Comparative analysis on investment in mutual fundvaibhav belkhude
Over a long term horizon, equity investments have given returns which far exceed those from the debt based instruments. They are probably the only investment option, which can build large wealth. In short term, equities exhibit very sharp volatilities, which many of us find difficult to stomach. Investment in equities requires one to be in constant touch with the market and a lot of research.
Buying good scripts require one to invest fairly large amounts. Systematic Investing in a Mutual Fund is the answer to preventing the pitfalls of equity investment and still enjoying the high returns. And it makes all the more sense today when the stock markets are booming.
Management of the fund by the professionals or experts is one of the key advantages of investing through a mutual fund. They regularly carry out extensive research - on the company, the industry and the economy – thus ensuring informed investment. Secondly, they regularly track the market.
Thus for many of us who do not have the desired expertise and are too busy with our vocation to devote sufficient time and effort to investing in equity, Mutual Funds offer an attractive alternative.
Another advantage of investing through mutual funds is that even with small amounts we are able to enjoy the benefits of diversification. Huge amounts would be required for an individual to achieve the
desired diversification, which would not be possible for many of us. Diversification reduces the overall impact on the returns from a portfolio, on account of a loss in a particular company/sector.
The Mutual Funds industry is well regulated both by SEBI and AMFI. They have, over the years, introduced regulations, which ensure smooth and transparent functioning of the mutual funds industry. This makes it safer and convenient for investors to invest through Mutual Funds.
One of the biggest difficulties in equity investing is WHEN to invest, apart from the other big question WHERE to invest. While, investing in a mutual fund solves the issue of ‘where’ to invest, SIP helps us to overcome the problem of ‘when’. SIP is a disciplined investing irrespective of the state of the market. It thus makes the market timing totally irrelevant.
A Comparative Study of Equity Mutual Funds between Reliance and Birla SunLifePriyank Agarwal
This project is based on the comparative analysis of the Indian Mutual Fund companies Reliance and Birla Sun Life, respectively. There are a lot of investment avenues available today in the financial market for an investor with an investable surplus. He can invest in Bank Deposits, Corporate Debentures, and Bonds where there is low risk but low return. He may invest in Stock of companies where the risk is high and the returns are also proportionately high. The recent trends in the Stock Market have shown that an average retail investor always lost with periodic bearish tends. People began opting for portfolio managers with expertise in stock markets who would invest on their behalf. Thus we had wealth management services provided by many institutions. However they proved too costly for a small investor. These investors have found a good shelter with the mutual funds.
Les réseaux sociaux face au développement urbain dans les PVD : les pratiques...Sylvain Maire
Les pays en voie de développement (PVD), et plus encore les quartiers informels de leurs villes en pleine urbanisation, semblent encore loin des usages que nous promettent la ville2.0 et ses réseaux. C’est bien plus l’accès aux réseaux urbains (eau, assainissement, transport, déchets, etc.) qui a du sens dans ce contexte. Mais dans les faits, les réseaux numériques sont utilisés pour pallier à l’absence de services publics et urbains. Envoyer un sms pour collecter les déchets ou créer une base de données locale pour permettre l’adressage, tels sont les usages que l’on peut retrouver dans la favela2.0. Que ce soit pour la gestion de crise, la mise en place de conseils de quartier et plus globalement la coproduction des services urbains de la ville informelle, les pratiques collaboratives et les réseaux sociaux vont devenir un moyen d’action et de création de services publics.
Comparative analysis on investment in mutual fundvaibhav belkhude
Over a long term horizon, equity investments have given returns which far exceed those from the debt based instruments. They are probably the only investment option, which can build large wealth. In short term, equities exhibit very sharp volatilities, which many of us find difficult to stomach. Investment in equities requires one to be in constant touch with the market and a lot of research.
Buying good scripts require one to invest fairly large amounts. Systematic Investing in a Mutual Fund is the answer to preventing the pitfalls of equity investment and still enjoying the high returns. And it makes all the more sense today when the stock markets are booming.
Management of the fund by the professionals or experts is one of the key advantages of investing through a mutual fund. They regularly carry out extensive research - on the company, the industry and the economy – thus ensuring informed investment. Secondly, they regularly track the market.
Thus for many of us who do not have the desired expertise and are too busy with our vocation to devote sufficient time and effort to investing in equity, Mutual Funds offer an attractive alternative.
Another advantage of investing through mutual funds is that even with small amounts we are able to enjoy the benefits of diversification. Huge amounts would be required for an individual to achieve the
desired diversification, which would not be possible for many of us. Diversification reduces the overall impact on the returns from a portfolio, on account of a loss in a particular company/sector.
The Mutual Funds industry is well regulated both by SEBI and AMFI. They have, over the years, introduced regulations, which ensure smooth and transparent functioning of the mutual funds industry. This makes it safer and convenient for investors to invest through Mutual Funds.
One of the biggest difficulties in equity investing is WHEN to invest, apart from the other big question WHERE to invest. While, investing in a mutual fund solves the issue of ‘where’ to invest, SIP helps us to overcome the problem of ‘when’. SIP is a disciplined investing irrespective of the state of the market. It thus makes the market timing totally irrelevant.
A Comparative Study of Equity Mutual Funds between Reliance and Birla SunLifePriyank Agarwal
This project is based on the comparative analysis of the Indian Mutual Fund companies Reliance and Birla Sun Life, respectively. There are a lot of investment avenues available today in the financial market for an investor with an investable surplus. He can invest in Bank Deposits, Corporate Debentures, and Bonds where there is low risk but low return. He may invest in Stock of companies where the risk is high and the returns are also proportionately high. The recent trends in the Stock Market have shown that an average retail investor always lost with periodic bearish tends. People began opting for portfolio managers with expertise in stock markets who would invest on their behalf. Thus we had wealth management services provided by many institutions. However they proved too costly for a small investor. These investors have found a good shelter with the mutual funds.
Les réseaux sociaux face au développement urbain dans les PVD : les pratiques...Sylvain Maire
Les pays en voie de développement (PVD), et plus encore les quartiers informels de leurs villes en pleine urbanisation, semblent encore loin des usages que nous promettent la ville2.0 et ses réseaux. C’est bien plus l’accès aux réseaux urbains (eau, assainissement, transport, déchets, etc.) qui a du sens dans ce contexte. Mais dans les faits, les réseaux numériques sont utilisés pour pallier à l’absence de services publics et urbains. Envoyer un sms pour collecter les déchets ou créer une base de données locale pour permettre l’adressage, tels sont les usages que l’on peut retrouver dans la favela2.0. Que ce soit pour la gestion de crise, la mise en place de conseils de quartier et plus globalement la coproduction des services urbains de la ville informelle, les pratiques collaboratives et les réseaux sociaux vont devenir un moyen d’action et de création de services publics.
Refugee-led Settlements Project towards the Slum & Housing Crisis in Hong Kon...Yuri AKIYAMA-CARREL
This professional report (proposal) was published to the Hong Kong Government in March 2015. This explores an overview of current attitudes towards the slum and housing crisis where refugees in Hong Kong are confronted without specific options and proposes a constructive alternative through housing programme while the permanent resolution is identified.
Topic: Cloud Computing
Type: Research Paper Subject: Information Technology
Academic Level: Undergraduate
Style: MLA
Language: English (U.S)
Number of pages: 8 (double spaced, Times New Roman, Font 12)
Number of sources: 5
Task details
Write a 2000-word research paper that discusses the current state-of-the-art in cloud computing. The paper should discuss both the currently available technology and possible
New developments and designs to come in the next decade. The sources for your paper
are limited to the primary articles (not columns) in IEEE publications that have appeared
Since Jan. 2009:
Best Practices in community engagement in slum rehabilitation in India - Rajiv Ranjan Mishra - Third Expert Meeting of the Regional Slum Upgrading Working Group (RSUWG) - 29th. of November to the 1st. of December 2015 in Laleh International Hotel, Tehran, I.R. of Iran
Slum economies play a critical role in fulfilling slum dwellers’ livelihood and consumption needs, while also making important contributions to the growing urban economies in developing countries. However, the economic opportunities of slum dwellers are constrained by significant barriers, including unsupportive – and in some cases, hostile – municipal environments, which fail to protect informal workers’ rights and provide sufficient infrastructure in slums; information asymmetries in the labor market that prevent equitable access to jobs; and insufficient access to resources (for example, skills, finance, and markets) that enable growth. These barriers constrain the income generation and economic mobility of slum dwellers, and limit access to affordable goods and services within slums.
Invest in Mutual Funds : Stay safe and let compound your capital .
https://trade4dream.blogspot.in/
https://twitter.com/ShekharSinha4u
https://www.facebook.com/ShekharTechnical/
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the telegram contact of my personal pi vendor
@Pi_vendor_247
US Economic Outlook - Being Decided - M Capital Group August 2021.pdfpchutichetpong
The U.S. economy is continuing its impressive recovery from the COVID-19 pandemic and not slowing down despite re-occurring bumps. The U.S. savings rate reached its highest ever recorded level at 34% in April 2020 and Americans seem ready to spend. The sectors that had been hurt the most by the pandemic specifically reduced consumer spending, like retail, leisure, hospitality, and travel, are now experiencing massive growth in revenue and job openings.
Could this growth lead to a “Roaring Twenties”? As quickly as the U.S. economy contracted, experiencing a 9.1% drop in economic output relative to the business cycle in Q2 2020, the largest in recorded history, it has rebounded beyond expectations. This surprising growth seems to be fueled by the U.S. government’s aggressive fiscal and monetary policies, and an increase in consumer spending as mobility restrictions are lifted. Unemployment rates between June 2020 and June 2021 decreased by 5.2%, while the demand for labor is increasing, coupled with increasing wages to incentivize Americans to rejoin the labor force. Schools and businesses are expected to fully reopen soon. In parallel, vaccination rates across the country and the world continue to rise, with full vaccination rates of 50% and 14.8% respectively.
However, it is not completely smooth sailing from here. According to M Capital Group, the main risks that threaten the continued growth of the U.S. economy are inflation, unsettled trade relations, and another wave of Covid-19 mutations that could shut down the world again. Have we learned from the past year of COVID-19 and adapted our economy accordingly?
“In order for the U.S. economy to continue growing, whether there is another wave or not, the U.S. needs to focus on diversifying supply chains, supporting business investment, and maintaining consumer spending,” says Grace Feeley, a research analyst at M Capital Group.
While the economic indicators are positive, the risks are coming closer to manifesting and threatening such growth. The new variants spreading throughout the world, Delta, Lambda, and Gamma, are vaccine-resistant and muddy the predictions made about the economy and health of the country. These variants bring back the feeling of uncertainty that has wreaked havoc not only on the stock market but the mindset of people around the world. MCG provides unique insight on how to mitigate these risks to possibly ensure a bright economic future.
Empowering the Unbanked: The Vital Role of NBFCs in Promoting Financial Inclu...Vighnesh Shashtri
In India, financial inclusion remains a critical challenge, with a significant portion of the population still unbanked. Non-Banking Financial Companies (NBFCs) have emerged as key players in bridging this gap by providing financial services to those often overlooked by traditional banking institutions. This article delves into how NBFCs are fostering financial inclusion and empowering the unbanked.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
USDA Loans in California: A Comprehensive Overview.pptxmarketing367770
USDA Loans in California: A Comprehensive Overview
If you're dreaming of owning a home in California's rural or suburban areas, a USDA loan might be the perfect solution. The U.S. Department of Agriculture (USDA) offers these loans to help low-to-moderate-income individuals and families achieve homeownership.
Key Features of USDA Loans:
Zero Down Payment: USDA loans require no down payment, making homeownership more accessible.
Competitive Interest Rates: These loans often come with lower interest rates compared to conventional loans.
Flexible Credit Requirements: USDA loans have more lenient credit score requirements, helping those with less-than-perfect credit.
Guaranteed Loan Program: The USDA guarantees a portion of the loan, reducing risk for lenders and expanding borrowing options.
Eligibility Criteria:
Location: The property must be located in a USDA-designated rural or suburban area. Many areas in California qualify.
Income Limits: Applicants must meet income guidelines, which vary by region and household size.
Primary Residence: The home must be used as the borrower's primary residence.
Application Process:
Find a USDA-Approved Lender: Not all lenders offer USDA loans, so it's essential to choose one approved by the USDA.
Pre-Qualification: Determine your eligibility and the amount you can borrow.
Property Search: Look for properties in eligible rural or suburban areas.
Loan Application: Submit your application, including financial and personal information.
Processing and Approval: The lender and USDA will review your application. If approved, you can proceed to closing.
USDA loans are an excellent option for those looking to buy a home in California's rural and suburban areas. With no down payment and flexible requirements, these loans make homeownership more attainable for many families. Explore your eligibility today and take the first step toward owning your dream home.
how to sell pi coins on Bitmart crypto exchangeDOT TECH
Yes. Pi network coins can be exchanged but not on bitmart exchange. Because pi network is still in the enclosed mainnet. The only way pioneers are able to trade pi coins is by reselling the pi coins to pi verified merchants.
A verified merchant is someone who buys pi network coins and resell it to exchanges looking forward to hold till mainnet launch.
I will leave the telegram contact of my personal pi merchant to trade with.
@Pi_vendor_247
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
NO1 Uk Divorce problem uk all amil baba in karachi,lahore,pakistan talaq ka m...Amil Baba Dawood bangali
Contact with Dawood Bhai Just call on +92322-6382012 and we'll help you. We'll solve all your problems within 12 to 24 hours and with 101% guarantee and with astrology systematic. If you want to take any personal or professional advice then also you can call us on +92322-6382012 , ONLINE LOVE PROBLEM & Other all types of Daily Life Problem's.Then CALL or WHATSAPP us on +92322-6382012 and Get all these problems solutions here by Amil Baba DAWOOD BANGALI
#vashikaranspecialist #astrologer #palmistry #amliyaat #taweez #manpasandshadi #horoscope #spiritual #lovelife #lovespell #marriagespell#aamilbabainpakistan #amilbabainkarachi #powerfullblackmagicspell #kalajadumantarspecialist #realamilbaba #AmilbabainPakistan #astrologerincanada #astrologerindubai #lovespellsmaster #kalajaduspecialist #lovespellsthatwork #aamilbabainlahore#blackmagicformarriage #aamilbaba #kalajadu #kalailam #taweez #wazifaexpert #jadumantar #vashikaranspecialist #astrologer #palmistry #amliyaat #taweez #manpasandshadi #horoscope #spiritual #lovelife #lovespell #marriagespell#aamilbabainpakistan #amilbabainkarachi #powerfullblackmagicspell #kalajadumantarspecialist #realamilbaba #AmilbabainPakistan #astrologerincanada #astrologerindubai #lovespellsmaster #kalajaduspecialist #lovespellsthatwork #aamilbabainlahore #blackmagicforlove #blackmagicformarriage #aamilbaba #kalajadu #kalailam #taweez #wazifaexpert #jadumantar #vashikaranspecialist #astrologer #palmistry #amliyaat #taweez #manpasandshadi #horoscope #spiritual #lovelife #lovespell #marriagespell#aamilbabainpakistan #amilbabainkarachi #powerfullblackmagicspell #kalajadumantarspecialist #realamilbaba #AmilbabainPakistan #astrologerincanada #astrologerindubai #lovespellsmaster #kalajaduspecialist #lovespellsthatwork #aamilbabainlahore #Amilbabainuk #amilbabainspain #amilbabaindubai #Amilbabainnorway #amilbabainkrachi #amilbabainlahore #amilbabaingujranwalan #amilbabainislamabad
Turin Startup Ecosystem 2024 - Ricerca sulle Startup e il Sistema dell'Innov...Quotidiano Piemontese
Turin Startup Ecosystem 2024
Una ricerca de il Club degli Investitori, in collaborazione con ToTeM Torino Tech Map e con il supporto della ESCP Business School e di Growth Capital
how can I sell my pi coins for cash in a pi APPDOT TECH
You can't sell your pi coins in the pi network app. because it is not listed yet on any exchange.
The only way you can sell is by trading your pi coins with an investor (a person looking forward to hold massive amounts of pi coins before mainnet launch) .
You don't need to meet the investor directly all the trades are done with a pi vendor/merchant (a person that buys the pi coins from miners and resell it to investors)
I Will leave The telegram contact of my personal pi vendor, if you are finding a legitimate one.
@Pi_vendor_247
#pi network
#pi coins
#money
The secret way to sell pi coins effortlessly.DOT TECH
Well as we all know pi isn't launched yet. But you can still sell your pi coins effortlessly because some whales in China are interested in holding massive pi coins. And they are willing to pay good money for it. If you are interested in selling I will leave a contact for you. Just telegram this number below. I sold about 3000 pi coins to him and he paid me immediately.
Telegram: @Pi_vendor_247
1. Research Paper On
‘Studying Contribution of Mutual Fund in Indian Economy for Sustainable Development’
Abstract:
Industry is the production of goods or services within an economy. The major source of revenue
of a group or company is the indicator of its relevant industry. Large group of industries has
multiple sources of revenue generation.
A mutual fund is a professionally managed investment fund that pools money from many
investors to purchase securities. While there is no legal definition of the term "mutual fund", it is
most commonly applied only to those collective investment vehicles that are regulated and sold
to the general public. They are sometimes referred to as "investment companies" or "registered
investment companies". Hedge funds are not mutual funds, primarily because they cannot be
sold to the general public.
The first introduction of a mutual fund in India occurred in 1963, when the Government of India
launched Unit trust of India (UTI). Until 1987, UTI enjoyed a monopoly in the Indian mutual
fund market. Then a host of other government-controlled Indian financial companies came up
with their own funds. These included State Bank of India, Canada Bank, and Punjab National
Bank. This market was made open to private players in 1993, as a result of the historic
constitutional amendments brought forward by the then Congress-led government under the
existing regime of Liberalization, Privatization and Globalization (LPG). The first private sector
fund to operate in India was Kothari Pioneer, which later merged with Franklin Templeton. In
1996, SEBI, the regulator of mutual funds in India, formulated the Mutual Fund Regulation
which is a comprehensive regulatory framework. Mutual fund is also helps to develop finance
sector as well as it provide long term investment to economy. Many of the country having the
ability to develop but because of unavailability of fund they become backward or undeveloped.
For developing those underdeveloped countries mutual fund is play vital role. There for this
research is happen.
2. The landscape of the financial sector in India is continuously evolving, accredited to regulatory
changes being undertaken, which is leading market participant like the asset management
companies (AMCs) and distributors to restructure their strategies and adopt business models
which will yield sustainable benefits. Some of the other trends which have emerged strongly
over the past year are heavy outflows triggered by market volatility and partnering of asset
management companies with banks, to increase the strength of distribution networks. The whole
paper is divided into five sections. In the first part, we have discussed the conceptual framework
of mutual fund. In the next section, we have focused on the growth of mutual fund industry in
India. In the third section, we have analyzed the trends in the mutual fund industry. Then, we
have discussed the challenges of mutual fund industry and finally, the way ahead for mutual fund
industry in India.
Keywords:
Mutual Funds,
Growth,
Challenges,
Business models,
Regulatory
Introduction of Topic:-
3. Mutual Fund is an investment vehicle that is made up of a
pool of funds collected from many investors for the purpose of investing in securities
such as stocks, bonds, money market instruments and similar assets. Mutual funds are
operated by money managers, who invest the fund's capital and attempt to produce
capital gains and income for the fund's investors. A mutual fund's portfolio is structured
and maintained to match the investment objectives stated in its prospectus. One of the
main advantages of mutual funds is that they give small investors access to professionally
managed, diversified portfolios of equities, bonds and other securities, which would be
quite difficult (if not impossible) to create with a small amount of capital. Each
shareholder participates proportionally in the gain or loss of the fund. Mutual fund units,
or shares, are issued and can typically be purchased or redeemed as needed at the fund's
current net asset value (NAV) per share, which is sometimes expressed as NAVPS.
Mutual funds as an intermediation mechanism and products play an important role in
India’s financial sector development. Apart from pooling resources from small investors,
they also provide informed decision making mechanism to them. Thus they contribute to
not only financial sector participation, but also financial inclusion and thereby enhance
market efficiency. Additionally they contribute to financial stability and help in
enhancing market transparency.
Objective Of Study:-
1. To study growth of mutual fund industry
2. To study Employment generated by mutual fund industry
3. To study Mutual fund industries contribution to GDP
4. Contribution of Indian mutual fund industries to FDI.
5. Trends in mutual fund industry
6. Funds mobilized under mutual funds during period 2010-14
7. . The way forward
8. Challenges for mutual fund industry
4. Literature review
There is lot of research is already done on mutual fund and Indian
mutual fund industries but it is essential that to find something new and solve current problem by
previous theory. There for there is need to new research and make our knowledge up to date.
Here also Indian economy faces new problem related with fund. There for to change according
changes this research take place. Here some previous researches take as references these are
follows:
Mr. Sanjay Trivedi has collects varies types of information which is found very useful to this
project the gives detailed information about varies types schemes which company or finance
sector uses for rise new fund. They are as follows;
Open Ended Scheme, Close Ended Scheme, Interval Scheme (Equity Fund, Debt Fund, and
Income Fund), Liquid Fund, Balanced Fund And So On.
Researchmethodology
The research paper is an attempt of exploratory research, based
on the secondary data sourced from journals, Internet, articles, previous research paper. Looking
into requirements of the objectives of the study the research design employed for the study is of
descriptive type. Keeping in view of the set objectives, this research design was adopted to have
greater accuracy and in depth analysis of the research study. Available secondary data was
extensively used for the study. The investigator procures the required data through secondary
survey
Data analysis and interpretation
Growth of Mutual Fund Industry
The mutual fund industry in India started in 1963 with the
formation of Unit Trust of India, at the initiative of the Government of India and Reserve Bank.
Unit Trust of India (UTI) was established on 1963 by an Act of Parliament. It was set up by the
Reserve Bank of India and functioned under the Regulatory and administrative control of the
Reserve Bank of India. In 1978 UTI was de-linked from the RBI and the Industrial Development
5. Bank of India (IDBI) took over the regulatory and administrative control place of RBI. The first
scheme launched by UTI was Unit Scheme 1964. At the end of 1988 UTI had Rs.6, 700 cores of
assets under management. The year 1987 marked the entry of non- UTI, public sector mutual
funds set up by public sector banks and Life Insurance Corporation of India (LIC) and General
Insurance Corporation of India (GIC). SBI Mutual Fund was the first non- UTI Mutual Fund
established in June 1987 followed by Canbank Mutual Fund (Dec 87), Punjab National Bank
Mutual Fund (Aug 89), Indian Bank Mutual Fund (Nov 89), Bank of India (Jun 90), Bank of
Baroda Mutual Fund (Oct 92). LIC established its mutual fund in June 1989 while GIC had set
up its mutual fund in December 1990.At the end of 1993, the mutual fund industry had assets
under management of Rs.47,004 crores. With the entry of private sector funds in 1993, a new era
started in the Indian mutual fund industry, giving the Indian investors a wider choice of fund
families. Also, 1993 was the year in which the first Mutual Fund Regulations came into being,
under which all mutual funds, except UTI were to be registered and governed. The erstwhile
Kothari Pioneer (now merged with Franklin Templeton) was the first private sector mutual fund
registered in July 1993.The 1993 SEBI (Mutual Fund) Regulations were substituted by a more
comprehensive and revised Mutual Fund Regulations in 1996. The industry now functions under
the SEBI (Mutual Fund) Regulations 1996. The number of mutual fund houses went on
increasing, with many foreign mutual funds setting up funds in India and also the industry has
witnessed several mergers and acquisitions. As at the end of January 2003, there were 33 mutual
funds with total assets of Rs. 1,21,805 crores. The Unit Trust of India with Rs.44,541 crores of
assets under management was way ahead of other mutual funds. Indian mutual fund industry has
grown at a Compounded Annual Growth Rate (CAGR) of 15 per cent from FY07 to FY13, the
growth performance in the recent years have been rather subdued. However, Assets under
Management (AUM) as a per cent of GDP for India is about 5 to 6 per cent, significantly lower
than some other emerging economies.
6. Employment Generated by mutual Fund Industry
In the last decade, self employment opportunities generated by the direct selling industry in India
has more than doubled to 96.3 million people in 2013, from 43.8 million in 2001, according to a
latest survey.
With over 14 years of activity in India, direct selling industry has touched a size of about Rs
7,472 crore in FY14.
According to a release by the Indian Direct Selling Association (IDSA), “The sector offered self
employment opportunities to 43.8 million direct sellers in 2001, which is now, in 2013, stood at
96.3 million.”
Nearly 43 per cent of market share of global direct selling industry is held by Asia-Pacific
markets in 2013 at $ 77,569 million recording a growth rate of 12.6 per cent.
Rajat Benerji, chairman, IDSA says, “Direct selling is a potential avenue; not only has it helped
people to be independent financially but also inculcates self confidence. The direct selling model
helps the independent sales force to earn compensation from their sales of goods and services
directly to consumers thereby exposing the vast opportunity to build one's own independent
business.”
Mutual fund industries contribution to GDP
From a single-player monopoly in 1964, the Indian mutual fund industry has evolved into a high-
growth and competitive market on the back of favorable economic and demographic factors
mutual fund industry has grown at a Compounded Annual Growth Rate CAGR) of 15 per
cent from FY07 to FY13, the growth performance in the recent years have been rather subdued.
However, Assets under Management (AUM) as a per cent of GDP for India is about 5 to 6 per
cent, significantly lower than some other emerging economies, for example, 40 percent for Brazil
and around 33 per cent for South Africa. This indicates significant headroom for growth.
However, the industry growth will continue to be characterized by external factors such as
volatility and performance of the capital markets, and macro-economic drivers such as GDP
growth, inflation and interest rates. The Indian mutual fund industry has shown relatively slow
growth in the period FY 10-13 growing at a CAGR of approximately 3.2 per cent. Average
(AUM) stood at INR 8,140 billion as of September 2013. However, AUM increased to INR
8,800 billion as of December 2013.Lackluster stock market performance, rising inflation and
anticipation of a rise in interest rates has led to a tapering of growth in the Indian mutual fund
industry in the recent years. In comparison to global markets, India’s AUM penetration as a per
cent of GDP is between 5-6 per cent while it is around 77 per cent for the U.S., 40 per cent for
Brazil and 31 per cent for South Africa. Despite the relatively low penetration of mutual funds in
7. India, the market is highly concentrated. Though, there are44 AMCs operating in the sector,
approximately 80 per cent of the AUM is concentrated with 8 of the leading players in the
market. There have been recent instances of consolidation in the market and market
concentration is expected to remain in the near-term.
Contribution of Indian mutual fund industries to FDI.
International mutual funds or overseas funds are portfolio of equities, bonds, and money market
securities traded in foreign market. Recently these funds have gained popularity because of the
diversification they offer.
They offer many benefits such as taking advantage of emerging markets, commodities boom, or
business cycle of different markets.
Just like domestic funds, international mutual funds offer many varieties such as commodity
based fund, thematic fund, country based, sector based, and others. Moreover, these funds are
managed by experts in international markets. Many fund houses have international mutual funds
in their portfolio.
Indian mutual fund industry offers many choices as far as international mutual funds are
concerned. Almost all the fund houses such as Birla sun life, HSBC, DSP black rock, Fidelity,
Tata, ICICI Prudential offer international mutual funds. Invest wisely and take advantage of the
diversification.
8. Trends in Mutual Fund Industry
A. Number of Schemes under Mutual Funds
TABLE1
NUMBER OF SCHEMES UNDER MUTUAL FUNDS DURING THE PERIOD 2010-
2014
Year Debt Income Total
2010-11 679 376 1131
2011-12 872 352 1309
2012-13 857 347 1294
2013-14 1178 363 1638
0
200
400
600
800
1000
1200
1400
1600
1800
2010-11 2011-12 2012-13 2013-14
Debt
Income
Total
9. B. FUNDS MOBILIZED UNDER MUTUAL FUNDS DURING PERIOD 2010-14
Year Income
2010-11 66592.30
2011-12 50618.80
2012-13 43364.31
2013-14 46092.99
0
10000
20000
30000
40000
50000
60000
70000
2010-11 2011-12 2012-13 2013-14
income
10. C. Challenges for Mutual Fund Industry
1) Lack of Financial Education and Awareness: Financial literacy is the one of the most
fundamental factor impeding the growth of penetration of any financial product in the smaller
cities and towns. Investors need to be made aware of their financial goals and the means to
achieve the same. SEBI is making efforts for the investor awareness campaign.
2) Limited Distribution Network: The second critical issue for fund houses to distribute their
products in smaller cities is the availability of quality distribution infrastructure. Fund houses
need infrastructure like branched, adequate number of relationship managers and sales service
staff in these locations to be able to increase their sales volume coming from these geographies.
3) Distribution cost: Cost of establishing A Distribution network in B-15 cities is quite high. It is
the cost per transaction or the low sales volume that makes the pursuit economically unviable or
atleast challenging
4) Cultural Bias: Cultural Bias towards physical assets, as of FY13, 46 percent of total individual
wealth in India is invested in physical assets. Although, in the past few decades, the investors
have increasingly relied on financial assets to invest their savings, the contribution of MFs in the
asset portfolio is vey low.
D. The way forward
The Mutual fund industry needs to have an „outside-in‟ perspective as compared to „inside-out‟
perspective. Understanding investors‟ needs should be followed by a product channel alignment.
Increasing financial literacy will be the key to unlock the doors to B-15 and also to remove the
perception that equates mutual fund to only equity. Investor awareness campaigns should be
conducted to increase the AUM in smaller cities which would help industry to progress in a
holistic manner. Knowledge about mutual fund industry should be included in educational
curriculum. Fund houses may need to find and partner with the right distributor to make the
11. products available to investors in smaller cities. Therefore, Banks and IFAs could play a pivotal
role in reaching the investor base. Also, distributors should be incentivized enough to ensure that
they project mutual funds as a long-term investment for fulfilling financial goals. For future
growth, tax could act as an enabler as tax benefits can be a pull factor for investors. For example,
fund of funds does not get the required tax benefit from the government. May be, government
could look at such funds and few offshore funds from India for tax benefits. Technology can act
as a key enabler and help the fund houses reach investors at a low cost and more efficient
manner. AMCs need to make the relevant investments in technology to help reach investors to
help ensure transactions on the channels of their choice.
Findings
1. mutual fund industry plays important role for providing new fund to large scale
industries
2. Mutual fund generates Employment in finance sector.
3. If Mutual fund manages properly it provides boost to GDP.
Suggestion
1. Investor awareness is the prerequisite for achieving transformational growth of
mutual funds. This requires planning, financing and executing initiatives aimed at
increasing financial literacy and enhancing investor education across the entire
Country through collaborative efforts of SEBI, AMFI, AMCs, Confederation of
Indian Industry (CIl), Ministry of Finance and the media
2. The market success of any product, particularly a financial product, depends
largely on its acceptance by consumers, in this case investors
3. AMCs should focus on giving training to distributors of mutual funds to
4. Enhance their marketing and advisory capabilities so that they can win the trust
and Confidence of customers.
5. The eligibility norms for setting up mutual fund houses should be looked into to
allow only serious players to enter/remain in the market
6. Fund houses need to assign an increased Budget for investment in technology,
which will help them streamline their distribution.
Conclusion
The road ahead for the mutual fund industry will be paved by the performance of the capital
markets. But, more importantly, it remains to be seen, how fund houses adapt themselves to
changes in regulations, Thereby shaping growth for the future. A continuously evolving
regulatory framework makes it mandatory for the industry to elicit a clear growth path, making it
easier to assess obstacles and tide over them with time
12. References
1) Annual Report, 2011-12, SEBI
2) “Indian Mutual Fund Industry-Towards 2015”, CII, 6th Mutual Fund Summit, 2012
3) “Indian Mutual Fund Industry, Distribution Continnum: Key to Success”, KPMG
4) Moneycontrol.co.in
5) Amfi.com
6) Sebi.annualreport/mutualfund.com
7) Mutualfundindia.com
8) Investorworlds.com