HR project on recruitment, selection of financial advisor and bancassurance
NJ INDIA INVEST PVT
1. NJ INDIA INVEST PVT. LTD.
A study on Role of National Distributor in Mutual Fund
2. What is a
mutual
fund?
Mutual Fund is the pool of money from the investors to invest in
different securities according to certain objectives.
Mutual fund constituted as a TRUST, act as a vehicle which helps to
mobilize moneys from investors and invest in different markets and
securities.
In other words, through investment in a mutual fund, a small
investor can avail of professional fund management services offered
by an Asset Management Company.
3.
4. Types of
mutual
funds:
Open ended
Close ended
Interval scheme
Equity fund
Debt fund
Balance fund
Liquid fund
Guilt fund
Sector fund
ELSS
RGESS
6. Role of
national
distributor
:
Person working as a direct channel or IFA have move to take the
support of National Distributors because :
1. they have lots of issues to deal with Person as an IFA, they have to
deal with – getting clients, servicing them, maintaining records etc.
2. Leading distributors like Bajaj Capital and NJ India have built a
strong distribution force of sub-brokers among the mutual fund
market, distributors like Funds India and iFAST are slowly gaining
acceptance among the advisors. Both Funds India and iFAST have
two ways of dealings – B2B and B2C. Under the B2B model, they
deal with advisors and through the B2C model they deal with
investors directly.
3. Apart from providing buying and selling mutual funds online, these
NDs/platforms provide a host of value add services to its partners.
7.
8. Introduction
to the
company:
established in 1994
located in 97 different places in India
Located in 3 countries
have around 1100 + employees all over India
18,000+ active partners
Current AUM is 22000+ crore
9. How NJ
works:
NJ India Invest Pvt.Ltd . is totally based on B to B model.
In addition to it, NJ has divided its business into various divisions
for providing support and training to its partners/advisors as well as
making it helpful to its employee.
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' in the
industry
10. NJ India
Business
Model:
Sales Support Marketing Support Research Support Customer Support Training &
Development
Support
Dedicated
Relationship
Managers
Attractive Schemes Research on MF
Schemes
Online Query
Module
Business Planning
Ongoing Training and
Development
Latest Presentations
and Calculators
Market Trends Toll Free Number
For Partners
Task and Team
Management
Activity Planning Weekly and Monthly
Publications
Equity and Debt
Analysis
Quick TAT for
Faster Resolution
Advance Advisory &
Financial Planning
Designing Strategies Print shop Soft skill and
Personality
Development
Target Setting Your Branded Items Sales and Motivation
Regular Monitoring Quality Material Products And
Markets
Door Step Delivery Basic Certification
12. SWOT
Analysis
:
STRENGTH
* Strong client base
* Around 20 years of experience
* Top in National Distributors
* Better technological support provided
WEAKNESS
* Lack of office space
* Lack of ground agent
OPPORTUNITY
* Rapid expanding asset management market
* More demand for quality advisor provider
* Increase number investors
THREATS
* High market competition
* Need to compete even with banking channel
* Growing individual competitor
* Increase in the fee of AMFI Certification
13. Objective of
the study:
To know different role played by national distributors
To know their market share in Total Asset Under
Management (AUM)
To know Future planning of the national distributors
To test the awareness level in the market about mutual
fund
To know the views of Investors and Advisors toward
National Distributors role.
To know its distribution to Insurance Advisors
14. Research
methodology
:
Research Design:
The present study will adopt the exploratory approach and
also Descriptive Research
Descriptive research is a study design to depict the
participants in an accurate way. The main ways to collect the
information are: observational, survey and case study
15. COLLECTION OF DATA:
1: SECONDARY DATA: It was collected from internal sources.
The secondary data was collected on the basis of organizational file,
official records, newspapers, magazines, management books,
preserved information in the company’s database and website of the
company.
2: PRIMARY DATA: All the people from different profession
were personally visited and interviewed. They were the main source
of Primary data. The method of collection of primary data was direct
personal interview through a structured questionnaire.
16. SAMPLING PLAN: Since it is not possible to study whole universe, it
becomes necessary to take sample from the universe to know about its
characteristics.
Sampling Units: insurance advisors, Chartered Accountants, Tax
Consultants.
Sample Technique: Random Sampling, convenience sampling
Research Instrument: Structured Questionnaire.
Contact Method: Personal Interview
SAMPLE SIZE: The sample size for this project was 150 respondents.
Area Covered: New Delhi from 15 May to 30 July 2014
17. Findings:
1. 58% of the Advisors do not have the knowledge about the Mutual Fund.
2. Though 42% of insurance advisor knows about the mutual fund but they do
not have the detail knowledge about the mutual fund.
3. Brokerage in mutual fund is very low as compare to insurance.
4. Most of the Insurance Advisor know about the company NJ India Invest.
5. Though they know the company name but most people do not have the
knowledge that it is the top most national distributors in mutual fund
distributors.
6. Though NJ India organize seminar regarding mutual fund time-to-time, only
few of the insurance advisor are interested in attend them.
7. However, 82% of the people who have attended the seminar found it
beneficial.
8. 75% people do not want to be AMFI certified because of the fee charges.
18. 9. Most people have wrong concept that they have to give more time to mutual
fund that to insurance. Due to this they perceive their Insurance advisory job
might be in danger.
10. NJ India has provided it partner with better support by helping them in
passing the AMFI certified Exam.
11. ARN holders who are working independently also want to associate with NJ
India due to its support n training and development facilities.
12. NJ India is providing all the necessary support in helping its partner in
dealing with the clients.
13. People want to invest in mutual fund for various purposes, however, good
return and safety was the majority of all.
14. NJ India has organized various awareness program regarding mutual fund.
15. It is further planning to open an institution for providing information
regarding mutual fund.
16. NJ India is also going to conduct seminar regarding mutual fund in various
colleges.
19. Conclusion:
On the basis of research we can say that mutual fund is growing with the great speed
and the reason behind it is a dedication of national distributors like NJ India Invest. NJ
India works with a principle of “Built on Trust”. Hence it is success in carrying it
principle as many of the Insurance advisors are getting converted to the advisor of
mutual fund too. National distributors are not only creating awareness among the
people, but also have increased the commission in the mutual fund house.
Today each and every people are aware of the kind of investment mutual fund. They are
curious about the type of return they get in mutual fund and are asking the mutual fund
advisors about the schemes in mutual fund. This was only possible due to the awareness
of mutual fund by national distributors.
I found that 58% of the Advisors do not have the knowledge about the Mutual Fund. So
it is big opportunity for NJ India Invest Pvt. Ltd to convince the advisors and bring
them in mutual fund industry.
Only 15% of the advisors are partner with NJ India. So it is opportunity to have good
business with rest 85% of advisors due to less competitor.
40% of people see safety while investing, 38% people see good return and 22% see
liquidity while investing. So majority of the people are looking for mutual fund due to
safety, good return and liquidity.
Most of the advisors (that is 90%) said that NJ is providing support to them.
70% of the peoples are satisfied with NJ training and support. So they are providing
good business opportunity and lifetime support for advisors and is the leading financial
distributor of India. But 30% of peoples are still not satisfied.
44 AMCs are tied up with NJ INDIA. So advisors got a good platform to do a good
business through 44 AMCs
20. Suggestions:
NJ should decrease charge upon AMFI test.
NJ should expand its awareness program from insurance advisors to
general public and college level
It should also create program or advertise in term of brand building
Give more importance to safety and return attributes.
Financial Advisors are more concern about the safety and of giving more
benefits of the investment to their clients
By providing better service NJ India Invest should try to attract the
independent Financial Advisors to join them.
Tax benefits should be highlighted to attract public sector employees for
investment in mutual fund.
21. Annexure:
Q1. Are you an Insurance advisor?
1. Yes
2. No
3. Used to
Q2. How long have you been working as a Insurance Advisor?
1. 0 – 5 years
2. 5 – 10 years
3. Above 10 years
Q3. Have you heard about Mutual Fund?
1. Yes
2. No
Q4.1. Do you know detail about mutual fund?
1. Yes
2. No
Q4.2. Are you partners to NJ India Invest?
1. Yes
2. No
22. Q5.1. Have you attended any seminar organized by NJ India regarding Mutual Fund?
1. Yes
2. No
Q5.2. Does the seminar helpful to understand the mutual fund?
1. Yes
2. No
Q6. Do you want to be AMFI certified?
1. Yes
2. No
3. Already
Q7.1.Do you want to invest in mutual funds?
1. Yes
2. No
Q7.2. If yes, what factors do you keep in mind before investing in mutual fund
1. Safety
2. Return
3. Liquidity
23. Q8.1. If partner, have NJ India provided any training for your AMFI certification?
1. Yes
2. No
Q.8.2. Was the training program helpful?
1. Yes
2. No
Q8.3. Is NJ providing you support currently?
1. Yes
2. No
Q8.4. Are you satisfied with the services provided by the NJ India Invest?
1. Yes
2. No
24. Name: …………………………………………….
E-mail Id: …………………………………………
Contact No: ………………………………………
Office Address: ………………………………….
Thanks for your Co-operation
