The document is about constructing mutual fund portfolios. It begins with an acknowledgement section thanking group members for their equal participation. It then lists the contents to be covered, which include introductions to mutual funds, their types and construction. The document discusses how mutual funds work, their advantages of diversification and professional management, and risks. It also covers the structure and growth of the Indian mutual fund industry.
The document provides acknowledgements and thanks to various people who helped with the project. It thanks the project guide for their assistance and support. It also thanks library staff members and seniors who helped with collecting and processing data and resources for the project. The project is dedicated to all those who provided assistance.
Analysis of Mutual Fund Schemes of Reliance Money By Mohammed Sarfaraz Siddiquejaydeep chaurasia
Here are the key points about the concept of mutual funds:
- A mutual fund is a trust that pools together money from many investors and invests it in stocks, bonds, and other securities.
- The money collected from investors is used to purchase a portfolio of securities selected by the fund manager.
- Each investor owns units or shares in the fund which represents a portion of the portfolio and the income generated by it.
- Mutual funds allow individual investors to participate in a wide range of investments which they may not be able to access directly.
- The main advantage is professional management where full-time fund managers conduct research and select securities for investment.
- Mutual funds provide an easy and low
This document is a project report submitted by Aditya Mahindrakar for his summer internship at UTI Mutual Fund in Hyderabad. The report details his study titled "A Study on Performance and Analysis of Mutual Funds in India". The 3-page report includes sections acknowledging the guidance received from his mentors at UTI Mutual Fund and ArthChakra Advisory Services, a table of contents outlining the topics covered in the report, and an executive summary defining mutual funds and how investors can make money from them.
This document appears to be a report submitted by a student on their summer internship project studying mutual fund schemes at The Devikulam Taluk Vyapari Vyavasai Service Co-operative Society Ltd. The report includes an executive summary, introduction, objectives, literature review, company profile, research methodology, data analysis and findings/conclusions. It analyzes the various mutual fund schemes offered by the cooperative society, including 90 mutual fund schemes with a total value of 1.1 crore rupees. The cooperative society has a strong financial position with total deposits of over 16.3 crore rupees and loans outstanding of over 19.3 crore rupees.
I have found all primary data and secondary data for this project by my own efforts and the all data are 100% true according to my summer internship experience..Thanks
Banking in India originated in the late 18th century with the Bank of Hindustan and General Bank of India. The oldest and largest bank still in existence is the State Bank of India, which originated from the Bank of Bengal and later merged with the Bank of Bombay and Bank of Madras to form the Imperial Bank of India. In 1955 it became the State Bank of India. The government nationalized many banks in 1969 and they remain under government ownership as public sector undertakings. The modern Indian banking sector includes public sector banks, private sector banks, foreign banks, regional rural banks, urban cooperative banks and state cooperative banks.
A project report on awareness of mutual funds 1Nirali Nayi
This document is a project report submitted by Swati M. Suthar and Nirali D. Nayi for their Advance Diploma in Banking and Insurance at S.K. College of Business Management, HNGU, Patan. The report is about creating awareness of mutual funds and was conducted under the guidance of their faculty member Mr. Nisarg Khamar. It includes a certificate from their guide, preface, acknowledgements, executive summary, and the beginning of the introduction chapter which provides an overview of what a mutual fund is.
This document provides an analysis of various balanced and liquid funds. It begins with an introduction to mutual funds and their structure. It then discusses company profiles, types of balanced and liquid funds, and analytical tools used to compare fund performance such as Sharp ratio, Treynor ratio, and standard deviation. Several chapters analyze specific mutual funds and present the results of a survey on the industry. The conclusion suggests that balanced and liquid funds are growing in popularity and performance is improving. The mutual fund industry is expanding rapidly in India.
The document provides acknowledgements and thanks to various people who helped with the project. It thanks the project guide for their assistance and support. It also thanks library staff members and seniors who helped with collecting and processing data and resources for the project. The project is dedicated to all those who provided assistance.
Analysis of Mutual Fund Schemes of Reliance Money By Mohammed Sarfaraz Siddiquejaydeep chaurasia
Here are the key points about the concept of mutual funds:
- A mutual fund is a trust that pools together money from many investors and invests it in stocks, bonds, and other securities.
- The money collected from investors is used to purchase a portfolio of securities selected by the fund manager.
- Each investor owns units or shares in the fund which represents a portion of the portfolio and the income generated by it.
- Mutual funds allow individual investors to participate in a wide range of investments which they may not be able to access directly.
- The main advantage is professional management where full-time fund managers conduct research and select securities for investment.
- Mutual funds provide an easy and low
This document is a project report submitted by Aditya Mahindrakar for his summer internship at UTI Mutual Fund in Hyderabad. The report details his study titled "A Study on Performance and Analysis of Mutual Funds in India". The 3-page report includes sections acknowledging the guidance received from his mentors at UTI Mutual Fund and ArthChakra Advisory Services, a table of contents outlining the topics covered in the report, and an executive summary defining mutual funds and how investors can make money from them.
This document appears to be a report submitted by a student on their summer internship project studying mutual fund schemes at The Devikulam Taluk Vyapari Vyavasai Service Co-operative Society Ltd. The report includes an executive summary, introduction, objectives, literature review, company profile, research methodology, data analysis and findings/conclusions. It analyzes the various mutual fund schemes offered by the cooperative society, including 90 mutual fund schemes with a total value of 1.1 crore rupees. The cooperative society has a strong financial position with total deposits of over 16.3 crore rupees and loans outstanding of over 19.3 crore rupees.
I have found all primary data and secondary data for this project by my own efforts and the all data are 100% true according to my summer internship experience..Thanks
Banking in India originated in the late 18th century with the Bank of Hindustan and General Bank of India. The oldest and largest bank still in existence is the State Bank of India, which originated from the Bank of Bengal and later merged with the Bank of Bombay and Bank of Madras to form the Imperial Bank of India. In 1955 it became the State Bank of India. The government nationalized many banks in 1969 and they remain under government ownership as public sector undertakings. The modern Indian banking sector includes public sector banks, private sector banks, foreign banks, regional rural banks, urban cooperative banks and state cooperative banks.
A project report on awareness of mutual funds 1Nirali Nayi
This document is a project report submitted by Swati M. Suthar and Nirali D. Nayi for their Advance Diploma in Banking and Insurance at S.K. College of Business Management, HNGU, Patan. The report is about creating awareness of mutual funds and was conducted under the guidance of their faculty member Mr. Nisarg Khamar. It includes a certificate from their guide, preface, acknowledgements, executive summary, and the beginning of the introduction chapter which provides an overview of what a mutual fund is.
This document provides an analysis of various balanced and liquid funds. It begins with an introduction to mutual funds and their structure. It then discusses company profiles, types of balanced and liquid funds, and analytical tools used to compare fund performance such as Sharp ratio, Treynor ratio, and standard deviation. Several chapters analyze specific mutual funds and present the results of a survey on the industry. The conclusion suggests that balanced and liquid funds are growing in popularity and performance is improving. The mutual fund industry is expanding rapidly in India.
A Project report on MUTUAL FUND AND BANK ASSURANCE SBI BANKSpratikrvyas007
This document appears to be a project report on mutual funds and bancassurance submitted for an MBA program. It includes an acknowledgements section, table of contents, and begins discussing the introduction and history of mutual funds in India. It provides background on the origin and four phases of development of the mutual fund industry in India from 1964 to the present. It also discusses the performance of mutual funds in India over time, noting growth from Rs. 67bn in assets under management in 1987 to Rs. 1,540bn in April 2004.
Mutual fund Simplified- To study the Perception Towards Mutual Fund Services ...Shubham Tandan
cahpter 1: Executive Summary
chapter 2: Introduction to Mutual Fund
2.1 history
2.2 what is mutual fund
2.3 Characteristics of Mutual Funds
2.4 Benefits of Investing in a Mutual Fund
2.5 Disadvantages of Mutual Fund
2.6 ROLE OF MUTUAL FUNDS
2.6.1 Mutual Funds & Financial Market
2.6.2 Mutual Fund & Capital Market
2.7 KEY INVESTMENT CONSIDERATION BY THE INVESTORS
2.8 TYPES OF MUTUAL FUNDS
2.9 TAXATION BENEFITS INVESTING IN MUTUAL FUNDS
2.10 More about Mutual Fund
2.10.1 Net Asset Value (NAV)
2.10.2 Entry/ Exit Load
2.10.3 Sale or Repurchase/Redemption price
2.10.4 Risk involved in investing in Mutual Funds:
chapter 3: OBJECTIVES OF THE STUDY
chapter 4: PROFILE OF COMPANY
chapter 5:LITERATURE REVIEW
chapter 6: RESEARCH METHODOLOGY
chapter 7 : DATA ANALYSIS by SPSS
7.1 Factor Analysis
7.2 Chi-square
7.3 T-test
7.4 Annova
chapter 8: Findings
Chapter 9: CONCLUSION
chapter 10: SUGGESTIONS
chapter 11: ANNEXURE
chapter 12: BIBLIOGRAPHY
The document discusses mutual funds, providing definitions and describing their key characteristics. It notes that a mutual fund pools money from investors and invests it in a portfolio of securities, allowing small investors to benefit from diversification. It also outlines the typical structure of a mutual fund, which involves a sponsor, a trust responsible for safeguarding investors' interests, and an asset management company that handles the investments. Finally, it lists some advantages of investing in mutual funds, such as professional management, liquidity, and tax benefits.
The document is a project report comparing mutual funds of HDFC and ICICI. It includes an introduction describing mutual funds, their history and types. It outlines the objectives of comparing the two companies' investment opportunities and ability to help investors make decisions. The report contains sections on literature review, research methodology, analysis, findings, and conclusions.
This document appears to be a project report analyzing the performance of the top 100 mutual funds in India compared to the Opportunities Fund offered by UTI Mutual Fund. The 3-page introduction provides background on mutual funds, their importance and advantages in India. It discusses the basic concepts of how mutual funds operate and pool money from investors. It also outlines the different types of mutual fund schemes based on their structure and investment objectives.
- Mutual funds have emerged as an important tool for financial well-being in India, helping families invest in industry growth. However, awareness remains low, with 9 in 10 people unaware of mutual funds.
- Once aware of opportunities, 1 in 5 people decide to invest in mutual funds. Understanding which potential investors are most likely to buy funds and tailoring the sales process accordingly is key to converting unaware investors.
- The document analyzes investor preferences in India regarding asset management companies, fund types, growth vs. dividend options, and investment strategies for mutual funds.
The document is a report submitted for a Master's degree that studies the performance of equity schemes of HDFC Mutual Fund compared to other companies. It includes an introduction to mutual funds and HDFC Mutual Fund, as well as sections on analysis techniques, findings, and acknowledgements. The objective is to evaluate the risk and returns of HDFC equity schemes versus two other competitors over a 5-year period.
JM Financial provides a wide range of financial services including equity and derivatives trading, portfolio management services, research services, and distribution of IPOs and mutual funds. The marketing department at JM Financial is responsible for promoting key products and services through various channels like advertising, personal selling, and sales promotions. Marketing is conducted at the branch level to target local customers based on the branch area and requirements.
Project on mutual funds is the better investments planProjects Kart
This document is a project report submitted for an MBA program. It discusses mutual funds as better investment plans. The report includes an acknowledgements section, declaration, executive summary, and table of contents. It covers introduction to mutual funds, their various aspects, company profiles, objectives and scope of the study, research methodology, data analysis and interpretation, findings and conclusions, and suggestions and recommendations. The project provided a learning experience for the author and scope to analyze investor preferences for mutual funds in terms of asset management companies, products, options, and investment strategies.
This document provides an overview of mutual funds in India. It defines mutual funds and describes their structure, objectives, types of schemes (including closed-end and open-end funds), and SEBI's regulations for mutual funds in India. It also summarizes the history and development of mutual funds in India, including the establishment of the first mutual fund by UTI in 1964 and the entry of private sector mutual funds in 1992.
A comparative analysis of mutual fund schemes in various banksMaya Singh
This document is a project report submitted by Maya Singh to Rajasthan University in partial fulfillment of the requirements for a Bachelor of Business Administration degree. The report provides a comparative analysis of mutual fund schemes offered by various banks. It includes sections on an introduction to mutual funds, the history of mutual funds in India, advantages of mutual funds, and comparisons of specific mutual fund providers like Reliance and UTI. The overall purpose is to analyze different mutual fund options available through banks in India.
COMPARISON OF SIP OF DIFFERENT MUTUAL FUND COMPANIES & RECURRING DEPOSITS OF ...Deepak Lohar
The document discusses the history and growth of mutual funds in India. It outlines four phases of development: 1964-1987 with the establishment of UTI as the sole player; 1987-1993 saw the entry of public sector funds; 1993-2003 was marked by the entry of private sector funds and increased regulations; and post-2003 has seen consolidation in the industry. The mutual fund industry has grown significantly in recent years, adding 32 lakh new investors over the past year due to increased awareness campaigns. Total assets under management grew 25% and retail AUM grew 38% from 2017 to 2018.
This document provides an overview of mutual funds in India. It introduces the presenters and defines mutual funds as vehicles for mobilizing savings that are important for economic growth. It then outlines the history and growth of mutual funds in India in four phases from 1964 to the present. It describes the key structures of open-ended, closed-ended, and interval funds. It also categorizes funds by nature, investment objective, and other schemes. The document discusses the advantages of diversification and professional management as well as the disadvantages of lack of control over costs. Finally, it outlines the roles of the sponsor, trustee, and asset management company in operating mutual funds.
The Unit Trust of India (UTI) was established in 1964 by the government of India to promote and pool savings from small investors and give them an opportunity to benefit. UTI was established with an initial capital of Rs. 5 crores contributed by several major banks and financial institutions. Its main functions are to encourage savings among lower and middle class people, sell units across India, convert small savings into industrial finance, and provide liquidity, advisory, and investment services. Over time UTI launched several unit schemes and funds for different objectives. It has progressed through different phases from 1964 to the present, and is now organized as the Specified Undertaking of UTI and UTI Mutual Fund Ltd.
PERFORMANCE ANALYSIS OF MUTUAL FUNDS IN INDIADAWOODANAS
This document appears to be a dissertation submitted by Dawood Anas for an MBA program. It discusses performance analysis of mutual funds in India. The dissertation contains chapters that will analyze HDFC and ICICI mutual funds, including introduction to the topic of mutual funds, companies, literature review, need/scope/objectives, advantages/disadvantages of mutual funds, types of mutual funds in India, working of mutual funds, top companies in India, research methodology, data analysis, findings, limitations/recommendations, and conclusion. It will aim to determine which company, HDFC or ICICI, provides better investment opportunities and allow investors to make better decisions.
Mutual funds is the better investments planASIF KHAN
This document is a project report submitted by Asif Abdul Rahim for his Bachelor of Management Studies program. The report explores mutual funds as better investment plans. It includes an acknowledgement section thanking those who supported the project. It also includes a student declaration, certificate from the project guide, executive summary providing an overview of the report contents, and various chapters exploring mutual funds, the research methodology used, data analysis and findings.
Customer perception towards mutual fundsProjects Kart
The document provides an overview of Karvy, an Indian financial services company. It details Karvy's various services including stock broking, distribution of financial products like mutual funds, depository services, advisory services, and more. It outlines Karvy's history and growth over the past 20 years to become a premier integrated financial services provider in India.
EDII is an entrepreneurship development institute established in 1983 in Ahmedabad, Gujarat. It provides various courses and programs to promote entrepreneurship in India. Some key details:
- It offers postgraduate programs in entrepreneurship as well as development studies, and an open learning entrepreneurship program.
- EDII has helped establish 12 state-level entrepreneurship centers and institutes. It also runs a research center for entrepreneurship education.
- Internationally, EDII has been tasked with setting up entrepreneurship centers in Uzbekistan and 5 African countries.
- EDII works on various startup initiatives, projects, and has regional offices across India to promote entrepreneurship nationwide
A Study on investor's perception about mutual fund investmentVanishriKornu
This document discusses the conceptual framework of mutual funds in India. It defines what mutual funds are and how they work. It outlines the different types of mutual fund schemes based on their maturity periods such as open-ended, close-ended, and interval funds. It also discusses SEBI's categorization of mutual fund schemes into equity, debt, hybrid, solution-oriented and other schemes. The document is applicable to understanding investors' perceptions and preferences when investing in various mutual fund options.
Mutual Fund in India and its Impact on InvestorsDevendra Uprade
The document is a research paper on mutual funds in India that provides:
1) An overview of the history and growth of the mutual fund industry in India, outlining four distinct phases from 1964 to the present.
2) Details on the types of mutual fund schemes available in India and how mutual funds work by pooling investor money and investing in stocks, bonds, and other securities.
3) The advantages of mutual funds like professional management, portfolio diversification, reduced costs and risk, liquidity, and tax benefits. And the disadvantages like fees, lack of control, and buried costs.
This document provides information about a project report on portfolio management and mutual fund analysis conducted for SBI Mutual Fund & Securities Ltd. It includes the company profile of SBI Mutual Fund, which is one of the largest mutual funds in India. It also lists the objectives of the study, which were to understand portfolio management and mutual funds, compare and evaluate the performance of different equity fund schemes, identify outperformers and laggards, and create an ideal portfolio. The document further includes details about SBI Mutual Fund's products and schemes, awards received, risk management team, and key personnel.
The document discusses the concept of mutual funds in India, outlining how mutual funds pool money from investors and invest it in securities to achieve specific investment objectives. It provides an overview of the growth of the mutual fund industry in India and describes the key advantages of mutual funds like diversification of risk, professional fund management, and convenient administration. The document also examines the structure and working of mutual funds in India.
A Project report on MUTUAL FUND AND BANK ASSURANCE SBI BANKSpratikrvyas007
This document appears to be a project report on mutual funds and bancassurance submitted for an MBA program. It includes an acknowledgements section, table of contents, and begins discussing the introduction and history of mutual funds in India. It provides background on the origin and four phases of development of the mutual fund industry in India from 1964 to the present. It also discusses the performance of mutual funds in India over time, noting growth from Rs. 67bn in assets under management in 1987 to Rs. 1,540bn in April 2004.
Mutual fund Simplified- To study the Perception Towards Mutual Fund Services ...Shubham Tandan
cahpter 1: Executive Summary
chapter 2: Introduction to Mutual Fund
2.1 history
2.2 what is mutual fund
2.3 Characteristics of Mutual Funds
2.4 Benefits of Investing in a Mutual Fund
2.5 Disadvantages of Mutual Fund
2.6 ROLE OF MUTUAL FUNDS
2.6.1 Mutual Funds & Financial Market
2.6.2 Mutual Fund & Capital Market
2.7 KEY INVESTMENT CONSIDERATION BY THE INVESTORS
2.8 TYPES OF MUTUAL FUNDS
2.9 TAXATION BENEFITS INVESTING IN MUTUAL FUNDS
2.10 More about Mutual Fund
2.10.1 Net Asset Value (NAV)
2.10.2 Entry/ Exit Load
2.10.3 Sale or Repurchase/Redemption price
2.10.4 Risk involved in investing in Mutual Funds:
chapter 3: OBJECTIVES OF THE STUDY
chapter 4: PROFILE OF COMPANY
chapter 5:LITERATURE REVIEW
chapter 6: RESEARCH METHODOLOGY
chapter 7 : DATA ANALYSIS by SPSS
7.1 Factor Analysis
7.2 Chi-square
7.3 T-test
7.4 Annova
chapter 8: Findings
Chapter 9: CONCLUSION
chapter 10: SUGGESTIONS
chapter 11: ANNEXURE
chapter 12: BIBLIOGRAPHY
The document discusses mutual funds, providing definitions and describing their key characteristics. It notes that a mutual fund pools money from investors and invests it in a portfolio of securities, allowing small investors to benefit from diversification. It also outlines the typical structure of a mutual fund, which involves a sponsor, a trust responsible for safeguarding investors' interests, and an asset management company that handles the investments. Finally, it lists some advantages of investing in mutual funds, such as professional management, liquidity, and tax benefits.
The document is a project report comparing mutual funds of HDFC and ICICI. It includes an introduction describing mutual funds, their history and types. It outlines the objectives of comparing the two companies' investment opportunities and ability to help investors make decisions. The report contains sections on literature review, research methodology, analysis, findings, and conclusions.
This document appears to be a project report analyzing the performance of the top 100 mutual funds in India compared to the Opportunities Fund offered by UTI Mutual Fund. The 3-page introduction provides background on mutual funds, their importance and advantages in India. It discusses the basic concepts of how mutual funds operate and pool money from investors. It also outlines the different types of mutual fund schemes based on their structure and investment objectives.
- Mutual funds have emerged as an important tool for financial well-being in India, helping families invest in industry growth. However, awareness remains low, with 9 in 10 people unaware of mutual funds.
- Once aware of opportunities, 1 in 5 people decide to invest in mutual funds. Understanding which potential investors are most likely to buy funds and tailoring the sales process accordingly is key to converting unaware investors.
- The document analyzes investor preferences in India regarding asset management companies, fund types, growth vs. dividend options, and investment strategies for mutual funds.
The document is a report submitted for a Master's degree that studies the performance of equity schemes of HDFC Mutual Fund compared to other companies. It includes an introduction to mutual funds and HDFC Mutual Fund, as well as sections on analysis techniques, findings, and acknowledgements. The objective is to evaluate the risk and returns of HDFC equity schemes versus two other competitors over a 5-year period.
JM Financial provides a wide range of financial services including equity and derivatives trading, portfolio management services, research services, and distribution of IPOs and mutual funds. The marketing department at JM Financial is responsible for promoting key products and services through various channels like advertising, personal selling, and sales promotions. Marketing is conducted at the branch level to target local customers based on the branch area and requirements.
Project on mutual funds is the better investments planProjects Kart
This document is a project report submitted for an MBA program. It discusses mutual funds as better investment plans. The report includes an acknowledgements section, declaration, executive summary, and table of contents. It covers introduction to mutual funds, their various aspects, company profiles, objectives and scope of the study, research methodology, data analysis and interpretation, findings and conclusions, and suggestions and recommendations. The project provided a learning experience for the author and scope to analyze investor preferences for mutual funds in terms of asset management companies, products, options, and investment strategies.
This document provides an overview of mutual funds in India. It defines mutual funds and describes their structure, objectives, types of schemes (including closed-end and open-end funds), and SEBI's regulations for mutual funds in India. It also summarizes the history and development of mutual funds in India, including the establishment of the first mutual fund by UTI in 1964 and the entry of private sector mutual funds in 1992.
A comparative analysis of mutual fund schemes in various banksMaya Singh
This document is a project report submitted by Maya Singh to Rajasthan University in partial fulfillment of the requirements for a Bachelor of Business Administration degree. The report provides a comparative analysis of mutual fund schemes offered by various banks. It includes sections on an introduction to mutual funds, the history of mutual funds in India, advantages of mutual funds, and comparisons of specific mutual fund providers like Reliance and UTI. The overall purpose is to analyze different mutual fund options available through banks in India.
COMPARISON OF SIP OF DIFFERENT MUTUAL FUND COMPANIES & RECURRING DEPOSITS OF ...Deepak Lohar
The document discusses the history and growth of mutual funds in India. It outlines four phases of development: 1964-1987 with the establishment of UTI as the sole player; 1987-1993 saw the entry of public sector funds; 1993-2003 was marked by the entry of private sector funds and increased regulations; and post-2003 has seen consolidation in the industry. The mutual fund industry has grown significantly in recent years, adding 32 lakh new investors over the past year due to increased awareness campaigns. Total assets under management grew 25% and retail AUM grew 38% from 2017 to 2018.
This document provides an overview of mutual funds in India. It introduces the presenters and defines mutual funds as vehicles for mobilizing savings that are important for economic growth. It then outlines the history and growth of mutual funds in India in four phases from 1964 to the present. It describes the key structures of open-ended, closed-ended, and interval funds. It also categorizes funds by nature, investment objective, and other schemes. The document discusses the advantages of diversification and professional management as well as the disadvantages of lack of control over costs. Finally, it outlines the roles of the sponsor, trustee, and asset management company in operating mutual funds.
The Unit Trust of India (UTI) was established in 1964 by the government of India to promote and pool savings from small investors and give them an opportunity to benefit. UTI was established with an initial capital of Rs. 5 crores contributed by several major banks and financial institutions. Its main functions are to encourage savings among lower and middle class people, sell units across India, convert small savings into industrial finance, and provide liquidity, advisory, and investment services. Over time UTI launched several unit schemes and funds for different objectives. It has progressed through different phases from 1964 to the present, and is now organized as the Specified Undertaking of UTI and UTI Mutual Fund Ltd.
PERFORMANCE ANALYSIS OF MUTUAL FUNDS IN INDIADAWOODANAS
This document appears to be a dissertation submitted by Dawood Anas for an MBA program. It discusses performance analysis of mutual funds in India. The dissertation contains chapters that will analyze HDFC and ICICI mutual funds, including introduction to the topic of mutual funds, companies, literature review, need/scope/objectives, advantages/disadvantages of mutual funds, types of mutual funds in India, working of mutual funds, top companies in India, research methodology, data analysis, findings, limitations/recommendations, and conclusion. It will aim to determine which company, HDFC or ICICI, provides better investment opportunities and allow investors to make better decisions.
Mutual funds is the better investments planASIF KHAN
This document is a project report submitted by Asif Abdul Rahim for his Bachelor of Management Studies program. The report explores mutual funds as better investment plans. It includes an acknowledgement section thanking those who supported the project. It also includes a student declaration, certificate from the project guide, executive summary providing an overview of the report contents, and various chapters exploring mutual funds, the research methodology used, data analysis and findings.
Customer perception towards mutual fundsProjects Kart
The document provides an overview of Karvy, an Indian financial services company. It details Karvy's various services including stock broking, distribution of financial products like mutual funds, depository services, advisory services, and more. It outlines Karvy's history and growth over the past 20 years to become a premier integrated financial services provider in India.
EDII is an entrepreneurship development institute established in 1983 in Ahmedabad, Gujarat. It provides various courses and programs to promote entrepreneurship in India. Some key details:
- It offers postgraduate programs in entrepreneurship as well as development studies, and an open learning entrepreneurship program.
- EDII has helped establish 12 state-level entrepreneurship centers and institutes. It also runs a research center for entrepreneurship education.
- Internationally, EDII has been tasked with setting up entrepreneurship centers in Uzbekistan and 5 African countries.
- EDII works on various startup initiatives, projects, and has regional offices across India to promote entrepreneurship nationwide
A Study on investor's perception about mutual fund investmentVanishriKornu
This document discusses the conceptual framework of mutual funds in India. It defines what mutual funds are and how they work. It outlines the different types of mutual fund schemes based on their maturity periods such as open-ended, close-ended, and interval funds. It also discusses SEBI's categorization of mutual fund schemes into equity, debt, hybrid, solution-oriented and other schemes. The document is applicable to understanding investors' perceptions and preferences when investing in various mutual fund options.
Mutual Fund in India and its Impact on InvestorsDevendra Uprade
The document is a research paper on mutual funds in India that provides:
1) An overview of the history and growth of the mutual fund industry in India, outlining four distinct phases from 1964 to the present.
2) Details on the types of mutual fund schemes available in India and how mutual funds work by pooling investor money and investing in stocks, bonds, and other securities.
3) The advantages of mutual funds like professional management, portfolio diversification, reduced costs and risk, liquidity, and tax benefits. And the disadvantages like fees, lack of control, and buried costs.
This document provides information about a project report on portfolio management and mutual fund analysis conducted for SBI Mutual Fund & Securities Ltd. It includes the company profile of SBI Mutual Fund, which is one of the largest mutual funds in India. It also lists the objectives of the study, which were to understand portfolio management and mutual funds, compare and evaluate the performance of different equity fund schemes, identify outperformers and laggards, and create an ideal portfolio. The document further includes details about SBI Mutual Fund's products and schemes, awards received, risk management team, and key personnel.
The document discusses the concept of mutual funds in India, outlining how mutual funds pool money from investors and invest it in securities to achieve specific investment objectives. It provides an overview of the growth of the mutual fund industry in India and describes the key advantages of mutual funds like diversification of risk, professional fund management, and convenient administration. The document also examines the structure and working of mutual funds in India.
This document provides recommendations for mutual fund schemes suitable for a moderate investor. It recommends investing Rs. 6000 per month in a balanced fund for its ability to generate returns higher than debt funds with lower risk than equity funds. It also recommends investing Rs. 3000 per month in an ELSS or tax saving fund to benefit from tax deductions up to Rs. 1.5 lakh and potential long-term returns from equity exposure. Sample balanced and ELSS funds are presented with hypothetical returns over 2, 3, and 5 year periods to illustrate potential growth.
This document provides a training report submitted by a student to fulfill requirements for a post-graduate degree in commerce. It includes an introduction to mutual funds, a profile of the company where the training took place (State Bank of India), objectives and methodology of the research project on consumer preferences regarding investment in mutual funds, analysis and findings of the research, and suggestions. The student undertook the training and research project at State Bank of India to study consumer preferences around mutual fund investments.
Portfolio management and Mutual fund analysismuhibullah1989
This document is a project report submitted by Sweti Kejariwal to the University of Pune in partial fulfillment of an MBA degree. The report analyzes portfolio management and mutual funds based on a summer internship at IDBI Bank from June to July 2013 under the guidance of CA ShilpaBhide. The report provides background on portfolio management and the history of mutual funds, describes the research methodology used, and presents findings from analyzing different mutual fund schemes to create an optimal portfolio.
1) Mutual funds pool money from investors and invest in a portfolio of securities like stocks, bonds, and money market instruments. This allows individual investors to hold a diversified portfolio.
2) There are two main types of mutual funds - open-ended and closed-ended. Open-ended funds sell and redeem shares continuously and are not listed on stock exchanges. Closed-ended funds have a fixed number of shares that are traded on an exchange.
3) A mutual fund is made up of sponsors, trustees, an asset management company, and custodians. The sponsors initiate the fund and appoint the trustees and AMC. The AMC manages the fund's investments and the custodians hold the fund
This document provides an analysis of mutual funds with a focus on SBI Mutual Fund. It begins with an introduction to mutual funds and the industry profile. It then discusses the company profile of SBI Mutual Fund, including its board of directors and product portfolio. The document also covers new fund offers from SBI and the author's work experience. It aims to compare various mutual funds through analysis of metrics like returns, risk profile, portfolio, and NAV details. Primary data was collected through interviews to understand investor preferences and behavior. The analysis seeks to identify the most popular fund houses and investment avenues.
A comparative study on direct equity investing and mutual fund investingAkash Jeevan
This document provides an overview of Geojit BNP Paribas, a leading retail financial services company in India. It discusses the company's operations in equity trading, mutual funds, insurance, and other financial products. Some key details include:
- Geojit BNP Paribas has over 486 offices across India and partnerships in the Middle East.
- The company offers a wide range of financial services including equities, derivatives, mutual funds, insurance, IPOs, and more through online and offline channels.
- In 2007, BNP Paribas acquired a stake in the company, becoming the largest shareholder.
- Geojit BNP Paribas has a history of over 30
Mutual Fund A case study on HDFC Mutual Fund Asset Management CompanyKezar Rajpiplawala
This document provides an overview of mutual funds in India including:
- A brief history of mutual funds in India from the 1960s to present day, divided into four phases of development.
- The key regulatory bodies that govern mutual funds including SEBI, AMFI, RBI, and the Ministry of Finance.
- An introduction to the main types of mutual funds based on execution, investment pattern, and taxation.
- An overview of investor rights and obligations as well as the role and responsibilities of trustees in overseeing mutual funds.
Mutual fund analysis on debt schemes with special reference to kotak bond fundSourav Mahato
Mutual Fund which pools the funds from the investor & reduces risk by investing in different diversified assets. I studied as to how this industry proves to an option for the investors, by studying the performance of mutual funds for few months considering their Net Asset Values.
A study on performance evaluation of equity shares & mutual fundsProjects Kart
The document provides an introduction and overview of evaluating the performance of equity shares and mutual funds. It discusses the objectives of comparing equity shares and mutual fund schemes in India by analyzing their risk, return, volatility and performance relative to benchmarks. The document outlines the research methodology, including the sources of data, sampling technique, and limitations. It also provides background information on equity capital and mutual funds in India, including different types of mutual fund schemes according to maturity period and investment objectives.
Project report a study of sbi mutual funds uprangeshsatna
The document is a project report submitted by Snehal Chavan for the completion of a Bachelor of Business Administration degree. It investigates preferences of investors for investing in mutual funds. The report includes an introduction to mutual funds, an acknowledgement section thanking those who provided guidance and support, a declaration confirming the work is the student's own, and an executive summary outlining the project's purpose and methodology.
Full Project Report on SBI mutual funds.AKSHAY TYAGI
This document summarizes a student project on investor perceptions of mutual funds submitted for an MBA program. It includes declarations, acknowledgements, guide certificates, and outlines of the project contents. The student investigated investor preferences in mutual funds, including the types of products, options, and investment strategies preferred by investors in India. The project analyzed primary data collected through surveys to understand factors influencing investor decisions when purchasing mutual funds.
A project report on comparative study of mutual funds in indiaProjects Kart
The document is a project report on a comparative study of mutual funds in India. It includes sections on the introduction of mutual funds, their history in India, advantages, and types of mutual funds. The report provides an overview of the mutual fund industry in India and aims to study some prominent mutual fund companies and their schemes.
Portfolio Management Services in Mutual FundsBinu Paul
A detailed study Portfolio Management services in Mutual Funds which give special emphasis on creation of Portfolio’s as different types of Investors, Portfolio Revision as per various plans, Calculation of returns and Comparison of Mutual Funds with various Performance measure
Mutual funds allow investors to pool their money together into a professionally managed portfolio that invests in stocks, bonds, and other securities. The main advantages of mutual funds are professional management, diversification of risk, economies of scale, liquidity, and simplicity. There are various types of mutual fund schemes categorized by their structure, nature, and investment objectives. Some key types include equity funds, debt funds, balanced funds, and money market funds. The mutual fund industry in India began in 1963 with the formation of UTI and has grown significantly since allowing for private players to enter the market in the late 1980s and 1990s.
This document is an assignment submitted by Nikhil Kumar Tyagi to Ms. Monika Yadav on the topic of mutual funds. It contains an introduction to mutual funds, defining them as a pool of money collected from investors to invest in stocks, bonds and other securities. It discusses the historical background of mutual funds originating in the late 1800s in the US and UK and establishing in India in 1963 with the formation of UTI. It also outlines the various types of mutual funds such as equity funds, debt funds, index funds and more; and categorizes them based on objectives and flexibility as open-ended or close-ended funds.
This document provides an overview of mutual funds in India, including:
1. The history and evolution of mutual funds in India from the 1960s to present day, including the entry of public sector and private sector funds.
2. The types of mutual funds including aggressive, growth, balanced, and conservative funds.
3. How a mutual fund is organized and its basic workings, including net asset value and unit pricing.
4. The merits of investing in mutual funds such as diversification and professional management.
Project Report on Mutual Fund IndustryNikhil Singh
The document provides information about mutual funds in India. It discusses the history and growth of the mutual fund industry in India, describing four phases from 1964 to the present. It defines what a mutual fund is, how it pools money from investors and invests in stocks, bonds and other securities. It also outlines some distinguishing characteristics of mutual funds such as redeemable shares and continuous sales of new shares. Contact information is provided for obtaining customized project reports on mutual funds.
This document provides information about mutual funds in India. It discusses the history and evolution of mutual funds in India from the 1960s to present day. It also defines what a mutual fund is, describes the structure and roles of key players like sponsors, trustees, asset management companies, custodians and fund managers. Additionally, it covers topics like types of mutual fund schemes, rights of unit holders and the regulatory body SEBI.
A study on performance of sector wise mutual fund schemes in Indiawwgreatmutha
Mutual funds are financial intermediaries that collect savings from investors and invest them in a diversified portfolio. They provide small investors access to capital markets through professional management. This study evaluates the performance of growth mutual funds in India. Growth funds aim for capital appreciation by investing in growth stocks. The objectives are to evaluate fund earnings trends, identify future earnings, and recommend best sector funds. The study uses an analytical research design and scope includes measuring returns, identifying high and low return funds, and projecting trends. Previous literature found growth funds outperformed other fund types and private funds outperformed public funds in risk-adjusted returns.
Mutual funds pool money from investors and invest it in stocks, bonds, and other securities to achieve investment goals. The summary discusses the key advantages and disadvantages of mutual funds:
Advantages include professional management, diversification which reduces risk, low costs, convenience, liquidity, and access to a wide range of investment options. Disadvantages include fees and expenses, potential for poor performance, loss of control over investment decisions, and inefficient cash reserves. The document also outlines the history and types of mutual fund schemes in India.
Mutual funds are financial intermediaries that collect money from investors and invest in a portfolio of securities like stocks, bonds, and money market instruments. A mutual fund pools money from individual and corporate investors and invests on their behalf. Investors share the income and capital gains from these investments proportionate to their holdings. Mutual funds provide diversification, professional management, low minimum investments, liquidity, and other benefits for retail investors. The history of mutual funds in India began in 1964 with the establishment of UTI, followed by the entry of public sector and private sector funds in later phases. Mutual funds are classified based on their structure as open-ended or closed-ended, and based on investment objectives as growth, income
A mutual fund is a professionally managed investment fund that pools money from many investors and invests it in stocks, bonds, and other securities. The value of an individual investor's shares is based on the total value of the fund divided by the number of shares. Mutual funds provide investors with diversification and professional management of their investment portfolio.
Mutual funds allow investors to pool their money together into a professionally managed investment portfolio. A mutual fund is a trust that collects money from investors and invests it in stocks, bonds, and other securities. The income and returns are shared among investors proportionate to how many units they own. Mutual funds provide investors access to a diversified portfolio, professional management, low minimum investment amounts, and liquidity.
A project report on performance evaluation of sectoral mutual fundsachindholakiya
The document provides an executive summary and objectives of a project report on evaluating the performance of sectoral mutual funds. The project aims to help investors track and analyze the performance of their investments in sectoral mutual funds. The methodology involves secondary data collection and analysis of sectoral funds based on various parameters. Key findings are that technology, FMCG and pharma sectors have performed well, while the banking sector fund did not perform well. The report also provides background on mutual funds and sectoral funds in India.
Comprehensive study of muutual fund market in indiaStephen Chettiar
The document is a project report submitted by Stephen Chettiar on "A Comprehensive Study on Mutual Fund Market in India". It includes an acknowledgement section thanking those involved in the project. The objectives of the study are listed as analyzing trends in returns of selected mutual funds, understanding the functions of asset management companies, measuring performance of schemes using various tools, and comparing performance of schemes of different companies. The document also includes sections on the history of mutual funds in India, types of mutual fund schemes, SEBI regulations, and advantages and disadvantages of mutual funds.
In this ppt i have included Knowing the Basics, How do mutual funds work?, History of Indian Mutual Fund, Types of Mutual Funds, Myths and Facts of Mutual Fund
The document discusses mutual funds, providing a brief history and overview. It notes that a mutual fund pools money from investors and invests it in stocks, bonds, and other securities. The income and profits are shared proportionally among investors. It then summarizes the four phases of growth of the Indian mutual fund industry from 1964 to the present.
The document discusses the objectives of mutual fund investments. It outlines several common objectives such as long-term growth, current income, safety, diversification, growth, income, international exposure, and low fees. It explains that mutual funds can be used to achieve a variety of financial goals depending on the specific objectives of the individual investor. The objectives determine the types of stocks or bonds a fund invests in and how well a particular fund may fit within an overall investment strategy.
COMPARATIVE ANALYSIS ABOUT DIFFERENT SCHEMES OF ELSS (TAX SAVING SCHEME) IN AMCBalender Singh
This document provides an overview of mutual funds, including their definition, advantages, structure, growth in India, and steps for choosing the right mutual fund. Some key points include:
- Mutual funds offer diversification and professional management, allowing regular investors to build a diversified portfolio for a low initial investment.
- A mutual fund is a professionally managed investment scheme that pools money from investors to invest in stocks, bonds, and other securities.
- The structure of a mutual fund includes sponsors, trustees, an asset management company, custodian, and registrar.
- The mutual fund industry in India has grown significantly over the past few decades, with total assets under management increasing over 100% in the last
A mutual fund is an investment tool that pools money from many investors and invests it in stocks, bonds, and other securities. The document summarizes the history and growth of mutual funds in India from 1963 to the present in four phases. It describes the types of mutual funds including by maturity, investment objective, and advantages for investors such as portfolio diversification, professional management, reduced costs and risk, and liquidity.
The document discusses various types of mutual fund schemes classified based on maturity period, investment objective, and risk-return profile. Some of the key types discussed are open-ended schemes which allow continuous purchase and sale of units, close-ended schemes which have a fixed corpus and units are listed on stock exchanges, interval schemes which are open during predetermined intervals, equity/growth funds which seek long-term capital appreciation, income/debt funds which provide regular income, balanced funds which provide both growth and income, and money market funds which invest in short-term instruments and provide easy liquidity. Sector funds invest in specific industries while index funds invest in line with the composition of an index.
The document provides an overview of mutual funds, defining them as a trust that pools savings from investors and invests it in securities like stocks and bonds. It discusses how mutual funds offer average investors a low-cost way to invest in a diversified portfolio managed by professionals. The history of mutual funds in India is traced over five phases from the establishment of UTI in 1963 to recent growth of private sector players. Key terms like Net Asset Value and operations of mutual funds are also defined.
Similar to Report on construction of mutual fund portfolio (20)
When we think about refreshment, the first thing that comes to our mind is coffee or tea. Most people prefer coffee and most prefer tea and these two drinks have become a part of a human being’s life.
Here we (I) have concentrated on coffee which is considered as a traditional drinks especially in south India. People here start their everyday life with a cup of coffee. Not only in south India but in all parts of the world people are so dependent and addicted to coffee that it acts as a daily schedule to every body every where. But this coffee is not grown in all parts of the world but is grown in very few places with right kind or weather, atmosphere and most important of all, the soil of that region.
world health, who, carcinogen, caffeine, cancer, health benefits, MBA mini projects, projectskart, short projects, summer internship project,
The document provides information about Nirani Sugars Limited, an Indian sugar company. It discusses [1] the history and background of the company, including its establishment in 1997 and expansion plans; [2] the key promoters and board of directors; and [3] the various departments within the organization. The company aims to efficiently utilize local resources to produce sugar and by-products, support farmers, and develop the local community.
The sugar industry is one of the important Ago-based industry of the country India is the fourth major sugar production in the world. The first three is Russia, Brazil and Cuba. Sugar industry provides direct employment to nearly 3lakh persons this industry supports about 25 million agriculturists. It pay’s both to the central government and the state government about Rs.350 crores by way of different taxes. The capital employed in the industry is of the order of Rs.780 crores. There are about 414 mills producing sugar, which are spread all over the country.
When we think about refreshment, the first thing that comes to our mind is coffee or tea. Most people prefer coffee and most prefer tea and these two drinks have become a part of a human being’s life.
Here we (I) have concentrated on coffee which is considered as a traditional drinks especially in south India. People here start their everyday life with a cup of coffee. Not only in south India but in all parts of the world people are so dependent and addicted to coffee that it acts as a daily schedule to every body every where. But this coffee is not grown in all parts of the world but is grown in very few places with right kind or weather, atmosphere and most important of all, the soil of that region. It is usually grown in hill stations with adequate amount of rainfall and such places which are high above sea level. Therefore in India, Karnataka is such a place, especially South Karnataka which produces the highest amount of coffee in whole India. Most parts of Karnataka such as Chikmagalur district and many parts in Hassan District, and also Coorg.
A Study on Sugar Industry at Chamundeshwari SugarProjects Kart
The document provides information about sugar production in India. It discusses the history of sugar cultivation in India and how it was introduced from other parts of the world. It then describes the sugar production process, from sugarcane cultivation and transportation to factories for processing. It also discusses the sugar industry in India, including key statistics on production levels, number of factories, role in the rural economy, and government policies regulating the industry.
Study on Inventory Management at Reid & Taylor (India) LtdProjects Kart
Inventory is a list of goods and materials, or those goods and materials themselves, held available in stock by a business. Inventory management is primarily about specifying the size and placement of stocked goods. Inventory management is required at different locations within a facility or within multiple locations of a supply network to protect the regular and planned course of production against the random disturbance of running out of materials or goods. The scope of inventory management also concerns the fine lines between replenishment lead time, carrying costs of inventory, asset management, inventory forecasting, inventory valuation, inventory visibility, future inventory price forecasting, physical inventory, available physical space for inventory, quality management, replenishment, returns and defective goods and demand forecasting.
Study on Working Capital Management at PNBProjects Kart
The prime objective of any business is to maximize the value of the company and to maximize the wealth of its shareholders. Working capital management has its own role to play in attaining this goal. Working capital is the funds required for day to day working in a business concern. The working capital management involves deciding upon the amount and composition of current assets and how to finance those assets. There should be a proper trade off between risk and profitability in each decision relating to it. This project work has been undertaken to know the procedures involved in the working capital management in PUNJAB NATIONAL BANK. An attempt is made to study the factors contributing towards working capital and the sources on which the company is depending for funds. The research study was also conducted to derive working capital ratios, to know the performance and efficiency of working capital management and to know the kind of policy adopted in this part of the management. For analyzing the factors and conditions influencing working capital tables and graphs were drawn based on the study. pubjab national bank mba project, summer internship 2017, project reprot, punjab national bank pdf, risk, project report pdf, project report, customer satisfaction in punjab national bank
Study on Mutual Fund is the Better Investment PlanProjects Kart
Mutual funds have become a hot favorite of millions of people all over the world. The driving force of mutual fund is the ‘safety of the principal’ guaranteed, plus the added advantage of capital appreciation together with the income earned in the form of interest or dividend. People prefer Mutual Funds to bank deposits, life insurance and even bond because with a little money, they can get into the investment game. One can own string blue chips like ITC, TISCO, Reliance etc., through mutual funds. Thus, mutual funds act as a gateway to enter into big companies hitherto inaccessible to an ordinary investor with his small investment.
Study on Store Environment and Merchandising Mix at Big BazaarProjects Kart
Retailing consists of those business activities involved in the sale of goods and services to consumers for their personal, family, or household use. Retailing comprises of four elements customer orientation, coordinated effort, value-driven, and goal orientation. The word "Retail" originates from a French-Italian word. Retailer-someone who cuts off or sheds a small piece from something. Retailing is the set of activities that markets products or services to final consumers for their own personal or household use. It does this by organizing their availability on a relatively large scale and supplying them to customers on a relatively small scale. Retailer is a Person or Agent or Agency or Company or Organization who is instrumental in reaching the Goods or Merchandise or Services to the End User or Ultimate Consumer.
Initial Public Offers and Due DiligenceProjects Kart
This document is a project report submitted to the University of Mysore in partial fulfillment of an MBA degree. It discusses initial public offers (IPOs) and the role of investment bankers. The report was conducted as a case study at Hassan Kotak Securities Ltd and guided by Harish Kumar. It includes an introduction, industry and company profiles, literature review on topics like IPOs and due diligence, data collection and findings. The investment banker plays an important fiduciary role in coordinating the IPO process between the company, regulators, and investors.
Influence of ADR on Underlying Stock PricesProjects Kart
Globalization has opened the door for the investors to avail various investment avenues across the globe. American Depository Receipt (ADR) is one such opportunity to the investing community. The ADR is a proxy for the Indian shares to enable them to be traded in the American stock exchanges. Various studies conducted on Depository Receipts (DRs) have shown that the trading on the DR sin the foreign market has its influence in the home country’s stock in terms of price, volatility and volume. This interested me and this project is concerned about studying “Whether the price fluctuations of ADR affect the corresponding Indian share prices?”
After the liberalization of the economy in 1991, the corporatist started sourcing their capital from both domestic and foreign markets. The Indian shares cannot be directly listed in the American stock exchanges. ADRs have been very helpful in this purpose. So a custodian bank receives the shares as deposit and issues receipt to the market. These receipts are issued in appropriate ratio to the shares deposited with the depository. The market players in the stock exchanges trade these receipts.
Impact of ERP on Organizational Functions in Retail SectorProjects Kart
The business environment has changed more in the last five years than it did in the previous five decades. Winning in today’s business climate requires more than just providing high-quality, low-cost products to customers, when and how the customers want them. The ability to respond to new customer needs and seize market opportunities as they arise, without compromising on the profitability of the firm is critical for the success of any organization. Competitive pressures frequently force manufacturers to decrease prices in spite of the fact that their internal costs continue to rise. Enterprises are continuously striving to improve themselves in the areas of quality, time to market, customer satisfaction, performance and profitability. Making informed business decisions in this manner would enable organizations to accomplish their business growth and at the same time enable them to utilize the information to competitive advantage. To make it possible for the companies to execute this vision, there is a need for an infrastructure that will provide information across all functions and locations within the organization and this is the Enterprise Resource Planning (ERP) solution available in the market today.
The Impact of Creativity and Wow Factor in AdvertisingProjects Kart
The approach used in this report is a case study approach. It essentially deals with two aspects; creativity and WOW factor. These two terms have been defined and the impact they have in advertising has been studied. The objectives of doing such a study were to understand creativity, to define it and to find factors that elicit a WOW response from viewers.
Impact of Advertisements on Investors at HDFC Standard Life InsuranceProjects Kart
This project is managing study on “Impact of advertisement on Investors – A case study in HDFC Standard Life Insurance” The scope of study is regarding the advertisements and therefore the presence of HDFC SLIC with relation to in door advertisements and their advertisements & their effectiveness & out door advertisements, however the folks wish to watch them. to understand the notice within the public like better to watch the ads and medium.
Impact of Advertising on Customers in Tata MotorsProjects Kart
The consumer durable market in India has been very competitive in the recent years, with opening up of market for international players due to liberalization; the domestic players are facing a tough competition. So it‟s time for domestic companies to frame new strategies for their production and marketing activities. An evaluation of the effectiveness of the past activities of a company will enable the company in framing these new strategies. Such an effort has been made through this market research to know the http://www.projectskart.com/ on Customers in TATA MOTORS (A case study in AUTO MATRIX, HASSAN).
Recruitment and Selection at Aviva Life InsuranceProjects Kart
The MBA project titled “RECRUITMENT AND SELECTION” Undertaken in AVIVA life insurance.
AVIVA is a UK based insurance group. It has a long history dating back to 1834 and has a joint venture with DABUR groups. Aviva holds a 26 per cent stake in the joint venture and the Dabur group holds the balance 74 per cent share.
It is one of the leading providers of life and pensions products to Europe and has substantial businesses elsewhere around the world.
The project report is about recruitment and selection process that‟s an important part of any organization. Which is considered as a necessary asset of a company? In fact, recruitment and selection gives a home ground to the organization acumen that is needed for proper functioning of the organization.
Financial Freedom through Reverse MortgageProjects Kart
The world population structure shows that population worldwide is ageing owing to exaggerated longevity of older folks and small birth rates in developed and most developing countries. Visit www.projectskart.com for more information. In Asian nation alone, statistics show that variety of older as a proportion of population can show a 107% growth, from 113 million in 2016 and 179 million by 2026 severally.
Financial Analysis on Recession Period at M&M TractorsProjects Kart
Financial ANalysis (also stated as financial plan analysis or accounting analysis) refers to an assessment of the viability, stability and profitable of a business, sub-business or project. Visit www.projectskart.com for more information. It is performed by professionals World Health Organization prepare reports exploitation ratios that create use of data taken from monetary statements and different reports. These reports area unit typically given to prime management mutually of their bases in creating business selections.
Effective Supply Chain Management as a Strategic AdvantageProjects Kart
This document provides an overview of supply chain management and the arecanut industry in India. Some key points:
1. It introduces the topic of effective supply chain management as a strategic advantage at TSS (The Totagar‘s Co-operative Sale Society Ltd), located in Sirsi, Karnataka.
2. India accounts for 59% of global arecanut production, with Karnataka producing 46% of India's arecanut. Within Karnataka, Uttara Kannada district accounts for 11% of production.
3. TSS procures arecanut and acts as the main nodal agency. Major Indian markets for arecanut include Mumbai, Ahmadabad, Indore, and
Brand Awareness of Spencer's and Comparative Analysis with Big BazaarProjects Kart
By 2004 the retail industry was growing rapidly in India, and Spencer's Retail decided to pursue an aggressive expansion strategy. The company had the customers, the products, and the employees to make it happen. It just needed an IT infrastructure that could support rapid growth. Visit http://www.projectskart.com/p/contact-us.html for more information. Current servers were at capacity, and the company needed to upgrade before adding new stores. Amit Mukerjee, Group CIO of the RPG Group, describes the challenge as part of the learning curve for retail development in India. ―Retailing is a new business in this country. As the business matures, the process matures, and IT systems must evolve accordingly. The company also needed an enterprise resource planning (ERP) solution to handle critical processes such as supply-chain management. It decided to implement mySAP ERP, now called SAP ERP, and realized the solution needed to run on high-performance servers. Spencer's Retail evaluated several possibilities, including servers from HP, IBM, and Sun Microsystems. It decided to build its IT infrastructure on Sun systems for several reasons. Sun SPARC Enterprise Servers had the performance and scalability needed to sustain its business, and they delivered higher performance at less cost. Sun's knowledge of the retail space in India, as well as its long history with RGP Enterprises, were also deciding factors.
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s DholeraAvirahi City Dholera
The Tata Group, a titan of Indian industry, is making waves with its advanced talks with Taiwanese chipmakers Powerchip Semiconductor Manufacturing Corporation (PSMC) and UMC Group. The goal? Establishing a cutting-edge semiconductor fabrication unit (fab) in Dholera, Gujarat. This isn’t just any project; it’s a potential game changer for India’s chipmaking aspirations and a boon for investors seeking promising residential projects in dholera sir.
Visit : https://www.avirahi.com/blog/tata-group-dials-taiwan-for-its-chipmaking-ambition-in-gujarats-dholera/
Navigating the world of forex trading can be challenging, especially for beginners. To help you make an informed decision, we have comprehensively compared the best forex brokers in India for 2024. This article, reviewed by Top Forex Brokers Review, will cover featured award winners, the best forex brokers, featured offers, the best copy trading platforms, the best forex brokers for beginners, the best MetaTrader brokers, and recently updated reviews. We will focus on FP Markets, Black Bull, EightCap, IC Markets, and Octa.
IMPACT Silver is a pure silver zinc producer with over $260 million in revenue since 2008 and a large 100% owned 210km Mexico land package - 2024 catalysts includes new 14% grade zinc Plomosas mine and 20,000m of fully funded exploration drilling.
Recruiting in the Digital Age: A Social Media MasterclassLuanWise
In this masterclass, presented at the Global HR Summit on 5th June 2024, Luan Wise explored the essential features of social media platforms that support talent acquisition, including LinkedIn, Facebook, Instagram, X (formerly Twitter) and TikTok.
Understanding User Needs and Satisfying ThemAggregage
https://www.productmanagementtoday.com/frs/26903918/understanding-user-needs-and-satisfying-them
We know we want to create products which our customers find to be valuable. Whether we label it as customer-centric or product-led depends on how long we've been doing product management. There are three challenges we face when doing this. The obvious challenge is figuring out what our users need; the non-obvious challenges are in creating a shared understanding of those needs and in sensing if what we're doing is meeting those needs.
In this webinar, we won't focus on the research methods for discovering user-needs. We will focus on synthesis of the needs we discover, communication and alignment tools, and how we operationalize addressing those needs.
Industry expert Scott Sehlhorst will:
• Introduce a taxonomy for user goals with real world examples
• Present the Onion Diagram, a tool for contextualizing task-level goals
• Illustrate how customer journey maps capture activity-level and task-level goals
• Demonstrate the best approach to selection and prioritization of user-goals to address
• Highlight the crucial benchmarks, observable changes, in ensuring fulfillment of customer needs
Discover timeless style with the 2022 Vintage Roman Numerals Men's Ring. Crafted from premium stainless steel, this 6mm wide ring embodies elegance and durability. Perfect as a gift, it seamlessly blends classic Roman numeral detailing with modern sophistication, making it an ideal accessory for any occasion.
https://rb.gy/usj1a2
Best practices for project execution and deliveryCLIVE MINCHIN
A select set of project management best practices to keep your project on-track, on-cost and aligned to scope. Many firms have don't have the necessary skills, diligence, methods and oversight of their projects; this leads to slippage, higher costs and longer timeframes. Often firms have a history of projects that simply failed to move the needle. These best practices will help your firm avoid these pitfalls but they require fortitude to apply.
Unveiling the Dynamic Personalities, Key Dates, and Horoscope Insights: Gemin...my Pandit
Explore the fascinating world of the Gemini Zodiac Sign. Discover the unique personality traits, key dates, and horoscope insights of Gemini individuals. Learn how their sociable, communicative nature and boundless curiosity make them the dynamic explorers of the zodiac. Dive into the duality of the Gemini sign and understand their intellectual and adventurous spirit.
LA HUG - Video Testimonials with Chynna Morgan - June 2024Lital Barkan
Have you ever heard that user-generated content or video testimonials can take your brand to the next level? We will explore how you can effectively use video testimonials to leverage and boost your sales, content strategy, and increase your CRM data.🤯
We will dig deeper into:
1. How to capture video testimonials that convert from your audience 🎥
2. How to leverage your testimonials to boost your sales 💲
3. How you can capture more CRM data to understand your audience better through video testimonials. 📊
How MJ Global Leads the Packaging Industry.pdfMJ Global
MJ Global's success in staying ahead of the curve in the packaging industry is a testament to its dedication to innovation, sustainability, and customer-centricity. By embracing technological advancements, leading in eco-friendly solutions, collaborating with industry leaders, and adapting to evolving consumer preferences, MJ Global continues to set new standards in the packaging sector.
Anny Serafina Love - Letter of Recommendation by Kellen Harkins, MS.AnnySerafinaLove
This letter, written by Kellen Harkins, Course Director at Full Sail University, commends Anny Love's exemplary performance in the Video Sharing Platforms class. It highlights her dedication, willingness to challenge herself, and exceptional skills in production, editing, and marketing across various video platforms like YouTube, TikTok, and Instagram.
Anny Serafina Love - Letter of Recommendation by Kellen Harkins, MS.
Report on construction of mutual fund portfolio
1. Projectsformba.blospot.com
BLB Institute of financial Markets
“CONSTRUCTION OF MUTUAL FUND PORTFOLIOS”
Submitted By:
1 Projectsformba.blospot.com
2. Projectsformba.blospot.com
ACKNOWLEDGEMENT
We, the members of the Group, hereby declare that we all have taken active
part in the project on given topic “Construction of Mutual Fund Portfolio”.
We all have given equal participation in making this project in the best
possible way.
2 Projectsformba.blospot.com
3. Projectsformba.blospot.com
Contents…
Introduction.
Definition.
Mutual Fund: Concept.
Mutual Fund Cycle.
History.
Organisation of Mutual Fund.
Mutual Fund & Stock.
Types of Mutual Fund.
Net Asset Value.
Advantages of Mutual Fund.
Disadvantages of Mutual Fund.
Frequently Used Terms.
Load & Types of Load.
Mutual Fund Portfolio Construction.
Risk in Mutual Fund.
Structure of Mutual Fund in India.
Growth of Mutual Fund in India.
Future of Mutual Fund in India.
Reasons For slow Growth.
Mutual Fund in India.
Conclusion.
3 Projectsformba.blospot.com
4. Projectsformba.blospot.com
MUTUAL FUNDS
INTRODUCTION:
Nowadays, bank rates have fallen down and are generally below the inflation rate.
Therefore, keeping large amounts of money in bank is not a wise option, as in real terms
the value of money decreases over a period of time. One of the options is to invest the
money in stock market. But a common investor is not informed and competent enough to
understand the intricacies of stock market. This is where mutual funds come to the rescue.
Mutual Fund is an instrument of investing money.
A mutual fund is a group of investors operating through a fund manager to purchase a
diverse portfolio of stocks or bonds. Mutual funds are highly cost efficient and very easy to
invest in. By pooling money together in a mutual fund, investors can purchase stocks or
bonds with much lower trading costs than if they tried to do it on their own. Also, one
doesn't have to figure out which stocks or bonds to buy. But the biggest advantage of
mutual funds is diversification.
Diversification means spreading out money across many different types of investments.
When one investment is down another might be up. Diversification of investment holdings
reduces the risk tremendously.
Different investment avenues are available to investors. Mutual funds also offer good
investment opportunities to the investors. Like all investments, they also carry certain risks.
The investors should compare the risks and expected yields after adjustment of tax on
various instruments while taking investment decisions. The investors may seek advice
from experts and consultants including agents and distributors of mutual funds schemes
while making investment decisions.
4 Projectsformba.blospot.com
5. Projectsformba.blospot.com
THE DEFINITION:
A mutual fund is nothing more than a collection of stocks and/or bonds. You can think of a
mutual fund as a company that brings together a group of people and invests their money
in stocks, bonds, and other securities. Each investor owns shares, which represent a portion
of the holdings of the fund.
You can make money from a mutual fund in three ways:
1) Income is earned from dividends on stocks and interest on bonds. A fund pays out
nearly all of the income it receives over the year to fund owners in the form of a
distribution.
2) If the fund sells securities that have increased in price, the fund has a capital gain. Most
funds also pass on these gains to investors in a distribution.
3) If fund holdings increase in price but are not sold by the fund manager, the fund's shares
increase in price. You can then sell your mutual fund shares for a profit.
Funds will also usually give you a choice either to receive a check for distributions or to
reinvest the earnings and get more shares.
5 Projectsformba.blospot.com
6. Projectsformba.blospot.com
MUTUAL FUNDS: CONCEPT:
A Mutual Fund is a trust that pools the savings of a number of investors who share a
common financial goal. The money thus collected is then invested in capital market
instruments such as shares, debentures and other securities. The income earned through
these investments and the capital appreciation realized is shared by its unit holders in
proportion to the number of units owned by them. Thus a Mutual Fund is the most
suitable investment for the common man as it offers an opportunity to invest in a
diversified, professionally managed basket of securities at a relatively low cost.
MUTUAL FUND CYCLE:
The flow chart below describes broadly the working of 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.
6 Projectsformba.blospot.com
7. Projectsformba.blospot.com
Investments in securities are spread across a wide cross-section of industries and sectors
and thus the risk is reduced. 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.
HISTORY OF MUTUAL FUNDS:
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 the. The history of
mutual funds in India can be broadly divided into four distinct phases:-
• First Phase – 1964-87:- 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 Bank of India (IDBI) took over
the regulatory and administrative control in place of RBI. The first scheme launched by
UTI was Unit Scheme 1964. At the end of 1988 UTI had Rs.6, 700 crores of assets
under management.
7 Projectsformba.blospot.com
8. Projectsformba.blospot.com
• Second Phase – 1987-1993:- (Entry of Public Sector Funds) 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.
• Third Phase – 1993-2003:- (Entry of Private Sector Funds) 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.
• Fourth Phase – since February 2003:- In February 2003, following the repeal of
the Unit Trust of India Act 1963 UTI was bifurcated into two separate entities. One is
8 Projectsformba.blospot.com
9. Projectsformba.blospot.com
the Specified Undertaking of the Unit Trust of India with assets under management of
Rs.29, 835 crores as at the end of January 2003, representing broadly, the assets of US
64 scheme, assured return and certain other schemes. The Specified Undertaking of
Unit Trust of India, functioning under an administrator and under the rules framed by
Government of India and does not come under the purview of the Mutual Fund
Regulations. The second is the UTI Mutual Fund Ltd, sponsored by SBI, PNB, BOB
and LIC. It is registered with SEBI and functions under the Mutual Fund Regulations.
With the bifurcation of the erstwhile UTI which had in March 2000 more than Rs.76,
000 crores of assets under management and with the setting up of a UTI Mutual Fund,
conforming to the SEBI Mutual Fund Regulations, and with recent mergers taking
place among different private sector funds, the mutual fund industry has entered its
current phase of consolidation and growth. As at the end of September, 2004, there
were 29 funds, which manage assets of Rs.153108 crores under 421 schemes. The
graph indicates the growth of assets over the years.
9 Projectsformba.blospot.com
10. Projectsformba.blospot.com
ORGANISATION OF MUTUAL FUND:
A mutual fund is set up in the form of a trust, which has sponsor, trustees, Asset
Management Company (AMC) and custodian. The trust is established by a sponsor or
more than one sponsor who is like promoter of a company. The trustees of the mutual
fund hold its property for the benefit of the unit holders. Asset Management Company
(AMC) approved by SEBI manages the funds by making investments in various types
of securities. Custodian, who is registered with SEBI, holds the securities of various
schemes of the fund in its custody. The trustees are vested with the general power of
superintendence and direction over AMC. They monitor the performance and
compliance of SEBI Regulations by the mutual fund.
SEBI Regulations require that at least two thirds of the directors of trustee company
or board of trustees must be independent i.e. they should not be associated with the
sponsors. Also, 50% of the directors of AMC must be independent. All mutual funds
10 Projectsformba.blospot.com
11. Projectsformba.blospot.com
are required to be registered with SEBI before they launch any scheme. However, Unit
Trust of India (UTI) is not registered with SEBI (as on January 15, 2002).
• Mutual Fund Custodian:
A trust company, bank or similar financial institution responsible for holding and
safeguarding the securities owned within a mutual fund. A mutual fund's custodian may
also act as the mutual fund's transfer agent, maintaining records of shareholder
transactions and balances. Also refers to as a "mutual fund corporation".
Since a mutual fund is essentially a large pool of funds from many different investors, it
requires a third-party custodian to hold and safeguard the securities that are mutually
owned by all the fund's investors. This structure mitigates the risk of dishonest activity
by separating the fund managers from the physical securities and investor records.
• Sponsor:
Sponsor is the person who acting alone or in combination with another body corporate
establishes a mutual fund. Sponsor must contribute atleast 40% of the net worth of the
Investment Managed and meet the eligibility criteria prescribed under the Securities and
Exchange Board of India (Mutual Funds) Regulations, 1996.The Sponsor is not
responsible or liable for any loss or shortfall resulting from the operation of the
Schemes beyond the initial contribution made by it towards setting up of the Mutual
Fund.
• Trust:
The Mutual Fund is constituted as a trust in accordance with the provisions of the
11 Projectsformba.blospot.com
12. Projectsformba.blospot.com
Indian Trusts Act, 1882 by the Sponsor. The trust deed is registered under the Indian
Registration Act, 1908.
• Trustee:
Trustee is usually a company (corporate body) or a Board of Trustees (body of
individuals). The main responsibility of the Trustee is to safeguard the interest of the
unit holders and ensure that the AMC functions in the interest of investors and in
accordance with the Securities and Exchange Board of India (Mutual Funds)
Regulations, 1996, the provisions of the Trust Deed and the Offer Documents of the
respective Schemes.
• Asset Management Company (AMC):
The AMC is appointed by the Trustee as the Investment Manager of the Mutual Fund.
The AMC is required to be approved by the Securities and Exchange Board of India
(SEBI) to act as an asset management company of the Mutual Fund. The AMC must
have a net worth of at least 10 crore at all times.
• Registrar and Transfer Agent :
The AMC if so authorized by the Trust Deed appoints the Registrar and Transfer Agent
to the Mutual Fund. The Registrar processes the application form, redemption requests
and dispatches account statements to the unit holders. The Registrar and Transfer agent
also handles communications with investors and updates investor records.
12 Projectsformba.blospot.com
13. Projectsformba.blospot.com
HOW DO MUTUAL FUNDS AND STOCKS DIFFER?
Whether you’re a first-time stock investor or a seasoned veteran, you should understand
what differentiates single stock investments from mutual fund investing.
First, Some Working Definitions...
Picture a collection of stocks, bonds, or other securities that are purchased by a group
of investors and then managed by an investment company. That’s a mutual fund.
When you buy a share in a fund, you’re really buying a piece of a large, diverse
portfolio.
Conversely, stocks are shares of a single company.
Stocks vs. Funds:
The Management
When it comes to managing an investment, some investors prefer leaving those details
and skills to someone else.
They like having an expert oversee the day-to-day decisions that a changing stock
investment involves and see that as a distinct advantage. A good manager, they might
argue, has access to information that would cost them an exorbitant amount, even if
they had the time and inclination to do the work themselves.
On the other hand, some investors would never surrender control of their investments.
Part of the thrill of investing is knowing that when they succeed it was due to their own
decisions, these investors might say.
13 Projectsformba.blospot.com
14. Projectsformba.blospot.com
Individual comfort level plays a big part in your investment choice.
Diversifying Matters
When one security in a fund drops, an insightful fund manager may have included
stocks that could cushion or offset that loss. Diversification is a big selling factor for
mutual funds.
But that’s not to say that an investor couldn’t diversify via his own stock selections.
14 Projectsformba.blospot.com
15. Projectsformba.blospot.com
Liquidity, Liquidity
Fund investors can cash in on any business day. When you sell a stock, you must wait
three business days before the trade settles and your money is released.
The Issue of Red Tape
Mutual fund investors often cite transaction ease as an inviting factor. And it is hard to
beat the convenience of having records and transactions handled for you, while
periodically receiving a detailed statement of your holdings.
Transacting business with stocks can be a more complicated experience. Placing buy
orders, selling shares, or dictating any number of orders can be time-consuming. To
some, however, that’s just part of the experience.
In summary, fund investors are often attracted by the overall convenience. By way of
contrast, stock investors may tend to be more comfortable with their own investing
skills.
Remember the value of both mutual funds and stocks will fluctuate with the changes in
market conditions, and when sold the investor may receive back more or less than their
original investment amount.
Mutual funds are sold only by prospectus. Please consider the investment
objectives, risks, charges, and expenses carefully before investing. The prospectus,
which contains this and other information about the investment company, can be
obtained from your financial professional. Be sure to read the prospectus carefully
before deciding whether to invest.
15 Projectsformba.blospot.com
16. Projectsformba.blospot.com
TYPES OF MUTUAL FUND SCHEMES:
There are a wide variety of Mutual Fund Schemes that cater to your needs, whatever to
your age, financial position, risk tolerance and return expectations. Whether as the
foundation of your investment programme or as a supplement, Mutual Fund schemes
can help you meet your financial goals.
(A)By Structure
• Open-Ended Schemes
These do not have a fixed maturity. You deal directly with the Mutual Fund for your
investments and redemptions. The key feature is liquidity. You can conveniently buy
and sell your units at net asset value ("NAV") related prices.
• Close-Ended Schemes
Schemes that have a stipulated maturity period (ranging from 2 to 15 years) are called
close-ended schemes. You can invest directly in the scheme at the time of the initial
issue and thereafter you can buy or sell the units of the scheme on the stock exchanges
where they are listed. The market price at the stock exchange could vary from the
scheme's NAV on account of demand and supply situation, unit holder’s expectations
and other market factors. One of the characteristics of the close-ended scheme is that
they are generally traded at a discount to NAV; but closer to maturity, the discount
narrows.
Some close-ended schemes give you an additional option of selling your units directly
to the Mutual Fund through periodic repurchase at NAV related prices. SEBI
regulations ensure that at least one of the two exit routes are provided to the investor.
16 Projectsformba.blospot.com
17. Projectsformba.blospot.com
• Interval Schemes
These combine the features of open-ended and close-ended schemes. They may be
traded on the stock exchange or may be open for sale or redemption during pre-
determined intervals at NAV related prices.
(B)By Investment Objective
• Tax Saving Schemes
These schemes offer tax rebates to the investors under tax laws as prescribed from time
to time. This is made possible because the Government offers tax incentives for
investment in specific avenues. For example, Equity Linked Saving Schemes (ELSS)
and Pension Schemes.
Recent amendments to the Income Tax Act provide further opportunities to investors to
save capital gains by investing in Mutual Funds. The detail of such tax savings are
provided in the relevant offer documents.
Ideal for: Investors seeking tax rebates.
• Special Schemes
This category includes index schemed that attempt to replicate the performance of a
particular index such as the BSE Sensex or the NSE 50, or the industry specific
schemes(which invest in specific industries) or sectoral schemes(which invest
exclusively in segments such as 'A' Group shares or initial public offerings).
Index fund schemes are ideal for investors who are satisfied with a return approximately
equal to that of an index.
Sectoral fund schemes are ideal for investors who have already decided to invest in a
particular sector or segment.
17 Projectsformba.blospot.com
18. Projectsformba.blospot.com
Keep in mind that anyone scheme may not meet all your requirements for all time. You
need to place your money judiciously in different schemes to be able to get the
combination of growth, income and stability that is right for you.
Remember, as always, higher the return you seek, higher the risk you should be
prepared to take.
"NET ASSET VALUE (NAV): DEFINITION"
Definition: The Net Asset Value, or NAV, is simply a measure of the current rupee
value of one share of a mutual fund. It's the fund's assets minus its liabilities divided
by the number of outstanding shares.
NAV’s are calculated at the end of each trading day. If the NAV increases, then it
means the value of your holdings increase (if you are a shareholder).
Net asset value (NAV):
In simple words, NAV of a mutual fund is nothing but its PRICE PER UINT. The NAV
of mutual fund is to be calculated on a daily basis that is based on its performance with
relation to other mutual funds. Technically speaking NAV of a fund is the cumulative
market value of the assets fund net of its liabilities. In other words, if the fund is
dissolved or liquidated, by selling off all the assets in the fund, this is the amount that
the shareholders would collectively own. This gives rise to the concept of net asset
value per unit, which is the value, represented by the ownership of one unit in the fund.
However, most people refer loosely to the NAV per unit as NAV, ignoring the “per
unit”. NAV is computed on a daily basis for Open-ended funds and on a weekly basis
for Close-ended listed funds whereas for close-ended unlisted funds NAV is computed
once a month or once in 3 month as permitted by SEBI.
18 Projectsformba.blospot.com
19. Projectsformba.blospot.com
Thus, if one sees a fund NAV as Rs. 10, then one can expect to buy the fund for Rs. 10
or sell it for Rs.10 (although some loaded funds don’t follow this logic). Since mutual
funds hold a number of securities, the net asset value must be calculated at the end of
the day on daily basis (as opposed to stocks that change prices by the second).
CALCULATING NET ASSET VALUE (NAV):
Calculating mutual fund net asset values is easy. Simply take the current market value
of the fund's net assets (securities held by the fund minus any liabilities) and divide by
the number of shares outstanding. So if a fund had net assets of Rs. 50 crore and there
are 10 lakh shares of the fund, then the price per share (or NAV) is Rs. 50.00.
The Following Formula Is Utilized For Calculating NAV Per Unit:
NAV = Total Assets – Total Liabilities
Total no. Of outstanding shares
19 Projectsformba.blospot.com
20. Projectsformba.blospot.com
HOW TO USE THE NET ASSET VALUES:
NAV’s are helpful in keeping an eye on your mutual fund's price movement, but
NAV’s are not the best way to keep track of performance. The reason for this is mutual
fund distribution. Mutual funds are forced by law to distribute at least 90% of its'
realized capital gains and dividend income each year. When a fund pays out this
distribution, the NAV drops by the amount paid. This is important because an investor
may become frightened when they see their fund's NAV drop by Rs 3 even though they
haven't lost any money (the Rs. 3 was paid out to the shareholder).
The most important thing to keep in mind is that NAV’s change daily and are not a
good indicator on how your portfolio is doing because things like distributions mess
with the NAV (it also makes mutual funds hard to track).
20 Projectsformba.blospot.com
21. Projectsformba.blospot.com
ADVANTAGES OF MUTUAL FUND:
If mutual fund is emerging as the favorite investment vehicle, it is because of the many
advantages it has over other forms and avenues of investing, particularly for the
investor who has limited resources available in terms of capital and ability to carry out
detailed research and market monitoring. The following are the major advantages
offered by mutual funds to all investors:
1. Professional Management: Even if the investor has a big amount of capital available
to him, he benefits from the professional management skills brought in by the fund in
the management of the investor’s portfolio. The investment skills, along with the
needed research into available investment options, ensure a much better return than
what an investor can manage on his own. Few investors have the skills and resources of
their own to succeed in today’s fast-moving, global and sophisticated markets.
2. Reduction/Diversification of Risk: An investor in a mutual fund acquires a diversified
portfolio, no matter how small his investment. Diversification reduces the risk of loss,
as compared to investing directly in one or two shares or debentures or other
instruments. When an investor invests directly, all the risk of potential loss is his own.
While investing in the pool of funds with other investors, any loss in one or two
securities is also shared by other investors. This risk reduction is one of the most
important benefits of a collective investment vehicle like mutual fund.
3. Reduction in Transaction Costs: What is true of risk is also true of the transaction
costs. A direct investor bears all the costs of investing such as brokerage or custody of
securities. When going through a fund, he has the benefit of economies of scale; the
funds pay lesser costs because of larger volumes, a benefit passed on to its investors.
21 Projectsformba.blospot.com
22. Projectsformba.blospot.com
4. Liquidity: Often investors hold shares or bonds they cannot directly, easily and quickly
sell. Investment in mutual fund, on the other hand, is more liquid. An investor can
liquidate the investment by selling the units to the fund if it is an open-ended fund, or
by selling the units in the stock market if the fund is a closed-ended fund, since closed-
end funds have to be listed on a stock exchange, in any case, the investor in a closed-
ended fund receives the sale proceeds at the end of a period specified by the mutual
fund or the stock exchange.
5. Flexibility: Mutual fund management companies offer many investor services that a
direct market investor cannot get. Within the same fund family, investors can easily
transfer/switch their holdings from one scheme to another. They can also invest or
withdraw their money as regular investors in most open-ended schemes.
6. Convenience: Mutual fund investment process has been made further more convenient
with the facility offered by funds for investors to buy or sell their units through the
internet or email or using other communication means.
7. Regulated Operations: Mutual fund industry is well regulated; all funds are registered
with SEBI, which lays down rules to protect the investors. Thus, investors also benefit
from the safety of a regulated investment environment.
8. Higher Returns: As these funds are well managed and well diversified, they tend to
perform better than market over longer period of time; there is potential for the unit
holders to get better returns compared to fixed income avenues over longer period of
time.
9. Tax Benefits: Mutual funds enjoy tax benefits on the incomes received by them as well
as on capital gains. The unit holders also enjoy certain tax benefit on the income earned,
the capital gains made, and on amount invested in certain types of funds.
22 Projectsformba.blospot.com
23. Projectsformba.blospot.com
10. Transparency: The investors get updated market information from the funds. The fund
managers also share the information about the schemes in the transparent manner, with
all material facts required by regulators to be disclosed to the investors. The NAV’s of
open-ended funds are disclosed on a monthly basis ensuring transparency to the
investors.
23 Projectsformba.blospot.com
24. Projectsformba.blospot.com
DISADVANTAGES OF INVESTING IN MUTUAL FUND:
While the benefits of investing through mutual funds far outweigh the disadvantages, an
investor and his advisor will do well to be aware of a few shortcomings of using the
mutual fund as an investment vehicle.
1. No Control Over Costs: An investor in a mutual fund has any control over the overall
cost of investing. He pays investment management fees as long as he remains with
fund, albeit in return for the professional management and research. Fees are usually
payable as a percentage of the value of his investments, whether the fund value is rising
or declining. A mutual fund investor also pays fund distribution cost, which he would
not incur in direct investing. However, this shortcoming only means that there is a cost
to obtain the benefits of mutual fund services, and this cost is often less than the cost of
direct investing by the investors. Besides, the regulators have prescribed a ceiling on the
maximum expenses that the fund managers can charge to the schemes, thus limiting the
investors’ expense of investing through mutual funds.
2. No Tailor-made Portfolios: Investors who invest on their own can build their own
portfolios of shares, bonds and other securities. Investing through funds means that he
delegates this decision to the fund managers. High-net-worth individuals or large
corporate investors may find this to be a constraint in achieving their objectives.
However, most mutual funds help investor overcome this constraint by offering families
of schemes – a large number of different schemes – within the same fund. In each
schemes there are various plans and options. An investor can choose from different
investment schemes/plans/options and construct an investment portfolio that meets his
investment objectives.
24 Projectsformba.blospot.com
25. Projectsformba.blospot.com
3. Managing a Portfolio of Funds: Availability of a large number of options from mutual
funds can actually mean too much choice for the investor. He may again need advice on
how to select a fund to achieve his objectives, quite similar to the situation when he has
to select individual shares or bonds to invest in. Fortunately, India now has a large
number of AMFI registered and tested fund distributors and financial planners who are
capable of guiding the investors.
25 Projectsformba.blospot.com
26. Projectsformba.blospot.com
THE IMPORTANCE OF DIVERSIFICATION:
We cannot overemphasize the importance of having a well balanced and diversified
mutual fund portfolio. But what does this exactly mean? A total investment of between
$5000 and $6000 could make your portfolio fairly diversified. Even the mutual funds
themselves can be diversified in a variety of investments. The mutual funds that are
better diversified tend to do better than the non-diversified funds. The same is true with
your overall portfolio. In short, diversification provides insurance.
26 Projectsformba.blospot.com
27. Projectsformba.blospot.com
FREQUENTLY USED TERMS:
• AMC
A Company formed under the Companies Act and registered with SEBI to manage
investors’ funds collected through different schemes. The trustee delegates the task of
floating schemes and managing the collected money to a company of professionals,
usually experts who are known for smart stock picks. This is an Asset Management
Company (AMC). AMC charges a fee for the services it renders to the MF trust. Thus,
the AMC acts as the investment manager of the trust under the broad supervision and
direction of the trustees.
• Unit
A unit in a mutual fund scheme means one share in the assets of a particular scheme. So,
a person holding units in a scheme is referred to, as a unit holder.
• Net Asset Value (NAV)
The performance of a particular scheme of a Mutual Fund is denoted by Net Asset
Value (NAV). Mutual Funds invest the money collected from the investors in securities
markets. In simple words, NAV is the market value of the securities held by the
scheme. Since market value of the securities changes everyday, NAV of a scheme also
varies on a day-to-day basis. The NAV per unit is the market value of the securities of a
scheme divided by the total number of units of the scheme on any particular date. For
e.g., if the market value of securities of a mutual fund scheme is Rs. 300 lakhs and the
mutual fund has issued 10 lakhs units of Rs. 10 each to the investors, then the NAV per
unit of the fund is Rs. 30. NAV is required to be disclosed by the mutual funds on a
regular basis-daily or weekly-depending on the type of scheme.
27 Projectsformba.blospot.com
28. Projectsformba.blospot.com
• Sale Price
It is the price you pay when you invest in a scheme. It is also called as Offer Price. It
may include a Sales or Entry Load.
• Repurchase Price
It is the price at which an investor sells back the units to the Mutual Fund. This price is
NAV related and may include the exit load. When an investor chooses to withdraw
money from his investment in an open-ended fund at any point of time, the units are
sold at NAV (after deduction of the Exit Load, if any) to the fund. When a close-ended
fund completes tenure, it is redeemed at the prevailing NAV and investors are paid the
proceeds thereof. It is also called as Bid Price.
• Redemption Price
It is the price at which open-ended schemes repurchase their units and close- ended
schemes redeem their units on maturity. Such prices are NAV related.
• Statement of Account
A Statement of Account is a document that serves as a record of transactions between
the fund and the investor. It contains details of the investor with the various transactions
executed during he period, i.e., sales, repurchase, switch-over in, switch-over out. The
Statement of Account is issued every time any transaction takes place.
28 Projectsformba.blospot.com
29. Projectsformba.blospot.com
LOAD AND TYPES OF LOAD:
Load is a charge collected by a mutual fund on units.
It is of three types.
LOAD
CONTINGENT
ENTRY LOAD EXIT LOAD DEFERRED SALES
LOAD (CDSL)
• Entry Load: When a charge is collected at the time of entering into a scheme it is
called as entry load or front end load or sales load. The entry load percentage is added
to the NA at the time of allotment of units.
• Exit Load: An Exit load or Back-end load or repurchase load is a charge that is
collected at the time of redeeming or for transfer between schemes. (Switch). The exit
load percentage is deducted from the NAV at the time of redemption or transfer
between schemes.
• Contingent Deferred Sales Load (CDSL): The load amounts charged to units when
recovered at various period of time is called as ‘deferred load’. This load reduces the
redemption proceeds paid out to the outgoing investors. Depending on how many years
the investor stays with the fund, some funds may charge different mounts of loads to the
investor- the longer the investor stays with the fund, lesser is the amount of exit load
charged to him. This is called Contingent the Deferred Sales Charge (CDSC) and
Contingent Deferred Sales Load (CDSL).
Some schemes do not charge any load (i.e. Sell/repurchase at NAV) and are called No
Load Schemes.
29 Projectsformba.blospot.com
30. Projectsformba.blospot.com
MUTUAL FUND PORTFOLIO CONSTRUCTION
• Step One - Identify your investment needs.
Your financial goals will vary, based on your age, lifestyle, financial independence,
family commitments, level of income and expenses among many other factors.
Therefore, the first step is to assess your needs. Begin by asking yourself these
questions:
1. What are my investment objectives and needs?
Probable Answers: I need regular income or need to buy a home or finance a wedding
or educate my children or a combination of all these needs.
2. How much risk I am willing to take?
Probable Answers: I can only take a minimum amount of risk or I am willing to accept
the fact that my investment value may fluctuate or that there may be a short-term loss in
order to achieve a long-term potential gain.
3. What are my cash flow requirements?
Probable Answers: I need a regular cash flow or I need a lump sum amount to meet a
specific need after a certain period or I don't require a current cash flow but I want to
build my assets for the future.
By going through such an exercise, you will know what you want out of your investment
and can set the foundation for a sound Mutual Fund investment strategy.
30 Projectsformba.blospot.com
31. Projectsformba.blospot.com
• Step Two - Choose the right Mutual Fund.
Once you have a clear strategy in mind, you have to choose which Mutual Fund and
scheme you want to invest in. The offer document of the scheme tells you its objectives
and provides supplementary details like the track record of other schemes managed by
the same Fund Manager. Some factors to evaluate before choosing a particular Mutual
Fund are:
1) The track record of performance over the last few years in relation to the appropriate
yardstick and similar funds in the same category.
2) How well the Mutual Fund is organized to provide efficient, prompt and personalized
service.
3) Degree of transparency as reflected in frequency and quality of their communications.
• Step Three - Select the ideal mix of Schemes.
Investing in just one Mutual Fund scheme may not meet all your investment needs. You
may consider investing in a combination of schemes to achieve your specific goals.
The following tables could prove useful in selecting a combination of schemes that
satisfy your needs.
31 Projectsformba.blospot.com
32. Projectsformba.blospot.com
AGGRESSIVE PLAN
Money Market Schemes 5%
Income Schemes 10-15%
Balanced Schemes 10-20 %
Growth Schemes 60-70 %
MODERATE PLAN
Money Market Schemes 10 %
Income Schemes 20 %
Balanced Schemes 40-50 %
Growth Schemes 30-40 %
CONSERVATIVE PLAN
Money Market Schemes 10 %
Income Schemes 50-60 %
Balanced Schemes 20-30 %
Growth Schemes 10 %
32 Projectsformba.blospot.com
33. Projectsformba.blospot.com
• Step Four - Invest regularly
For most of us, the approach that works best is to invest a fixed amount at specific
intervals, say every month. By investing a fixed sum every month, you buy fewer units
when the price is higher and more units when the price is low, thus bringing down your
average cost per unit. This is called rupee cost averaging and is a disciplined investment
strategy followed by investors all over the world. With many open-ended schemes
offering systematic investment plans, this regular investing habit is made easy for you.
• Step Five - Keep your taxes in mind
If you are in a high tax bracket and have utilised fully the exemptions under section 80L
of the Income Tax Act, investing in growth funds that do not pay dividends might be
more tax efficient and improve your post-tax return.
If you are in a low tax bracket and have not utilised fully the exemptions available
under Section 80L of the Income Tax Act, selecting funds paying regular income could
be more tax efficient. Further, there are other benefits available for investment in
Mutual Funds under the provisions of the prevailing tax laws.
You may therefore, consult your tax advisor or Chartered Accountant for specific
advice.
• Step Six - Start early
It is desirable to start investing early and stick to a regular investment plan. If you start
now, you will make more than if you wait and invest later. The power of compounding
lets you earn income on income and your money multiplies at the compounded rate of
return.
33 Projectsformba.blospot.com
34. Projectsformba.blospot.com
• Step Seven - The final step
All you need to do now is to get a touch with a Mutual Fund or your agent/broker and
start investing. Reap the rewards in the years to come. Mutual Funds are suitable for
every kind of investor - whether starting a career or retiring, conservative or risk-taking,
growth oriented or income seeking.
34 Projectsformba.blospot.com
35. Projectsformba.blospot.com
Mutual Fund Risk:
• Risk
Every type of investment, including mutual funds, involves risk. Risk refers to the
possibility that you will lose money (both principal and any earnings) or fail to make
money on an investment. A fund's investment objective and its holdings are influential
factors in determining how risky a fund is. Reading the prospectus will help you to
understand the risk associated with that particular fund.
Generally speaking, risk and potential return are related. This is the risk/return trade-
off. Higher risks are usually taken with the expectation of higher returns at the cost of
increased volatility. While a fund with higher risk has the potential for higher return, it
also has the greater potential for losses or negative returns. The school of thought when
investing in mutual funds suggests that the longer your investment time horizon is the
less affected you should be by short-term volatility. Therefore, the shorter your
investment time horizon, the more concerned you should be with short-term volatility
and higher risk.
Following is a glossary of some risks to consider when investing in mutual funds.
• Call Risk: - The possibility that falling interest rates will cause a bond issuer to redeem
—or call—its high-yielding bond before the bond's maturity date.
• Country Risk: - The possibility that political events (a war, national elections),
financial problems (rising inflation, government default), or natural disasters (an
earthquake, a poor harvest) will weaken a country's economy and cause investments in
that country to decline.
• Credit Risk: - The possibility that a bond issuer will fail to repay interest and principal
in a timely manner. Also called default risk.
35 Projectsformba.blospot.com
36. Projectsformba.blospot.com
• Currency Risk: - The possibility that returns could be reduced for Americans investing
in foreign securities because of a rise in the value of the U.S. dollar against foreign
currencies. Also called exchange-rate risk.
• Income Risk: - The possibility that a fixed-income fund's dividends will decline as a
result of falling overall interest rates.
• Industry Risk: - The possibility that a group of stocks in a single industry will decline
in price due to developments in that industry.
• Inflation Risk: - The possibility that increases in the cost of living will reduce or
eliminate a fund's real inflation-adjusted returns.
• Interest Rate Risk: - The possibility that a bond fund will decline in value because of
an increase in interest rates.
• Manager Risk: - The possibility that an actively managed mutual fund's investment
adviser will fail to execute the fund's investment strategy effectively resulting in the
failure of stated objectives.
• Market Risk: - The possibility that stock fund or bond fund prices overall will decline
over short or even extended periods. Stock and bond markets tend to move in cycles,
with periods when prices rise and other periods when prices fall.
• Principal Risk: - The possibility that an investment will go down in value, or "lose
money," from the original or invested amount.
36 Projectsformba.blospot.com
37. Projectsformba.blospot.com
How do mutual funds earn money?
A mutual fund is a means of investing that enables individuals to share the risks of
investing with other investors. All contributors to the fund experience an equal share of
gains and losses for each dollar invested. A mutual fund owns the securities of several
corporations. A mutual fund pools money from hundreds and thousands of investors to
construct a portfolio of stocks, bonds, real estate, or other securities, according to the
kind of investments the mutual fund trades. Investors purchase shares in the mutual
fund as if it was an individual security. Fund managers hired by the mutual fund
company are paid to invest the money that the investors have placed in the fund.
Heeding the adage "Don't put all your eggs in one basket", the holders of mutual fund
shares are able to gain the advantage of diversification which might be beyond their
financial means individually.
37 Projectsformba.blospot.com
38. Projectsformba.blospot.com
STRUCTURE OF MUTUAL FUNDS IN INDIA
Like other countries, India has a legal framework within which mutual funds
must be constituted. Unlike in the UK, where two distinct structures-‘trust’ and
‘corporate’- are allowed with separate regulations, depending on their nature- open end
or closed end, in India, open end and closed end funds are constituted along one unique
structure- as unit trusts. A mutual fund in India is allowed to issue open-end and closed-
end schemes under a common legal structure. Therefore, a mutual fund may have
several different schemes (open and closed-end) under it i.e; under one unit trust, at any
point of time. However, like the USA; all the funds and their open end and closed end
schemes are governed by the same regulations and the regulatory body, the SEBI.The
structure that is required to be followed by mutual fund in India is laid down under
SEBI(mutual fund) Regulations,1996.
Some facts of the growth of mutual funds in India
• 100% growth in the last 6 years.
• Numbers of foreign AMC’s are in the queue to enter the Indian markets like Fidelity
Investments, US based, with over US$1trillion assets under management worldwide.
• Our saving rate is over 23%, highest in the world. Only channelizing these savings in
mutual funds sector is required.
• We have approximately 29 mutual funds which are much less than US having more
than 800. There is a big scope for expansion.
• 'B' and 'C' class cities are growing rapidly. Today most of the mutual funds are
concentrating on the 'A' class cities. Soon they will find scope in the growing cities.
38 Projectsformba.blospot.com
39. Projectsformba.blospot.com
• Mutual fund can penetrate rural areas like the Indian insurance industry with simple and
limited products.
• SEBI allowing the MF's to launch commodity mutual funds.
• Emphasis on better corporate governance.
• Trying to curb the late trading practices.
• Introduction of Financial Planners who can provide need based advice.
39 Projectsformba.blospot.com
40. Projectsformba.blospot.com
FUTURE OF MUTUAL FUNDS IN INDIA:
By December 2004, Indian mutual fund industry reached Rs.1, 50,537 crore. It is
estimated that by 2010 March-end, the total assets of all scheduled commercial banks
should be Rs. 40, 90,000 crore. The annual composite rate of growth is expected 13.4%
during the rest of the decade. In the last 5 years we have seen annual growth rate of 9%.
According to the current growth rate, by year 2010, mutual fund assets will be double.
Aggregate deposits of Scheduled Com Banks in India (Rs.Crore)
Month/Year Mar-98 Mar-00 Mar-01 Mar-02 Mar-03 Mar-04 Sep-04 4-Dec
Deposits 605410 851593 989141 113118 128085 - 156725 1622
8 3 1 5
7
9
Change in % 15 14 13 12 - 18 3
over last
yr
Mutual Fund AUM’s Growth
Mar-9 Mar-0 Mar-0 Mar-0 Mar-0 Mar-0
Month/Year Sep-04 4-Dec
8 0 1 2 3 4
MF AUM's 68984 93717 83131 94017 75306 137626 151141 149300
Change in %
over last 26 13 12 25 45 9 1
yr
Source - AMFI
REASONS FOR SLOW GROWTH OF MUTUAL FINDS IN INDIA:
40 Projectsformba.blospot.com
41. Projectsformba.blospot.com
1. Social Fabric: Indian society is represented by skewed income patterns. Rural India
is far from investible surplus. Whatever surplus a rural native may have, he is not
well informed about investible avenues and mutual funds. Most of the residents of
rural area are unaware of stock market and economics. Mutual funds’ awareness has
a long way to go.
2. Government Players: Private sector entities are aggressive in marketing and reach
more people with efforts. Indian mutual fund industry was with UTI and then with
public sector funds. It is a well known worldwide fact that government owned
entities lack in profit orientation because of excessive job security provided to the
employees and ‘ownership’s [i.e. government’s] profit motive absence’.
Management of these state owned funds mostly vested with these ex-bank managers
and government account officials. They came on transfers or on deputation from the
sponsor banks. They did not have adequate specialized skills to manage funds. Their
performance was dismal in most cases and the industry faced investor confidence
crises for some years. UTI’s US-64 burst also added to the fears.
3. Protected Stock Market Environment: Indian stock market was protected for
several years. Reach and visibility was much less to attract visitors. Physical shares,
manual trust based systems, absence of foreign capital flows, a scam per decade are
some more reasons for investors’ slow and cautious approach towards stock related
[including mutual funds] investments.
4. Regulatory Environment: It improved slowly over the years and is now attracting
more investors. Slow growth is comparative. Compared to developed countries. Per
se India has progressed well. More than organic growth in mutual funds industry is
witnessed. No specific blames to be attributed to either government players or
regulators. Infact every entity has added to the progress.
CONCLUSION:
41 Projectsformba.blospot.com
42. Projectsformba.blospot.com
Mutual funds have become a preferred investment vehicle in today’s times. This is
because they present an opportunity to the ordinary investor to invest indirectly in
the stock, bond and money markets. Investors on their own have little or inclination
to research individual stocks or sectors. Professional fund managers employed by
mutual funds do this job. Also a single person can’t diversify his portfolio and invest
in multiple high-priced stocks for the sole reason that he may not have the sufficient
resources. Here again, investing through MF route enables an investor to invest in
many good stocks and reap benefits even through a small investment. It is said that
almost everyone in America owns a mutual fund scheme. This proves the popularity
of mutual funds. Since mutual funds are capital market players they come under the
regulatory jurisdiction of SEBI. SEBI has laid down certain guidelines for mutual
funds that they are expected to follow. Thus, the set up of a legal structure, which
has enough teeth safeguard investors interest, ensures that the investors are not
cheated out of their hard-earned money. As we have learned before, the investment
goals vary from person to person. While somebody wants security, others might
give more weight age to returns alone. Somebody else might want to plan for his
child’s education while somebody might be saving for the proverbial rainy day or
even life after retirement. Indian MF industry offers a plethora of schemes and d
serves broadly all types of investors. Thus one can say that the appeal of mutual
funds cuts across investor classes. In other developed countries, Mutual funds
attract much more investments as compared to the banking sector but in India the
case is reverse. We lack awareness about the benefits that a re offered by these
schemes. It is time that investors irrespective of the risk capacities, make intelligent
decisions to generate better returns and mutual funds is definitely one of the ways to
go about it.
42 Projectsformba.blospot.com
43. Projectsformba.blospot.com
BIBLIOGRAPHY
1) HDFC mutual fund –Key Information Memorandum dated 25 Oct 2007
2) Principal mutual funds –KIM dated 21 Jan 2008
3) Reliance mutual funds –KIM dated 12 Jan 2008
4) AMFI-Mutual Fund (Basic) Module by NCFM
5) AMFI-Mutual Fund (Dealers) Module by NCFM
WEB SITES:
1) www.reliancemutual.com
2) www.assetmanagement.abnamro.co.in
3) www.hdfcfund.com
4) www.principalindia.com
43 Projectsformba.blospot.com