Institutions with special reference to Kothari Pioneer. The
survey revealed that awareness about Mutual Fund concept was poor during that
time in small cities like Visakhapatnam. Agents play a vital role in spreading the
Mutual Fund culture; open-end schemes were much preferred then; age and
income are the two important determinants in the selection of the fund/scheme;
brand image and return are the prime considerations while investing in any
Mutual Fund.

38. Madhusudhan V Jambodekar (1996) conducted a study to assess the awareness
of MFs among investors, to identify the information sources influencing the
buying decision and the factors influencing the choice of a particular fund. The
study reveals among other things that Income Schemes and Open Ended
Schemes are more preferred than Growth Schemes and Close Ended Schemes
during the then prevalent market conditions. Investors look for safety of Principal,
Liquidity and Capital appreciation in the order of importance; Newspapers and
Magazines are the first source of information through which investors get to know
about MFs/Schemes and investor service is a major differentiating factor in the
selection of Mutual Fund Schemes.
STATEMENT OF THE PROBLEM
The strategy is to know awareness and interest and perception about mutual
fund as an investment avenue among all investors.
Basic purpose of conducting the research in this subject is to get the know-how
of finical market in general and by conducting the research report in this subject
we can able to understand overall preferences of investors in mutual fund.
Though investing partner of the individual investors varies with number of factor
like occupation, income, risk taking ability and external environment and the
many other factors but by conducting the research study on the investing
preference of the individual in the mutual fund we can get overall understanding
of the modus operand of the investors attitude.

39. OBLECTIVE OF STUDY
.
To understand how NJ‟s services differ from its competitors
To get experience of buying and interacting with customer
To know the behavior of individual for mutual fund investment
To know about all investment terminology Enhance knowledge about investment
product
RESEARCH METHODOLOGY
Research is done to gain some knowledge so as it may bid in
understanding the information gathered on specific topic. It is a scientific and
systematic way of understanding information on specific and particular subjects.
It is a scientific investigation to understand the cause and effect as well as
reasons through investigation. It is an academic activity and it is to be used in
technical sense.
Preparing the project report include the process of collecting data,
analyzing data and reporting data for concrete results

40. Research Design:
Research design is done mainly on the basis of observation and
questionnaire rolled out to know the view and details to the investors. The
analysis is based on the information gathered through questionnaire. In others
words, a research design is the specification of methods and procedures for
acquiring the information needed. Research design can be exploratory research
or descriptive research. For this project I have used descriptive research

41. Sources of Data:
For achieving the objective of this study, data were collected from both primary
and secondary sources.
There are to source of data.
• Primary data; the primary data were collected through questionnaire.
The research was done through direct personal interview of investors.
Place JAMNAGAR
Sampling technique Random sampling
Sample size 50 respondents
Research instrument Questionnaire
No. of question 12
Secondary data: secondary data consist of information that already exists
somewhere. Secondary data were collected through website, book, magazine &
journal, n

42. SAMPLING SIZE
• The population defined for the study is any investor preference about
mutual fund. Though large sample gives more reliable results than small
samples but increases the cost, time and non-sampling error. The
populations defined would give inferences. So the population is divided
here in different classes.
• This research work was conducted in Jamnagar district of Gujarat state.
For this study, I have constructed questionnaire. I prepared a list of 125
investors; out of them I selected randomly 100 for our research work.

43. Analysis and interpretation of data
Gender:
MALE 76 %
FEMALE 24 %
GENDER
INTERPRETATION:
From the above chart we can see that 76% respondents are of the male
and 24% respondents are that of female.
76
24
0
10
20
30
40
50
60
70
80
Male Female

44. AGE:
RESPONDENTS
18-25 12%
25-35 47%
35-60 33%
>60 8%
INTERPRETATION:
From the above chart we can see that 12% respondents are form the
age group of 18-25 years, 47% respondents are from the age group of 25-35
years, 33% respondents are from the age group of 35-60 years and 8%
respondents are from the age group of above 60 years.
12
47
33
8
0
5
10
15
20
25
30
35
40
45
50
18-25 25-35 35-60 > 60

45. 
Marital Status:
RESPONDENTS
Married 87%
Unmarried 13%
INTERPRETATION:
Above chart there are 87% people Married and 13% people Unmarried.
87
13
0
10
20
30
40
50
60
70
80
90
100
MARRIED UNMARRIED

46. 
Education:
RESPONDENTS
Under Graduate 10%
Graduate 43%
Post Graduate 35%
Other 12%
INTERPRETATION:
From the above chart we can see that 10 % respondents are form the
Under graduate , 43% respondents are from the Graduate , 35% respondents
are from the Post Graduate and 12% respondents are from the other
educational background. Majority of respondents are graduate or above
graduate degree.
10
43
35
12
0
5
10
15
20
25
30
35
40
45
50
UNDER GRADUATE GRADUATE POST GRADUATE OTHER

47. 
OCCUPATION:
RESPONDENTS
STUDENT 9
SERVICE 46
BUSINESS 35
OTHER 12
INTERPRETATION:
From the above chart we can see that 9% respondents are form the
Student , 46% respondents are from the Service , 35% respondents are from
the Business and 12% respondents are from the other occupational
background.
9
46
35
12
0
5
10
15
20
25
30
35
40
45
50
STUDENT SERVICE BUSINESS OTHER

48. 
What is your income per annum?
RESPONDENTS
Rs.<100000 7%
Rs.100000-200000 14%
Rs.200000-300000 29%
Rs.300000-500000 32%
Rs.>500000 18%
INTERPRETATION:
In the above chart we can see that majority of investors income per
annum is fall in between 10 0000 to 5000000.
7
14
29
32
18
0
5
10
15
20
25
30
35
<100000 100000-200000 200000-300000 300000-500000 >500000

49. 
Since how many years are you investing?
YEAR RESPONDENTS
<5 27%
5-10 41%
10-20 24%
>20 8%
INTERPRETATION:
In above chart there are 27% investors investing less than 5 years,
41% investors investing for 5-10 years and 24 % are investing from 10
– 20%.above 20year is 8%
27
41
24
8
0
5
10
15
20
25
30
35
40
45
<5 5 10 10 20 >20

50. 
What is your investment (%) per annum from total Income?

RESPONDENTS
<10% 11%
10-20% 22%
20-30% 27%
>30% 40%
INTERPRETATION:
From, the above chart we can see that 40% of investors are
investing above 30 % from their total income per annum.
11
22
27
40
0
5
10
15
20
25
30
35
40
45
<10 10 20 20 30 >30

51. 
In which of the following option have you made
investment?


INVESTMENT AVENUE RESPONDENTS RESPONDENTS
In %
Fixed Deposit 58 15.22 %
Insurance 53 13.91 %
Mutual fund 47 12.34 %
Equity 45 11.81 %
PPF 38 9.97 %
Gold 37 9.71 %
Real estate 34 8.92 %
NSC 32 8.40 %
Bond 22 5.77 %
Derivatives 15 3.95 %
INTERPRETATION:
In above we clearly say that 15. 22 % investors are investing in Fixed Deposit and
13.91 % investors invest in Insurance and list 3.95
% Investors are investing in Derivatives.

52.  
Rank the following factors which you consider important while
making investment.

Factors
Degree of importance
1 2 3 4 5 TOTAL
Safety 40 36 13. 6 5 100
Liquidity 24 12 27 20 17 100
Return 18 38 15 19 10 100
Maturity 10 5 18 24 43 100
Period
Tax Benefit 15 12 20 22 31 100
INTERPRETATION:
In the above chart shows that majority of the investor decision
influenced by the family & friends (F.F.) because of In India most of the
families are joint family while other all are average because of it depends
upon n the mind sets investors advisor and Personal analysis .

53. 
Which of the following influence your investment decision most?

MEDIA RESPONDENTS
Television 38%
Hoarding 8%
Pamphlets 14%
News paper 24%
Websites 16%
INTERPRETATION:
From the e above chart we can say that majority y of the respondents’ investment
decision is influenced by Television because of now days television is a most important
and influencing media in the world and also other media influence the respondents’
decision such a s News paper, Pamphlets, Websites and Hoarding .
38
8
14
24
16
0
5
10
15
20
25
30
35
40
TV HORDING PAMPHLET NEWSPAPER WEBSITE

54. 
Are you satisfied with the investment service provided by
your Broker /Service provider?

RESPONDENTS
YES 89%
NO 11%
INTERPRETATION:
From the above chart we can say that majority y of the respondents’ satisfied or
highly y satisfied with their service provider.
Reasons:

Information given by them is not sufficient.


Their behavior
89
11
0
10
20
30
40
50
60
70
80
90
100
YES NO

55. 
What % of return do you expect from your investment.?
RESPONDENTS
<10% 12%
10-20% 29%
20-30% 27%
>30% 32%
INTERPRETATION:
In above chart we can see that 32 % of investor expects return more than 30
% because they invest more in the investment avenues.
12
29
27
32
0
5
10
15
20
25
30
35
<10 10 20 20 30 >30

56. 
Mark your Risk investment tolerance level for the investment.

High 38%
Medium 44%
Low 18%
INTERPRETATION:
In above diagram we can see that majority of investor have their risk
tolerance level is medium because of the belongs to Middle class or
Higher Middle Class.
38
44
18
0
5
10
15
20
25
30
35
40
45
50
HIGH MEDIUM LOW

57. 
Give Degree of Satisfaction level with you r investment.

Highly Satisfied 35%
Satisfied 45%
Dissatisfied 12%
Highly Dissatisfied 8%
INTERPRETATION:
In the above chart we can see that 80 % of investors are satisfied with their
investment
35
45
12
8
0
5
10
15
20
25
30
35
40
45
50
HIGHLY STISFY STISFY DISSTISFY HIGHLY DISSTISFY

58. Conclusion
From the project at the N.J. India Invests Pvt. Ltd. at Jamnagar, I can
conclude that the investment market is threatened by Saving Account,
Insurance etc, main reason behind it is that people are more concern about
the security of money and life after retirement and also fixed rate of return.
Safety is the most important aspects to be consider, many investor
are though being now aware about Investment Avenue but still lot has to be
done to create awareness and aggressive marketing is needed to be done in
this sector.
The study has come across such instances which point to one solution.
The organization has to do marketing about the services and the product so
that the investor community knows as to where their investment is done.

59. The major findings are as follows:

Over 47% investors fall in the age group of 25-35 years.

Most of the investors (29%) fall in the annual income group of
Rs200001 – 300000.

Majority of investors are familiar with Fixed Deposit (58%) and 53% of
Insurance then 45% of investor in Mutual fund. and lowest about
Derivatives i.e. 15% respondents.
The most important factor that they consider important while making investment
is safety.

Most of the investors‟ behaviors is influence by family and friends and
least by newspaper and TV advertisement.

Over 29% investors prefer 10-15 percentage return from their investment.

Over 44 % investor have their risk tolerance level is Medium.

More than 80% investors are Satisfied and Highly Satisfied with their
investment

60. SUGGESTIONS AND RECOMMENDATIONS
 NJ INDIA INVEST has increase the about their company. They should do more
advertisement for awareness of his.
 NJ should do the activity of brand awareness as they are LEADING COMPANY
IN MUTUAL FUND.
 NJ INDIA INVEST more emphasis on mutual fund, they should also emphasis on
Other investment product

61. Bibliography

WEBSITES:



www.Njindiainvest.com



www.investment.in





Preeti Singh, “Investment Management”, Himalaya


Publishing House, Mumbai, India, fourteenth revised edition year
2006.

62. Questionnaire
“A study on Individual Behaviors Regarding
Investment”
Demographic Profile

Gender:
Male Female

Age:
18-25 years 25-35 years
35-60 years Above 60 years

Marital State:
Married Unmarried

Education:
Under graduate Graduate
Post graduate Any other ____________

Occupation:
Student Service
Business Any other

63. 1. What is your family income per annum?
Less than Rs.100000 Rs. 100001 - 200000
Rs.200001 - 300000 Rs. 300001 - 500000
More than Rs. 500001
2. Since how many years are you investing?
Less than 5 years 5-10 years
10-20 years More than 20 years
3. What is your investment (%) per annum from total income?
Less than 10 % 10-20 %
20-30 % Above 30 %
4. Which of the following options have you made investment?
Fixed Deposit PPF
Bond NSC
Mutual fund Gold
Real Estate Insurance
Equity Derivatives
5. Rank your preference for the following options for investment.
( 1 most preferred and so on)
Fixed Deposit PPF
Bond NSC
Mutual fund Gold
Real Estate Insurance
Equity Derivatives
6. Rank the following factors which you consider important while
making investment.

64. [1 most important to 5 least important]
Degree of importance
Factors
1 2 3 4 5
Safety
Liquidity
Return
Maturity Period
Tax benefit
7. Rank the following factors which influence your investment
decision. [1 most important to 5 least important]
Factors
Family & Friends
Financial Advisor
Broker
Personal analysis
Advertisement
Rank
8. Which of the following media influence your investment decision at the most?
Television Hoardings
Pamphlets Newspaper
Websites
9. Are you satisfied with your investment service provided by your Broker /
service Provider?
YES NO
If, no give reasons_____________________________________________

65. 10.What % of Return do you expect from your Investment?
Less than 10 % 10 - 15 %
15 – 20 % More than 20 %
11. Mark your Risk investment tolerance level for the
investment. High Medium
Low
12. Give your satisfaction level with your investment.
Highly Satisfied Satisfied
Dissatisfied Highly Dissatisfied.