A Project Report

ON

CONSUMER BEHAVIOUR

AT

In Partial Completion of

Masters of Business Administration (MBA)

2009-10

SUBMITED TO: SUBMITED BY:

Noreen Joseph Anjali Kathuria

ACKNOWLEDGEMENT

The completion of any task depends upon the co-operation, coordination

and consolidated efforts of several resources of knowledge, energy, time

and above all the proper guidance of the experienced. Therefore I

approached this matter of acknowledgement through these lines trying

my best to give full credit where it deserves.

I wish to express my gratitude to those who generously helped me to

compile this project with their knowledge and expertise. Firstly, I owe a

great debt to Ms Noreen Joseph, Chief Manager UTI Mutual Fund,

Ahmedabad. Who were responsible for making this project possible.

They have given me the opportunity to choose this topic and the

necessary guidelines regarding the project to track first hand information

and supporting me in the completion of the project successfully, as well as

insulating a belief in me which was essential for the completion of this

project. The learning during the project was of immense importance &

invaluable.

INDEX

Page 1

Sr. No. Subject Page No.

1. Executive Summary 5

2. UTI MF- An Introduction 6

3. Subsidiaries 7

4. Mutual Fund Assets Type 8

5. Vision and Mission 9

6. History 9

7. Mutual Fund- An Introduction 18

8. Corporate Profile 20

9. Rights of Unit holder 24

10. Organizational structure of MF 25

11. Awards 27

12. Different Investment Plan 28

13. Types of Mutual Fund 29

14. Products of UTI 34

15. SIP Returns 42

16. Key Terms 47

17. Area of Study 48

18. Consumer Buying Behaviour- An Introduction 56

19. Research Methodology 61

20. Data Analyses and Interpretation 65

Page 2

21. Key Findings 73

22. Conclusion 74

23. Learning 75

24. Recommendations 75

25. Questionnaire 77

Page 3

Executive Summary

UTI Mutual Fund is among one of the largest financial Institution. It is

doing its business by continuously delivering a differentiated product and

services that provide high business value in return.

The main objectives are

• To know the awareness of mutual fund amongst the investor

• To know the investors knowledge and perceptions about mutual

fund.

• To know the investor priority level between different criteria of

investment like safety level, returns, liquidity, tax benefits and

maturity etc. of investment.

• Find out reason for choice of mutual fund as an investment avenue.

Savings form an important part of the economy of any nation. With

savings invested in various Assets available to the people like Gold, Debt

market, Insurance, Mutual funds, Equity, Bank deposit etc the money acts

as the driver for growth of the country. Indian financial sector avails

multiple avenues to the investors. A basic principle of investing is that the

investment avenue must match the investor's risk profile. Young investors

have an edge over others on account of their age. In other words, a young

age investor has a big ratio of disposable income. Now, India is seen as

one of the best and deepest of markets in the world. It has huge potential

growth rate in mutual fund and different financial instruments to provide

reasonable options for an ordinary man to invest his savings and diversify

the risk.

This report will seek to cover all the fundamental aspects relating to

various investments Asset classes which are available for the investors in

India. This report will also tell us the customer perception about different

Page 4

investment instruments which are available. In this report, Researcher

comparing the various investment options with their growth, returns, risks

etc.

UTI Mutual Fund- An Introduction

UTI AMC is one of the best Asset Management Company in India.

Recently, Mr. U. K. Sinha has awarded as a best CEO of the year 2009 and

Mr. Jaideep Bhattacharya has awarded as best Marketing Personality of

the year 2009.

UTI AMC is a company incorporated under companies act 1956.

In UTI AMC the investment agreement is executed between UTI Trustee

Company Ltd and UTI AMC on December 9 2002 UTI AMC was registered

by SEBI to act as Asset Management Company for UTI Mutual Fund vide its

letter of January 2003.

The paid up capital of UTI AMC has been subscribed equally by four

sponsors: State Bank of India, Life Insurance Corporation of India, Bank of

Baroda and Punjab National Bank. UTIAMC, apart from managing the

schemes of UTI Mutual Fund, also manages the schemes

transferred/migrated from the erstwhile Unit Trust of India, in accordance

with the provisions of the Investment Management Agreement, the Trust

Deed, and the SEBI (Mutual Funds) Regulations.

Current AUM of UTI Mutual Fund is Rs.78, 617 Crores* as on 31st

May 2010 (source: http://www.amfiindia.com/)

Subsidiaries

Page 5

UTI Venture

UTI Venture is leading private equity firm. Focused on growth capital, they

propel the ambitions of passionate Indian entrepreneurs, while unlocking

superior returns for our investors. Our demonstrated track record of

successful investments, led by an experienced management team,

positions our funds among top performers in India.

UTI International Ltd

UTI International Ltd (UTI IL) is a 100% subsidiary of UTI Asset

Management Company Ltd. (UTI AMC). UTI AMC is the largest retail

Asset Management Company in India with more than 9 million

investor accounts and Assets under Management of close to US$

9.5bn (September 30, 2008). UTI International Ltd. is responsible for all

international business activities of UTI AMC. The Assets under

Management (AUM) of UTI International Ltd stands at USD 615 mn as on

September 30, 2008.

UTI RSL (Retirement Solutions Limited)

UTI RSL has been set up to carry out the operations as Pension Fund as

directed by the Board of Trustees of the New Pension System Trust, set up

under the Indian Trust Act, 1882, and to undertake wholesale asset

management as prescribed by the Government.

Worldwide Mutual Fund Assets by type of fund:

If we see the worldwide Mutual fund Assets by the type of fund for the

third quarter in 2008, then it is seen that the major investments were in

equities i.e. 40% of the total investments.

Page 6

Source: Investment Company Institute

Worldwide Mutual Fund Assets by Region:

By region, 55 percent of worldwide assets were in the Americas in the

third quarter of 2008, 34 percent were in Europe and 11 percent in Africa

and Asia/Pacific.

Vision:

“To be the most preferred Mutual Fund.”

Mission:

Page 7

The most trusted brand, admired by all stakeholders

The largest and most efficient money manager with global presence

The best in class customer service provider

The most preferred employer  

The most innovative and best wealth creator

A socially responsible organisation known for best corporate

governance

History:

The formation of Unit Trust of India marked the evolution of the

Indian mutual fund industry in the year 1963. The primary objective at

that time was to attract the small investors and it was made possible

through the collective efforts of the Government of India and the Reserve

Bank of India.  Unit Trust of India enjoyed complete monopoly when it was

established in the year 1963 by an act of Parliament. UTI was set up by

the Reserve Bank of India and it continued to operate under the

regulatory control of the RBI until the two were de-linked in 1978 and the

entire control was transferred in the hands of Industrial Development

Bank of India (IDBI). UTI launched its first scheme in 1964, named as Unit

Scheme 1964 (US-64), which attracted the largest number of investors in

any single investment scheme over the years. 

The history of mutual fund industry in India can be better understood

divided into following phases: 

Phase 1. Establishment and Growth of Unit Trust of India - 1964-

87

Unit Trust of India enjoyed complete monopoly when it was established in

the year 1963 by an act of Parliament. UTI was set up by the Reserve

Bank of India and it continued to operate under the regulatory control of

the RBI until the two were de-linked in 1978 and the entire control was

Page 8

transferred in the hands of Industrial Development Bank of India (IDBI).

UTI launched its first scheme in 1964, named as Unit Scheme 1964 (US-

64), which attracted the largest number of investors in any single

investment scheme over the years. 

UTI launched more innovative schemes in 1970s and 80s to suit the needs

of different investors. It launched ULIP in 1971, six more schemes

between 1981-84, Children's Gift Growth Fund and India Fund (India's first

offshore fund) in 1986, Mastershare (India’s first equity diversified

scheme) in 1987 and Monthly Income Schemes (offering assured returns)

during 1990s. By the end of 1987, UTI's assets under management grew

ten times to Rs 6700 crores.

Phase II. Entry of Public Sector Funds - 1987-1993

The Indian mutual fund industry witnessed a number of public sector

players entering the market in the year 1987. In November 1987, SBI

Mutual Fund from the State Bank of India became the first non-UTI mutual

fund in India. SBI Mutual Fund was later followed by Canbank Mutual Fund,

LIC Mutual Fund, Indian Bank Mutual Fund, Bank of India Mutual Fund, GIC

Mutual Fund and PNB Mutual Fund. By 1993, the assets under

management of the industry increased seven times to Rs. 47,004 crores.

However, UTI remained to be the leader with about 80% market share.

1992-93 Amount MobilisedAssets Under

Management

Mobilisation as % of

gross Domestic

Savings

UTI 11,057 38,247 5.2%

Public Sector 1,964 8,757 0.9%

Total 13,021 47,004 6.1%

Page 9

Phase III. Emergence of Private Sector Funds - 1993-96

The permission given to private sector funds including foreign fund

management companies (most of them entering through joint ventures

with Indian promoters) to enter the mutual fund industry in 1993,

provided a wide range of choice to investors and more competition in the

industry. Private funds introduced innovative products, investment

techniques and investor-servicing technology. By 1994-95, about 11

private sector funds had launched their schemes. 

Phase IV. Growth and SEBI Regulation - 1996-2004

The mutual fund industry witnessed robust growth and stricter regulation

from the SEBI after the year 1996. The mobilisation of funds and the

number of players operating in the industry reached new heights as

investors started showing more interest in mutual funds. 

Investors' interests were safeguarded by SEBI and the Government

offered tax benefits to the investors in order to encourage them. SEBI

(Mutual Funds) Regulations, 1996 was introduced by SEBI that set uniform

standards for all mutual funds in India. The Union Budget in 1999

exempted all dividend incomes in the hands of investors from income tax.

Various Investor Awareness Programmes were launched during this phase,

both by SEBI and AMFI, with an objective to educate investors and make

them informed about the mutual fund industry.

In February 2003, the UTI Act was repealed and UTI was stripped of its

Special legal status as a trust formed by an Act of Parliament. The primary

objective behind this was to bring all mutual fund players on the same

level. UTI was re-organised into two parts:

1. The Specified Undertaking,

2. The UTI Mutual Fund Presently Unit Trust of India operates under the

name of UTI Mutual Fund and its past schemes (like US-64, Assured

Return Schemes) are being gradually wound up. However, UTI Mutual

Fund is still the largest player in the industry. In 1999, there was a

Page 10

significant growth in mobilisation of funds from investors and assets under

management which is supported by the following data: 

GROSS FUND MOBILISATION (RS. CRORES)

FROM TO UTIPUBLIC

SECTOR

PRIVATE

SECTORTOTAL

01-April-98 31-March-99 11,679 1,732 7,966 21,377

01-April-99 31-March-00 13,536 4,039 42,173 59,748

01-April-00 31-March-01 12,413 6,192 74,352 92,957

01-April-01 31-March-02 4,643 13,613 1,46,267 1,64,523

01-April-02 31-Jan-03 5,505 22,923 2,20,551 2,48,979

01-Feb.-03 31-March-03 * 7,259* 58,435 65,694

01-April-03 31-March-04 - 68,558 5,21,632 5,90,190

01-April-04 31-March-05 - 1,03,246 7,36,416 8,39,662

01-April-05 31-March-06 - 1,83,446 9,14,712 10,98,158

ASSETS UNDER MANAGEMENT (RS. CRORES)

AS ON UTIPUBLIC

SECTOR

PRIVATE

SECTOR

TOTA

L

31-March-9953,32

08,292 6,860 68,472

Phase V. Growth and Consolidation - 2004 Onwards

The industry has also witnessed several mergers and acquisitions

recently, examples of which are acquisition of schemes of Alliance Mutual

Fund by Birla Sun Life, Sun F&C Mutual Fund and PNB Mutual Fund by

Principal Mutual Fund. Simultaneously, more international mutual fund

Page 11

players have entered India like Fidelity, Franklin Templeton Mutual Fund

etc. There were 29 funds as at the end of March 2006. This is a continuing

phase of growth of the industry through consolidation and entry of new

international and private sector players. 

I) GLOBAL SCENARIO

Some basic facts:

In US, every third household is a mutual fund investor.

In US, the MF Industry size is about 67% of the US GDP whereas the Indian

MF Industry is just 6% of our GDP.

In US, MF assets are 1.5 times the bank deposit.

Page 12

In India the bank deposits are about 10.50 times the MF assets.

In India for the past 3 years it has been seen that nearly 2,500 crore is

being transferred from bank deposits to Mutual funds on a yearly basis.

75% of the core customer bases of mutual funds in the top 50-broking

firms in the U.S. are expected to trade on-line by 2004.  

On- line trading is a great idea to reduce management expenses from the

current 2 % of total assets to about 0.75 % of the total assets and as we

start using advanced technology in this industry this cost will further cut

down the administration cost.

Internationally, on-line investing continues its meteoric rise. Many have

debated about the success of e- commerce and its breakthroughs, but it is

true that this aspect of technology could and will change the way financial

sectors function. However, mutual funds cannot be left far behind. They

have realized the potential of the Internet and are equipping themselves

to perform better.

In fact in advanced countries like the U.S.A, mutual funds buy- sell

transactions have already begun on the net, while in India the Net is used

as a source of Information and also net is used for transaction purpose is

on the initial stage but is catching up quickly with all dealing in this

industry as it helps in reducing administrative cost.

Such changes could facilitate easy access, lower intermediation costs and

better services for all. A research agency that specializes in internet

technology estimates that over the next four years Mutual Fund Assets

traded on- line will grow ten folds from $ 128 billion to $ 1,227 billion;

whereas equity assets traded on-line will increase during the period from

$ 246 billion to $ 1,561 billion. This will increase the share of mutual funds

from 34% to 40% during the period.

Such increases in volumes are expected to bring about large changes in

the way Mutual Funds conduct their business.

Page 13

Here are some of the basic changes that have taken place since the

advent of the Net.

Lower Costs: Distribution of funds will fall in the online trading regime by

2003. Mutual funds could bring down their administrative costs to 0.75% if

trading is done on- line. As per SEBI regulations, bond funds can charge a

maximum of 2.25% and equity funds can charge 2.5% as administrative

fees. Therefore if the administrative costs are low, the benefits are passed

down and hence Mutual Funds are able to attract more investors and

increase their asset base.

Better advice: Mutual funds could provide better advice to their

investors through the Net rather than through the traditional investment

routes where there is an additional channel to deal with the Brokers.

Direct dealing with the fund could help the investor with their financial

planning.

In India, brokers could get more Net savvy than investors and could help

the investors with the knowledge through get from the Net.

New investors would prefer online: Mutual funds can target investors who

are young individuals and who are Net savvy, since servicing them would

be easier on the Net.

India has around 1.6 million net users who are prime target for these

funds and this could just be the beginning. The Internet users are going to

increase dramatically and mutual funds are going to be the best

beneficiary. With smaller administrative costs more funds would be

mobilized .A fund manager must be ready to tackle the volatility and will

have to maintain sufficient amount of investments which are high liquidity

and low yielding investments to honour redemption.

Net based advertisements: There will be more sites involved in ads and

promotion of mutual funds. In the U.S. sites like AOL offer detailed

research and financial details about the functioning of different funds and

their performance statistics a is witnessing a genesis in this area. 

Page 14

Future Scenario:

The asset base will continue to grow at an annual rate of about 30 to 35 %

over the next few years as investor’s shift their assets from banks and

other traditional avenues. Some of the older public and private sector

players will either close shop or be taken over.

Out of ten public sector players five will sell out, close down or merge with

stronger players in three to four years. In the private sector this trend has

already started with two mergers and one takeover. Here too some of

them will down their shutters in the near future to come.

But this does not mean there is no room for other players. The market will

witness a flurry of new players entering the arena. There will be a large

number of offers from various asset management companies in the time

to come. Some big names like Fidelity, Principal, Old Mutual etc. are

looking at Indian market seriously. One important reason for it is that

most major players already have presence here and hence these big

names would hardly like to get left behind.

In the U.S. most mutual funds concentrate only on financial funds like

equity and debt. Some like real estate funds and commodity funds also

take an exposure to physical assets. The latter type of funds are preferred

by Corporate’s who want to hedge their exposure to the commodities they

deal with.

For instance, a cable manufacturer who needs 100 tons of Copper in the

month of January could buy an equivalent amount of copper by investing

in a copper fund. For Example, Permanent Portfolio Fund, a conservative

U.S. based fund invests a fixed percentage of it’s corpus in Gold, Silver,

Swiss francs, specific stocks on various bourses around the world, short –

term and long-term U.S. treasuries etc.

Page 15

In U.S.A. apart from bullion funds there are copper funds, precious metal

funds and real estate funds (investing in real estate and other related

assets as well.).In India, the Canada based Dundee mutual fund is

planning to launch gold and a real estate fund before the year-end.

In developed countries like the U.S.A there are funds to satisfy

everybody’s requirement, but in India only the tip of the iceberg has been

explored. In the near future India too will concentrate on financial as well

as physical funds.

The mutual fund industry is awaiting the introduction of DERIVATIVES in

the country as this would enable it to hedge its risk and this in turn would

be reflected in its Net Asset Value (NAV).

SEBI is working out the norms for enabling the existing mutual fund

schemes to trade in Derivatives. Importantly, many market players have

called on the Regulator to initiate the process immediately, so that the

mutual funds can implement the changes that are required to trade in

Derivatives.

Assets Under Management:

UTIAMC presently manages a corpus of over Rs.78, 617 Crores* as

on 31st May 2010. UTI Mutual Fund has a track record of managing a

variety of schemes catering to the needs of every class of citizens. It has a

nationwide network consisting 143 UTI Financial Centres (UFCs) and UTI

International offices in London, Dubai and Bahrain.

(Source: http://www.amfiindia.com/)

Mutual Fund- An Introduction

Page 16

Securities Exchange Board of India (SEBI) is the regulatory body for all the

mutual funds. All the mutual funds must get registered with SEBI.

A mutual fund is a professionally managed type of collective investment

scheme that pools money from many investors and invests it

in stocks, bonds, short-term money market instruments, and/or

other securities. The mutual fund will have a fund

manager that trades the pooled money on a regular basis. The net

proceeds or losses are then typically distributed to the investors annually.

Since 1940, there have been three basic types of investment

companies in the United States: open-end funds, also known in the U.S.

as mutual funds; unit investment trusts (UITs); and closed-end funds.

Similar funds also operate in Canada. However, in the rest of the

world, mutual fund is used as a generic term for various types of

collective investment vehicles, such as unit trusts, open-ended

investment companies (OEICs), unitized insurance funds, and

undertakings for collective investments in transferable securities (UCITS).

A mutual fund may be either an open-end or a closed-end fund.

An open-end mutual fund does not have a set number of shares; it may be

considered as a fluid capital stock. The number of shares changes as

investors buys or sell their shares. Investors are able to buy and sell their

shares of the company at any time for a market price. However the open-

end market price is influenced greatly by the fund managers. On the other

hand, closed-end mutual fund has a fixed number of shares and the value

of the shares fluctuates with the market. But with close-end funds, the

fund manager has less influence because the price of the underlining

owned securities has greater influence.

Mutual Fund Global Overview

Mutual fund assets worldwide decreased 12.1 percent to $21.66 trillion at

the end of the third quarter of 2008. Net cash flow to all funds was

negative in the third quarter with $218 billion in outflows, the first

Page 17

worldwide outflow recorded since the third quarter of 2002. The decline in

assets reported in U.S. dollars was exacerbated by strengthening of the dollar.

Long-term funds had net outflows of $246 billion in the third quarter, after

registering net inflows of $73 billion in the second quarter. All categories

of long-term funds experienced outflows. Year-to-date, equity funds have

had $254 billion in outflows, bond funds have had $39 billion in outflows,

and balanced/mixed funds have had $24 billion in outflows. Money market

funds experienced net inflows of $28 billion in the third quarter, compared

with outflows of $70 billion in the second quarter of 2008. Year-to-date

money market funds have had $444 billion of net inflows. MFs records Rs.

83081 crore net inflow in FY 2009-10.

Investment Philosophy

UTI Mutual Fund’s investment philosophy is to deliver consistent and

stable returns in the medium to long term with a fairly lower volatility of

fund returns compared to the broad market. It believes in having a

balanced and well-diversified portfolio for all the funds and a rigorous in-

house research based approach to all its investments. It is committed to

adopt and maintain good fund management practices and a process

based investment management.

UTI Mutual Fund follows an investment approach of giving as equal an

importance to asset allocation and sartorial allocation, as is given to

security selection while managing any fund. It combines top-down and

bottom-up approaches to enable the portfolios/funds to adapt to different

market conditions so as to prevent missing an investment opportunity.

Corporate Profile:

UTI Mutual Fund has a track record of managing a variety of schemes

catering to the needs of every class of citizens. It has a nationwide

Page 18

network consisting 114 UTI Financial Centers (UFCs) and UTI International

offices in London, Dubai and Bahrain. With a view to reach to common

investors at district level, 1 satellite office has also been opened.

UTIAMC has a well-qualified, professional fund management team, which

has been fully empowered to manage funds with greater efficiency and

accountability in the sole interest of the unit holders. The fund managers

are ably supported by a strong in-house securities research department.

To ensure investors’ interests, a risk management department is also in

operation.

Benefits of investing in Mutual Funds:

There are several benefits from investing in a Mutual Fund:

Small investments: Mutual funds help you to reap the benefit of

returns by a portfolio spread across a wide spectrum of companies

with small investments.

Professional Fund Management: Professionals having

considerable expertise, experience and resources manage the pool

of money collected by a mutual fund. They thoroughly analyse the

markets and economy to pick good investment opportunities.

Spreading Risk: An investor with limited funds might be able to

invest in only one or two stocks/bonds, thus increasing his or her

risk. However, a mutual fund will spread its risk by investing a

number of sound stocks or bonds. A fund normally invests in

Page 19

companies across a wide range of industries, so the risk is

diversified.

Transparency: Mutual Funds regularly provide investors with

information on the value of their investments. Mutual Funds also

provide complete portfolio disclosure of the investments made by

various schemes and also the proportion invested in each asset

type.

Choice: The large amount of Mutual Funds offer the investor a wide

variety to choose from. An investor can pick up a scheme depending

upon his risk/ return profile.

Regulations: All the mutual funds are registered with SEBI and

they function within the provisions of strict regulation designed to

protect the interests of the investor.

Flexibility: Through features such as Systematic Investment Plans

(SIP), Systematic Withdrawal Plans (SWP) and dividend reinvestment

plans, you can systematically invest or withdraw funds according to

your needs and convenience.

Return Potential: Over a medium to long term, Mutual Funds

have the potential to provide a higher return as they invest in a

diversified basket of selected securities.

Diversification: Mutual Funds invest in a number of companies

across a broad cross section of industries and sectors. This

diversification reduces the risk because seldom do all stocks decline

at the same time and in the same proportion. You achieve this

diversification through a Mutual Fund with far less money than you

can do on your own.

Page 20

Limitation of Mutual Fund:

Entry and exit costs: Mutual Funds are a victim of their own

success. When a large body like a fund invests in shares, the

concentrated buying or selling often results in adverse price

movements i.e. at the time of buying, the fund ends up paying a

higher price and while selling it realizes a lower price. For obvious

reasons, this problem is even more severe for funds investing in

small capitalization stocks. However, given the large size of the

debt market, excluding UTI, most debt funds do not face this

problem.

Waiting time before investment: It takes time for a Mutual Fund

to invest money. Since it is difficult to invest all funds in one day,

there is dome money waiting to be invested. Further, there may be

a time lag before investment opportunities are identified. This

ensures that the fund under performs the index. For open-ended

funds, there is the added problem of perpetually keeping some

money in liquid assets to meet redemption. The problem of

impracticability of quick investments is likely to be reduced to some

extent with the introduction of index futures.

Fund management costs: The costs of the fund management

process are deducted from the fund. This includes marketing and

initial costs deducted at the time of entry itself, called “load”. Then

there is the annual asset management fee and expenses, together

called the expense ratio. Usually, the former is not counted while

measuring performance, while the later is. A standard 2% expense

Page 21

ratio means that, everything else being equal, the Fund manager

under performs the benchmark index by an equal amount.

Cost of churning: The portfolio of a fund does not remain

constant. The extent to which the portfolio changes is a function of

the style of the individual fund manager. It is also dependent on the

volatility of the fund size i.e. whether the fund constantly receives

fresh subscriptions and redemption. Such portfolio changes have

associated costs of brokerage, custody fees, and registration fees

etc. that lowers the portfolio return commensurately.

Change of index composition: The indices keep changing over

the world to reflect changing market conditions. There is an

inherent survivorship bias in this process, with the bad stocks

weeded out and replaced by emerging blue chips. This is a severe

problem in India with the Sensex having been changes twice in the

last five years, with each change being quite substantial. Another

reasons for change index composition is Mergers & Acquisitions. The

weight age of the shares of a particular company in the index

changes if it acquires a large company not a part of the index.

Rights of Unit holders:

As a unitholder in a Mutual Fund scheme coming under the SEBI (Mutual

Funds) Regulations, you are entitled to:

Receive unit certificates or statements of accounts confirming your

title within 30 days from the date of closure of the subscription

under open-ended schemes or within 6 weeks from the date your

request for a unit certificate is received by the Mutual Fund.

Page 22

Receive information about the investment policies, investment

objectives, financial position and general affairs of the scheme.

Receive dividend within 30 days of their declaration and receive the

redemption or repurchase proceeds within 10 working days from the

date of redemption or repurchase.

Vote in accordance with the Regulations to:

Change the Asset Management Company.

Wind up the schemes.

Receive communication from the Trustees about change in the

fundamental attributes of any scheme or any other changes which

would modify the scheme and affect the interest of the unitholders

and to have option to exit at prevailing Net Asset Value without any

exit load in such cases.

Inspect the documents of the Mutual Funds specified in the

scheme’s offer document.

In addition to your rights, you can expect the following from Mutual Funds:

To publish their NAV, in accordance with the regulations: daily, in

case of open-ended schemes and once a week, in case of close-

ended schemes.

To disclose your schemes’ entire portfolio twice a year, unaudited

financial results half yearly and audited annual accounts once a

year. In addition many mutual funds send out newsletters

periodically.

To adhere to a Code of Ethics which require that investment

decisions are taken in the best interest of the unitholders.

Page 23

Sponsors

Unit Holders

Transfer Agent

AMC

SEBI

Trustees

Mutual Fund

Organizational Structure of Mutual Fund Industry:

Mutual fund is set up in the form of a trust, which has sponsor, trustees,

Asset Management Company (AMC) and a custodian.

The trust is established by a sponsor or more than one sponsor who is like

a promoter of a company. A mutual fund in India is constituted in the form

of a public Trust created under the Indian Trusts Act, 1882. The sponsor

forms the Trust and registers it with SEBI. The fund sponsor acts as the

settler of the Trust, contributing to its initial capital and appoints a trustee

to hold the assets of the Trust for the benefit of the unit – holders, who are

the beneficiaries of the Trust. The fund then invites investors to contribute

Custodian

Page 24

their money in the common pool, by subscribing to ‘units’ issued by

various schemes established by the Trust as evidence of their beneficial

interest in the fund. Thus, a mutual fund is just a ‘pass through’ vehicle.

Most of the funds in India are managed by the Board of Trustees, which is

an independent body and acts as protector of the unit – holders interests.

At least, 50 per cent of the trustees shall be independent trustees (who

are not associated with an associate, subsidiary, or sponsor in any

manner). The trustees shall be accountable for and be the custodian of

funds/property of respective scheme.

The trustees of the mutual fund hold its property for the benefit of the

unit-holders. The AMC, approved by SEBI, manages the funds by making

investments in various types of securities.

The 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.

The sponsor is required, under the provisions of the Mutual Fund

Regulations, to have a sound track record, a reputation of fairness and

integrity in all his business transactions. Additionally, the sponsor should

contribute at least 40% to the net worth of the AMC. However, if any

person holds 40% or more of the net worth of an AMC shall be deemed to

be a sponsor and will be required to fulfil the eligibility criteria specified in

the Mutual Fund Regulations. The sponsor or any of its directors or the

principal officer employed by the mutual fund should not be guilty of

fraud, not be convicted of an offence involving moral turpitude or should

have not been found guilty of any economic offence.

Page 25

Awards

UTI MF CNBC Award 2009.

UTI Mutual Fund sweeps ICRA mutual fund Award 2009.

UTI MF wins the Best Debt Fund House Award.

Golden Peacock Innovative Product/Service Award-2008.

Loyalty Awards – 2009.

Lipper Fund Awards09-UTI Mahila Unit-5 yrs.

Lipper Fund Awards09-UTI Mahila Unit-3 yrs.

Reader’s Digest Trusted Brand 2008.

Lipper Fund Awards - Gulf 2008.

Top Performing Infrastructure Fund - Income.

Brand loyalty Awards 2008.

Four ICRA 7 Star Gold Award.

Four ICRA 5 Star Award.

ICRA Mutual Fund Award 2007.

Lipper Fund Awards 2007.

CRISIL-CNBC-TV18-Mutual Fund of the year Award 2007.

Page 26

ICRA Mutual Fund Award 2006.

Lipper Fund Awards.

CNBC-TV18-BNP Par-ibas Mutual Fund of the year Award 2006.

CNBC-TV18-BNP Par-ibas Mutual Fund of the year Award 2004

ICRA online Mutual Fund Award: UTI NIFTY INDEX FUND won the award

for the year 2004.

CNBC India Mutual Fund of the Year Award 2003.

UTI Nifty Index Fund wins Gold at ICRA Online 2005.

UTI Dynamic Equity Fund wins Silver at ICRA Online 2005.

UTI Growth Value Fund has been ranked by CRISIL 2004.

What are the different investment plans that Mutual

Funds offer?

The term ’investment plans’ generally refers to the services that the funds

provide to investors offering different ways to invest or reinvest. The

different investment plans are an important consideration in the

investment decision, because they determine the flexibility available to

the investor.

Some of the investment plans offered by mutual funds in India are:

Growth Plan and Dividend Plan

A growth plan is a plan under a scheme wherein the returns from

investments are reinvested and very few income distributions, if any, are

made. The investor thus only realizes capital appreciation on the

Page 27

investment. Under the dividend plan, income is distributed from time to

time. This plan is ideal to those investors requiring regular income.

Dividend Reinvestment Plan

Dividend plans of schemes carry an additional option for reinvestment of

income distribution. This is referred to as the dividend reinvestment plan.

Under this plan, dividends declared by a fund are reinvested in the

scheme on behalf of the investor, thus increasing the number of units held

by the investors.

Types of Mutual Fund:

The objectives of Mutual Funds are to provide continues liquidity and

higher yields with high degree of safety to investor. Based on these

objectives, different types of Mutual Fund schemes have evolved.

Open Ended Schemes:

Open-ended schemes do not have a fixed maturity period. Investors can

buy or sell units at NAV-related prices from and to the mutual fund on any

business day. These schemes have unlimited capitalization, open-ended

schemes do not have a fixed maturity, there is no cap on the amount

investors can buy from the fund and the unit capital can keep growing.

These funds are not generally listed on any exchange.

Open-ended schemes are preferred for their liquidity. Such funds can

issue and redeem units any time during the life of a scheme. Hence, unit

capital of open-ended funds can fluctuate on a daily basis.

The advantages of open-ended funds over close-ended are as follows:

Any time exit option, the issuing company directly takes the responsibility

of providing an entry and an exit. This provides ready liquidity to the

Page 28

investors and avoids reliance on transfer deeds, signature verifications

and bad deliveries. Any time entry option, an open-ended fund allows one

to enter the fund at any time and even to invest at regular intervals.

Close Ended Schemes:

Close-ended schemes have fixed maturity periods. Investors can buy into

these funds during the period when these funds are open in the initial

issue. After that such scheme cannot issue new units except in case of

bonus or rights issue. However, after the initial issue, investors can buy or

sell units of the scheme on the stock exchanges where they are listed.

The market price of the units could vary from the NAV of the scheme due

to demand and supply factors, investors’ expectations and other market

factors.

Interval Scheme:

Interval Scheme combines the features of open-ended and close-ended

schemes. They are open for sale or redemption during predetermined

intervals at NAV-related prices.

Portfolio Classification:

Income/ Debt Funds

These funds are low risk-low return funds, where in the investments are

made in income bearing instruments such as bonds, debentures,

government securities, commercial papers etc. The share prices of these

funds tend to be more stable in value and are best suitable for regular

income investment goals, provided minimum investment period is more

Page 29

than one year. The leading examples are monthly income funds of UTI,

Prudential ICICI Income Plan, JM Income, Alliance Liquid Fund etc.

Growth/Equity Funds

These funds are high risk-high return funds, wherein major chunk of

investment goes in equity shares of companies. The NAV of such funds

keep fluctuating, but the potential to earn in such funds is higher provided

they are invested with long-term (more than 5 years) financial goals. The

leading examples of such funds are, Kothari Pioneer Prima Fund,

Prudential ICICI Equity Fund, Birla Sun Life Fund, etc.

Balanced Funds

These funds invest in both, equity shares and income bearing

instruments. The idea is to reduce volatility of fund, while providing some

upside for capital appreciation. In all, it is a combination of income and

growth funds more return – more risk than income funds and less return –

less risk than growth funds. They are best suited for people looking for a

combination for capital appreciation and regular income and best time –

span for such investments is more than 3 years. The examples are

PRUICICI Balanced Fund, IDBI-PRINCIPAL Balanced Fund, and IDBI-

PRINCIPAL Child Benefit Fund etc.

Money Market Mutual Funds

These funds invest in highly liquid instruments such as certificate of

deposits and short-term bonds. They have emerged as an alternative for

savings and short-term fixed deposit accounts. They are best suited for

capital preservation investment objectives, where time-span is least.

Page 30

Geographical Classification

Domestic Funds

Funds which mobilize resources from a particular geographical locality like

a country or region are domestic funds. The market is limited and

confined to the boundaries of a nation in which the fund operates. They

can invest only in the securities which are issued and traded in the

domestic financial markets.

OTHER CLASSIFICATION

Sector Funds

Sector funds primarily invest in companies of a particular sector/ industry

such as information technology, pharmaceuticals, FMCGs etc. These

types of funds are subject to more risk as the performance of funds

depends on the performance of the industry as a whole and also because

the diversification of risk is reduced. Also with the new rule of

government not allowing investing more than 10% in a particular

company, is a big problem as the number of companies are not very large

and at the same time all of them are not very successful. It is best suited

to people willing to take high risk.

Tax Saving Funds (ELSS)

Page 31

These funds offer tax rebate to the investor along wit capital growth and

steady returns. An Equity United Savings Scheme is available wherein

investments are made primarily in stocks. The investment can be made

any time, but it gets lock-in for a period of 3 years and in return tax rebate

@ 20% is obtained if investments exceed Rs.1, 00,000. Another such

scheme is pension scheme, wherein tax rebate @ 20% can be obtained

for investment up to Rs.60, 000.

Special Funds

Special purpose funds are those funds that target a specific customer

segments, such as children, women, retired people etc. Making their fund

oriented towards the need of the group they are targeting.

Gilt Funds

These funds are sort of government funds wherein the investments are

made in debt instruments of the government, which carry no risk of non-

payment of interest as the RBI manages the payment of interest and

principal on the instruments. These funds are best suited to the regular

income and long-term investment objectives. The time-span matters a lot

as there are chances of price volatility, which may lead to possibility of

loss of principal invested, if invested for short-term. Examples are

PRUICICI Gilt Fund, IDBI-PRINCIPAL Government Securities Fund etc.

Index Funds

Index funds invest only in stocks of a particular index such as BSE, S&P

CNX 500 etc. The principle is to duplicate performance of these widely

followed indexes while keeping trading and other costs to a minimum.

The returns in case of such funds depend on the index’s performance. It

is best suited to the investors who are satisfied with the returns of an

index.

Page 32

Products of UTI AMC

Equity Fund Category

Diversified Funds

UTI Master Share: An equity fund aiming to provide benefit of capital

appreciation and income distribution through investing in equity.

UTI Master Plus Unit Scheme: Capital appreciation through

investments in equities and equity related instruments, convertible

debentures, derivate in India and also in overseas markets.

UTI Equity Fund: It is open ended equity scheme with an objective of

investing at least 80% of its funds in equity and equity related instrument

with medium to high risk profile and upto 20% in debt and money market

instruments with low to medium risk profile.

UTI Contra Fund: To provide long term capital appreciation/ dividend

distribution through investments in listed equities & equity related

instruments. The fund offers an impact of non-rational investors that are

currently undervalued because of emotional & behavioural patterns

present in the stock market.

UTI Wealth Builder: The objective of the scheme is to achieve long

term investing predominantly in a diversified portfolio of equity related

instruments.

UTI Top 100: The fund aims to provide long term capital appreciation/

dividend predominantly in equity and equity related instruments of top

100 by market capitalisation.

Page 33

Speciality/ Theme Based Fund

UTI Infrastructure Fund: An open-ended equity fund with the objective

to provide capital appreciation through investing in the stocks of the

companies engaged in the sectors like Metals, Building materials, oil and

gas, power, chemicals, engineering etc. The fund will invest in the stocks

of the companies which from part of infrastructure industries.

UTI Dividend Yield Fund: An open-ended equity scheme. It aims to

provide medium to long term capital gains and/or dividend distribution by

investing predominantly in equity and equity related instruments, which

offer high dividend yield.

UTI Services Industries Fund: An open-ended fund which invests in

the equities of the services sector companies of the country. One of the

growth sector fund aiming to provide growth of capital over a period of

time as well as to make income distribution by investing the funds in

stocks of companies engaged in service sector such as banking, finance,

insurances, education, training, telecom, travel, entertainment etc.

UTI Master Value Fund: An open ended equity fund investing in stocks

which are currently undervalued to their future earning potential and

carry medium risk profile to provide Capital appreciation.

UTI Mid Cap Fund: An open ended fund with the objective to provide

‘Capital Appreciation’ by investing primarily in mid cap stocks.

UTI Leadership Equity Fund: The scheme seeks to generate capital

appreciation and/ or income distribution by investing the funds in stocks

that are ‘Leader” in their respective industries/ sectors/ sub sectors.

UTI MNC Fund: The investments of funds under the scheme will be

predominantly in stocks of multinational corporations and other Liquid

stocks.

UTI Opportunities Fund: The scheme seeks to generate capital

appreciation and/ or income distribution by investing the funds of the

Page 34

scheme in the equity shares and equity related instruments. The focus of

the scheme is to capitalise on opportunities arising in the market by

responding to the dynamically changing Indian economy by moving its

investments amongst different sectors as prevailing trends change.

UTI Wealth Builder Fund Ser- II: To achieve long term capital

appreciation by investing predominantly in a diversified portfolio of equity

and equity related instruments along with investments in GOLD ETF’s and

Debt and Money Market Instruments.

Sector Funds: These funds invest primarily in equity shares of

companies in a particular business sector or industry. These

funds are targeted at investors who are bullish or fancy the

prospects of a particular sector.

UTI Banking Sector Fund: open ended fund with the objective to

provide ‘Capital Appreciation through investment in stocks of companies/

institutions engaged in the banking and financial services activities.

UTI Energy Fund: Investment will be made in stocks of these companies

engaged in the following areas: .(a) Petro sector, (b) Power Generation

Companies, (c) Energy Storage Companies, (d) Companies which makes

parts for energy generation, (e) Consulting and Finance Companies.

UTI Pharma and Health Care Fund: An open-ended fund which

exclusively invest in the equities of the Pharma and Healthcare sector

companies.

UTI Transportation and Logistics Fund: An open-ended Equity fund

with the objective to provide Capital appreciation through investment in

the stocks of the companies engaged in the Transportation and Logistics

sector.

Page 35

Tax Planning Funds

UTI Equity Tax Saving Plan: An open ended fund investing a minimum

of 80% in equity and related instruments. It aims at enabling members to

avail tax rebate under section 80C of the IT act and provide them with the

benefit of growth.

UTI Spread Fund: The investment objective of the scheme is to provide

capital appreciation and dividend distribution through arbitrage

opportunities arising out of price differences between the cash and

derivative market by investing predominantly in equity and related

securities, derivatives and the balance portion in debt securities.

2. Index Fund Category: These funds invest in the same pattern as

popular market indices like S&P CNX Nifty or CNX Midcap 200. The

money collected from the investors is invested only in the stocks,

which represent the index.

UTI Master Index Fund: The principle investment objective of the

scheme is to invest in securities of companies comprising the SENSEX and

endeavour to achieve return equivalent to SENSEX by passive investment.

UTI Nifty Index Fund: The principle investment objective of the scheme

is to invest in stock of companies comprising the Nifty and endeavour to

achieve return equivalent to Nifty by passive investment.

UTI Sunder: Investment objective of the fund is to endeavour to provide

returns that, before expenses, closely track the performance and yield of

basket of securities underlying S&P CNX Nifty Index.

3. Asset Fund Category

Page 36

UTI Variable Investment Scheme: This is an open-ended scheme

aiming to make dividend distribution periodically. The scheme will, as part

of the investment objective take a contrarian outlook on the equities.

4. Balanced Fund Category: These funds invest both in equity

shares and fixed-income-bearing instruments (debt) in some

proportion. They provide a steady return and reduce the volatility of

the fund while providing some upside for capital appreciation. They

are ideal for medium to long-term investors who are willing to take

moderate risks.

UTI Balanced Fund: The scheme aims to invest in a portfolio of

equity/equity related securities and fixed income securities with a view to

generating regular income together with capital appreciation.

UTI Unit linked Insurance Plan: Investment objectives of the scheme

are primarily to provide return through growth inters NAV or through

dividend distribution and reinvestment thereof.

UTI CRTS: Investment objectives of the scheme are the primarily provide

regular income to unit holders of the scheme.

UTI Children Career Balanced Plan: Funds collected under the plan will

be invested in equities, convertible and nonconvertible debentures/ bonds

of companies/ corporates etc. and others capital and money market

instrument subject to the condition that (1) non less than 60% of the

funds will be invested in debt instruments of law to medium profile having

a rating of A+ and above or equivalent at the time of investment and (2)

not more than 40% of the funds in equities and related instruments.

UTI Retirement Benefit Pension Plan: Investment objective and

policies of the scheme are primarily to provide pension in the form of

periodical income / cash flow to the unit holders to the extent of

redemption value of their holding after they complete 58 years of age.

Page 37

UTI Mahila Unit Scheme: Investment objectives of the scheme is to

invest in portfolio of equity/ equity related securities and debt and money

market instrument with a view to generating reasonable income with

moderate capital appreciation.

UTI CCP Advantage Fund: Equity and related instruments minimum-

70% to 100%, debt and money market instruments including securitized

debt* minimum- 0% to maximum 30%* investment in securitized debt will

not normally exceed 20% of the net assets of the scheme.

UTI Monthly Income Scheme: An open-ended debt oriented scheme

with no assured returns. The scheme aims at distributing income, if any,

periodically.

UTI MIS Advantage Plan: The investment objective of the scheme is to

generate regular income through investment in fixed income securities

and capital appreciation/ dividend income through investment of a portion

of a net asset of the scheme in equity and related instruments so as to

endeavour to make periodic income distribution to unit holders.

5. Income Fund Category: These funds invest predominantly in

high-rated fixed-income-bearing instruments like bonds,

debentures, government securities, commercial paper and other

money market instruments. They are best suited for the medium to

long-term investors who are averse to risk and seek capital

preservation. They provide a regular income to the investor.

UTI Bond Fund: The scheme will retain the flexibility to invest in the

entire range of debt and money market instruments. The flexibility is

being retained to adjust the portfolio in response to a change in the risk to

return equation for asset classes under investment, with a view to

maintain risks within manageable risks limits.

Page 38

UTI Treasury Advantage Fund: The scheme will endeavour to generate

an attractive return for its investors consistent with capital preservation

and liquidity by investing in a portfolio of quality debt securities, money

market instruments and structured obligations.

UTI G-Sec Investment Plan- STP: The investment objective of the

scheme is to generate credit risk- free return by way of income or growth

by investing in central Government securities, treasury bills, call money

and repos.

UTI Gilt Advantage Fund: To generate credit risk-free return through

investment in sovereign securities issued by the central Government

and/or a State Government and/or any security unconditionally

guaranteed by the central Government and/or a State government for

repayment of principle and interest.

UTI Short Term Income Fund: To Generate Steady and Reasonable

income, with low risk and high level of liquidity from a portfolio of money

market securities and high quality debt.

UTI Floating Rate Fund: The investment objective of the scheme is to

generate regular income though investment in a portfolio comprising

substantially a floating rate debt/ money market instruments, fixed rate

debt/ money market instrument swapped for floating rate returns.

UTI G-Sec STP: The investment objective of the scheme is to generate

credit risk-free return by way of income or growth by investing in Central

Government securities, treasury bills, call money and repos.

6. Liquid Fund Category: These funds invest in highly liquid money

market instruments. The period of investment could be as short as a

day. They provide easy liquidity. They have emerged as an

alternative for savings and short-term fixed deposit accounts with

comparatively higher returns. These funds are ideal for corporate,

institutional investors and business houses that invest their funds

for very short periods.

Page 39

UTI Money Market Fund: To provide highest possible current income

consistent with preservation of capital and providing liquidity from

investing in a diversified portfolio of short term money market securities.

UTI Liquid Fund Cash Plan: The investment objective of the scheme is

to generate steady and reasonable income, with low risk and high level of

liquidity from a portfolio of money market securities and high quality debt.

SIP (Systematic Investment Plan):

SIP is an investment program that allows you to contribute a fixed amount

(as low as Rs.1000) in mutual funds at regular intervals.

Page 40

Build your future:   To meet largest expenses of your life like marriages,

education or a house you need to start investing early. Save a small

amount every month/quarter and look forward to a bright future.  

Relax and accumulate wealth:   With SIP you don’t require investing a

huge sum of money and start with an amount as little as Rs. 500. You can

accumulate wealth over long-term.  

Reduce risk:   For efficient participation in this highly volatile market, SIP

helps you average out your cost by generating superior returns in the long

run. It reduces risk associated with lump sum investments.  

Enjoy the ease:   Set yourself free from cumbersome paperwork. Just

identify the amount and scheme you wish to invest in and then choose

from options like Auto Debit/ECS. The amount will automatically get

debited on a date of your choice. You can also give monthly/quarterly

post-dated cheques for the amount you wish to invest.

SIP Returns of two months:

SIP return for April:

Page 41

1 yr. 3 yr 5 yr

Scheme NameInvestment

Amount12000 36000 60000

Diversified

UTI Opportunities

Fund

Investment

Value14588 51520

Yield (%) 42.39% 24.73%

UTI Master Value

Fund

Investment

Value16638 54361 97546

Yield (%) 78.85% 28.70% 19.52%

UTI Midcap Fund

Investment

Value16534 52034 89318

Yield (%) 76.96% 25.46% 15.92%

UTI Dividend Yield

Fund

Investment

Value15328 53049

Yield (%) 55.30% 26.88%

UTI Equity Fund

Investment

Value14769 49079 93720

Yield (%) 45.52% 21.21% 17.88%

Service Industries

Fund

Investment

Value15168 45332 82462

Yield (%) 52.47% 15.56% 12.68%

UTI Leadership

Fund

Investment

Value14140 43300

Yield (%) 34.75% 12.37%

UTI Mastershare

Investment

Value14469 46395 90491

Yield (%) 40.36% 17.20% 16.45%

UTI Infrastructure

Fund

Investment

Value13950 42673 88421

Yield (%) 31.54% 11.37% 15.51%

Sectoral Fund

UTI Banking Investment 15596 53929 108710

Page 42

Sector FundValue

Yield (%) 60.03% 28.10% 24.00%

UTI Transportation

& Logistics Fund

Investment

Value16556 58119 93374

Yield (%) 77.35% 33.73% 17.73%

UTI MNC Fund

Investment

Value15436 51582 93414

Yield (%) 57.20% 24.82% 17.75%

SIP returns are worked out assuming investment of Rs. 1000/- every

month at NAV per unit of the scheme as on the first working day of the

respective time periods. The loads have not been taken into account.

SIP returns for May:

    1 yr. 3 yr 5 yr

Scheme NameInvestment

Amount12000 36000 60000

Diversified

UTI Opportunities

Fund

Investment

Value13946 51423  

Yield (%) 31.72% 24.66%  

Page 43

UTI Master Value

Fund

Investment

Value16213 56670 101637

Yield (%) 71.75% 31.90% 21.25%

UTI Midcap Fund

Investment

Value15895 53754 91975

Yield (%) 65.96% 27.93% 17.14%

UTI Dividend Yield

Fund

Investment

Value14728 53133  

Yield (%) 45.18% 27.07%  

UTI Equity Fund

Investment

Value14039 48769 92815

Yield (%) 33.30% 20.81% 17.51%

Service Industries

Fund

Investment

Value14554 46317 83578

Yield (%) 42.15% 17.12% 13.24%

UTI Leadership Fund

Investment

Value13441 43011  

Yield (%) 23.25% 11.94%  

UTI Mastershare

Investment

Value13764 45881 89165

Yield (%) 28.65% 16.45% 15.87%

UTI Infrastructure

Fund

Investment

Value13230 42070 86217

Yield (%) 19.74% 10.42% 14.50%

Sectoral Fund

UTI Banking Sector

Fund

Investment

Value15222 55771 112542

Yield (%) 53.88% 30.69% 25.49%

UTI Transportation &

Logistics Fund

Investment

Value15834 59642 95606

Yield (%) 64.84% 35.81% 18.73%

UTI MNC Fund Investment

Value

148981 52325 94456

Page 44

Yield (%) 49.63% 25.94% 18.23%

SIP returns are worked out assuming investment of Rs. 1000/- every

month at NAV per unit of the scheme as on the first working day of the

respective time periods. The loads have not been taken into account.

(Reference: From the Factsheet by UTI)

Page 45

Key terms:

NAV: NAV or Net Asset Value of the fund is the cumulative market value

of the assets of the fund net of its liabilities. NAV per unit is simply the net

value of assets divided by the number of units outstanding. Buying and

selling into funds is done on the basis of NAV-related prices.

The NAV of a mutual fund are required to be published in newspapers. The

NAV of an open end scheme should be disclosed on a daily basis and the

NAV of a close end scheme should be disclosed at least on a weekly basis.

Exit/Entry load: Is a charge collected by a scheme when it sells the units

is exit load. Is a charge collected by a scheme when it buys back the units

from the unit holders is entry load

Open/Close Ended: Whenever investor invest in any open ended

scheme then he can make entry and exit at any time but in close ended

scheme he can exit at the time of maturity.

Sales Price: Is the price you pay when you invest in a scheme, also

called Offer Price. It may include a sales load.

Re-purchase Price: Is the price at which units under open-ended

schemes are repurchased by the Mutual Fund. Such prices are NAV

related.

Page 46

Area of Study:

There are so many schemes were introduced by UTI AMC, due to

time constraints we have only focused on following schemes.

Equity Funds Category

Features Master

Share

Top 100 Fund Dividend

Yield Fund

Master

Value Fund

Objective An equity

fund aiming

to provide

benefit of

capital

appreciation

and income

distribution

through

investing in

equity.

The fund aims

to provide long

term capital

appreciation/

dividend

predominantly

in equity and

equity related

instruments of

top 100 by

market

capitalisation.

An open-ended

equity scheme.

It aims to

provide

medium to long

term capital

gains and/or

dividend

distribution by

investing

predominantly

in equity and

equity related

instruments,

which offer

high dividend

yield.

An open

ended equity

fund investing

in stocks

which are

currently

undervalued

to their future

earning

potential and

carry medium

risk profile to

provide

Capital

appreciation.

Asset

allocation

Equity

Minimum

70% and

Debt

maximum

30%

Equity

Minimum 65%

and Debt

maximum 35%

Equity

Minimum 65%

and Debt

maximum 35%

100% in

equity

Min. invest

Amt.

Rs. 5000/- Rs. 5000/- Rs. 5000/- Rs. 5000/-

Page 47

Exit Load Within year

1% after that

Nil

Within year 1%

after that Nil

Within year 1%

after that Nil

Within year

1% after that

Nil

Plans/

Options

Dividend

Growth

Dividend

Growth

Dividend

Growth

Dividend

Growth

SIP Yes Yes Yes Yes

SWP

Trigger Yes Yes Yes Yes

Fund Size

(Rs. In Cr)

2,275 804 1,794 420

Expense

Ratio

1.81% 2.33% 2.09% 1.63%

Equity Funds Category

Features Mid Cap

Fund

Opportunity

Fund

Wealth

Builder Fund

Ser. 2

Banking

Sector Fund

Objective An open

ended fund

with the

objective to

provide

‘Capital

Appreciation

’ by

investing

primarily in

mid caps

stocks.

The scheme

seeks to

generate

capital

appreciation

and/ or income

distribution by

investing the

funds of the

scheme in the

equity shares

and equity

related

instruments.

The focus of

the scheme is

to capitalise on

To achieve long

term capital

appreciation by

investing

predominantly

in a diversified

portfolio of

equity and

equity related

instruments

along with

investments in

GOLD ETF’s and

Debt and

Money Market

Instruments.

An open

ended fund

with the

objective to

provide

‘Capital

Appreciation

through

investment in

stocks of

companies/

institutions

engaged in

the banking

and financial

services

Page 48

opportunities

arising in the

market by

responding to

the

dynamically

changing

Indian

economy by

moving its

investments

amongst

different

sectors as

prevailing

trends change.

activities.

Asset

allocation

Equity

Minimum

90% and

Debt

maximum

10%

Equity

Minimum 90%

and Debt

maximum 10%

Equity 65% and

Debt 35% or

Gold ETF 35%

90% Equity

Min. invest

Amt.

Rs. 5000/- Rs. 5000/- Rs. 5000/- Rs. 5000/-

Exit Load Within year

1% after

that Nil

Within year 1%

after that Nil

Within year 1%

after that Nil

Within year

1% after that

Nil

Plans/

Options

Dividend

Growth

Dividend

Growth

Dividend

Growth

Dividend

Growth

SIP Yes Yes Yes Yes

SWP

Trigger Yes Yes Yes Yes

Fund Size 307 1,293 501 123

Page 49

(Rs. In Cr)

Expense

Ratio

2.40% 2.32% 2.37% 2.50%

Balanced Funds Category

Features CCP

Advantage

Fund

Children

Career

Balanced

Plan

Unit Linked

Insurance Plan

(ULIP)

Retirement

Benefit

Pension

Fund

Objective Equity and

related

instruments

minimum-

70% to

100%, debt

and money

market

instruments

including

securitized

debt*

minimum-

0% to

maximum

30%*

investment

in

securitized

debt will

not

Funds

collected under

the plan will be

invested in

equities,

convertible and

nonconvertible

debentures/

bonds of

companies/

corporates etc.

and others

capital and

money market

instrument

subject to the

condition that

(1) non less

than 60% of

the funds will

be invested in

Investment

objectives of the

scheme are

primarily to

provide return

through growth

inters NAV or

through

dividend

distribution and

reinvestment

thereof.

Investment

objective and

policies of the

scheme are

primarily to

provide

pension in the

form of

periodical

income / cash

flow to the

unit holders to

the extent of

redemption

value of their

holding after

they complete

58 years of

age.

Page 50

normally

exceed 20%

of the net

assets of

the scheme.

debt

instruments of

law to medium

profile having a

rating of A+

and above or

equivalent at

the time of

investment

and (2) not

more than 40%

of the funds in

equities and

related

instruments.

Asset

allocation

Equity

Minimum

70% and

Debt

maximum

30%

Equity

Minimum 40%

and Debt

maximum 60%

Equity Minimum

40% and Debt

maximum 60%

Not more than

40% in Equity

Min. invest

Amt.

Rs. 1000/- Rs. 1000/- Target amount

enhance to

15,00,000/- and

min 15000/-

Rs. 500/- to

gain Rs.

10000/-

Exit Load 4% < 1yr

3% >= 1yr

& < 3yr

1% >= 3yr

& < 5yr

3% < 2yr

2% >= 2yr & <

4yr

1% >= 4yr & <

5yr

2% for

premature

withdrawal

5% < 1yr

3% >= 1yr &

< 3yr

1% >= 3yr &

< 5yr

Plans/

Options

Income

Growth

Scholarship

Growth

10yr Plan/ 15yr

Plan

SIP Yes Yes Yes Yes

Page 51

SWP Yes

Trigger

Fund Size

(Rs. In Cr)

45.31 2,729.53 2,915.45 610.39

Expense

Ratio

1.40% 1.64% 1.65% 1.47%

Income Funds Category

Features Short Tern

Income Fund

Treasury Advantage

Fund

Floating Rate

Fund

Objective To Generate Steady

and Reasonable

income, with low

risk and high level

of liquidity from a

portfolio of money

market securities

and high quality

debt.

The scheme will

endeavour to

generate an attractive

return for its investors

consistent with capital

preservation and

liquidity by investing

in a portfolio of quality

debt securities, money

market instruments

and structured

obligations.

The investment

objective of the

scheme is to

generate regular

income though

investment in a

portfolio

comprising

substantially a

floating rate debt/

money market

instruments, fixed

rate debt/ money

market

instrument

swapped for

floating rate

returns.

Asset

allocation

Equity Minimum

65% and Debt

maximum 35%

100% in Debt Fixed Debt 35%

and Floating Rate

Debt 65 to 100%

Min. invest Rs. 30000/- Rs. 100000/- Rs. 5000/-

Page 52

Amt.

Exit Load 1% redeemed

before 90 day

Nil 0.75% redeemed

within 3 days

Plans/

Options

Income Growth and

STP

LTP and Growth

Dividend Bonus

Dividend Growth

SIP Yes Yes

SWP

Trigger

Fund Size

(Rs. In Cr)

1,371.08 29,129.52 4,965.60

Expense

Ratio

0.26% 0.35% 0.20%

Liquid Funds Category

Features Money Market Fund Liquid Fund Cash Plan

Objective To provide highest possible

current income consistent

with preservation of capital

and providing liquidity

from investing in a

diversified portfolio of

short term money market

securities.

The investment objective of

the scheme is to generate

steady and reasonable

income, with low risk and

high level of liquidity from a

portfolio of money market

securities and high quality

debt.

Asset allocation 100% debt and money

market

Equity Minimum 65% and

Debt maximum 35%

Min. invest Amt. Rs. 10000/- Cash Plan-

Rs. 1,00,000/-

Exit Load Nil Nil

Plans/Options Dividend Growth Income Growth and CP

SIP

SWP

Page 53

Trigger

Fund Size (Rs. In

Cr)

1,270.95 5,716.92

Expense Ratio 0.20% 0.26%

Page 54

Consumer Buying Behaviour- An Introduction

Consumer is God, Consumer is always right, Consumer is the most

important guest in our premises — these are some of the phrases that

have been in use since the advent of business. Earlier, the market used

to be small and limited to a few manufacturers and consumers, but as it

expanded beyond geographical boundaries, sellers as well as buyers

increased several folds. The free market has led to cutthroat competition

among the manufacturers who are trying to capture as much market

share as possible.

Almost all major companies, whether in telecommunication,

banking, credit card, finance or IT, have realized the importance of

consumer and are therefore trying to retain their loyalty. Organizations

are now, just not only selling product or services, but also expanding their

operations to understand their consumer’s demographic profile, buying

behaviour and preferences in order to build long-lasting relationship.

According to Phillip Kotler,

“Consumer Buying Behaviour refers to the behaviour of ultimate

user of the product”.

“The decision processes and acts of final household consumers

associated with evaluating, buying, consuming, and discarding products

for personal consumption.”

“An analysis of the consumer’s behaviour in terms of consumer

consumption patterns, consumer preferences, consumer motivation,

consumer buying process and shopping behaviour is very much helpful to

formulate a firm’s marketing strategy. “

Page 55

Objectives of studying Consumer Buying Behaviour:

Buyers’ reactions to a firms marketing strategy has a great impact

on the firms’ success.

The marketing concept stresses that a firm should create a

Marketing Mix (MM) that satisfies (gives utility to) customers,

therefore need to analyse the what, where, when and how

consumers buy.

Marketers can better predict how consumers will respond to

marketing strategies.

The study of consumers helps firms and organizations improve their

marketing strategies by understanding issues such as how

The psychology of how consumers think, feel, reason, and

select between different alternatives (e.g., brands, products);

The psychology of how the consumer is influenced by his or

her environment (e.g., culture, family, signs, media);

The behaviour of consumers while shopping or making other

marketing decisions;

Limitations in consumer knowledge or information processing

abilities influence decisions and marketing outcome; 

How consumer motivation and decision strategies differ

between products that differ in their level of importance or

interest that they entail for the consumer; and

How marketers can adapt and improve their marketing

campaigns and marketing strategies to more effectively reach

the consumer.

Understanding these issues helps us adapt our strategies by taking the

consumer into consideration. For example, by understanding that a

number of different messages compete for our potential customers’

attention, we learn that to be effective, advertisements must usually be

repeated extensively. We also learn that consumers will sometimes be

Page 56

persuaded more by logical arguments, but at other times will be

persuaded more by emotional or symbolic appeals. By understanding the

consumer, we will be able to make a more informed decision as to which

strategy to employ.

So the ultimate objective of a business firm is to create a consumer who

is said to be pivot around which the entire business of a firm revolves.

Thus the marketing concept is consumer oriented and the emphasis is

more on the consumer rather than on the product. The essence of

modern marketing lies in building of profit along with creating meaningful

value satisfaction for the costumers, whose needs and desires have to be

coordinated with the set of products and production programmes.

Therefore, marketing success an enterprise depends as its ability to

create a community of satisfied consumers. All the business activities

should be carried out in ways which are directed towards the satisfaction

of the consumer needs.

The marketing concept is consumer oriented and the emphasis is more

on the consumer rather than on the product. The essence of modern

marketing lies in building of profit along with creating meaningful value

satisfaction for the costumers, whose needs and desires have to be

coordinated with the set of products and production programmes.

Therefore, marketing success an enterprise depends as its ability to

create a community of satisfied consumers.

All the business activities should be carried out in ways which are

directed towards the satisfaction of the consumer needs. Consumer

behaviour is affected by a host of variables ranging from personal,

professional needs, attitudes and values, personality characteristics,

social economic and cultural background, age, gender, professional status

to social influences of various kinds exerted a family, friends, colleagues,

and society as a whole. The combination of these factors help the

consumer in decision making further Psychological factors that as

Page 57

individual consumer needs, motivations, perceptions attitudes, the

learning process personality characteristics are the similarities, which

operate across the different types of people and influence their behaviour.

Marketing starts with the consumers and ends with the consumer.

Satisfaction of the consumers becomes the most important goal of a

business enterprise. The effort to ensure consumer satisfaction lies in

understanding the consumer, his likes dislikes, his expectations and

motivation.

Buying Behaviour is the decision processes and acts of people involved in

buying and using products.

Consumer Buying Behaviour refers to the buying behaviour of the ultimate

consumer. A firm needs to analyze buying behaviour for:

Buyers’ reactions to a firms marketing strategy has a great

impact on the firms’ success.

The marketing concept stresses that a firm should create a

Marketing Mix (MM) that satisfies (gives utility to) customers,

therefore need to analyze the what, where, when and how

consumers buy.

Marketers can better predict how consumers will respond to marketing

strategies.

The Investor Prospective Towards Various Assets

ASSET Investment Risk Investment

Page 58

Objective Tolerance Horizon

Equity Capital

Appreciation

High Long

Mutual Fund Capital

Appreciation

Moderate Long

Bank Deposit Income

Flexible

Generally

Low

Flexible all Terms

PPF Income Low Long

Gold Inflation Hedge Low Long

Life Insurance Risk Cover Low Long

This table shows investors prospective towards Assets like Equity, Mutual

Fund, Bank Deposit, PPF, Gold and Life Insurance. From this table it is

clearly understand the Investment objective, Risk tolerance & Time

horizon for different Asset Classes.

RESEARCH METHODOLOGY

Research is a systematic activity carried out in the pursuit of truth, which

is a purposive investigation. It is a way of finding new ways of looking a

familiar thing in order to explore ways of changing it. It is an activity that

Page 59

extends, corrects and verifies knowledge. It includes introduction of the

study, objectives, benefits & limitations of the project.

Over here researcher has applied exploratory research which will take into

consideration the following points.

A review of pertinent literature.

An experience survey.

An analysis of insight stimulating cases

Advantage:

It does not have formal or rigid design.

It aims at generating new ideas.

It helps in assessing the feasibility of further study.

It attempts to see what is there rather than predicting the same.

Limitations:

It is a pilot studies thus usually an ill structured.

It is not specific in nature.

Research Objectives:

Primary Objective:

Page 60

To know the Consumer behaviour of investors towards Mutual

Funds.

Secondary Objectives:

To know people’s awareness about various schemes for investment

in Mutual Fund.

To know the investors knowledge and perceptions about mutual

fund.

To know the investor priority level between different criteria of

investment like safety level, returns, liquidity, tax benefits and

maturity etc. of investment.

Find out reason for choice of mutual fund as an investment avenue.

To identify the social factors that affect investors’ buying behaviour

in Ahmedabad.

To measure the satisfaction level of investors regarding various

parameters for investment in Mutual fund.

Find out reason for choice of mutual fund as an investment avenue.

METHODOLOGY- The science dealing with principles of procedure in

research and study.

Various investment options have been selected like Mutual Fund,

Gold, Bank Deposits, Post Office Savings and Insurance.

Various parameters taken for comparison

Risks

Time Horizon

Return on Investment

Liquidity

Page 61

Type of Data

Primary Data:

Utilizing the information from the Secondary data, questionnaire

was prepared to study the investors’ behaviour. Primary data

were collected directly from the respondents to solve the problem.

Secondary Data:

Secondary data were collected from many sources like books,

websites and company’s report. 

Research Approach:

Survey method was adopted to gather the primary data. This survey

included face-to-face interview with respondents. 

Sampling Plan

Target population: Investor who invests money into various investment

options.

Sampling Element: High Net worth Investors (HNI) and middle class

retail investors.

Sampling technique: The sampling technique used for sampling is:

Random sampling.

Quantitative Sampling.

Convenience sampling

Page 62

Sample size: The sample size of the study is around 60 respondents.

Area of Survey: Ahmedabad

The main statistical tools used for the collection and analyses of

data in this project are:

Questionnaire

Pie Charts

Bar Diagrams

Data Analysis and Interpretation:

Data analysis will be done through graphical method and using SPSS

software and Chi square test, where questionnaire will be analyzed and

various test will be performed on it to reach to the final conclusion. Result

will be given on the basis of the descriptive statistical technique.

Page 63

Limitations:

As we limited time span so it is not possible to cover each & every

detail of the topic.

Company uses various software’s which have certain financial

information and I as a trainee cannot access them.

As the samples are taken randomly and population size of

Ahmedabad is large, sample errors are inevitable.

The study will heavily depend on primary data which will be

collected from public at large; hence the authenticity of data can be

a limitation.

1. Age Group:

Frequency Per cent

18 years - 30 years 9 15

31 years - 40 years 30 50

41 years - 50 years 9 15

Above 50 years 12 20

Page 64

18 years - 30 years 31 years - 40 years 41 years - 50 years Above 50 years05

101520253035404550

9

30

912

15

50

1520

Frequency

Per cent

From the questionnaire we got different age groups. From the above

chart, it can be derived that most of the investors are in the age group of

31 to 40. The reason being, they have enough money to invest in risky

market because they have job and they are well settled. This would help

us to know to whom we have to target.

2. Business or Job/service

Frequency Per cent

Business 6 10

Job 54 90

Page 65

Business Job0

102030405060708090

6

54

10

90

FrequencyPer cent

Most of the people, who are interested in investment, have jobs and we

met very few business class people who are likely to invest in market.

Through this we come to know that we should target on investor who is in

job.

3. Annual Income

Frequency Per Cent

Up to 2 lac 6 10

2 lac to 5 lac 39 65

Above 5 lac 15 25

Up to 2 lac 2 lac to 5 lac Above 5 lac0

10

20

30

40

50

60

70

6

39

1510

65

25 FrequencyPer Cent

Page 66

As per income status, most of the investors belong to income group of 2

lac to 5 lac. From this we come to know that investors belong to income

group 2 lac to 5 lac invests more than above 5 lac.

4. Where do you invest?

Frequency Per Cent

Bank Deposit 12 20

Share Market 24 40

Mutual Fund 15 25

Others 9 15

Bank Deposit Share Market Mutual Fund Others0

510152025303540

12

24

15

9

20

40

25

15 FrequencyPer Cent

Page 67

From the above table we have come to know that the preference of the

different investment of the investor while investing their money that is

bonds & insurance products are most important investment avenue for

the investors. Than after money market instrument and equity share are

important for the investors.

Most of the investors like to invest in share market. As per above chart,

about 40% investor invest in share market. The size of the world stock

market was estimated at about $36.6 trillion US at the beginning of

October 2009. Participants in the stock market range from small individual

stock to large hedge fund traders, who can be based anywhere. That’s

reason why more people invest in stock market.

5. Are you regular investor?

Frequency Per cent

Yes 42 70

No 18 30

Yes No0

10203040506070

42

18

70

30 FrequencyPer cent

Page 68

Most of the investors choose to make safe investments for the long-term,

but have to rely on stock tips from friends or rumors doing rounds of the

stock market. Most investors try to time the market and often get unduly

influenced by market rumors and tips and end up making losses on

investments that lack rationale. We concluded from the data that about

70% people we met are regular investor and only 30% investors invest

occasionally.

6. Do you want to invest in Mutual Fund?

Frequency Per cent

Yes 27 45

No 33 55

Yes No0

10

20

30

40

50

60

2733

45

55

FrequencyPer cent

From the above table we have come to know criteria’s considered while

investing in MF by the investors that is finance planner advice and the

AMC image are most important criteria’s for the investors while investing

in mutual fund. Than after fund performance and tax incentive are

important.

From the surveys which we have done, we have come to know that the

people who want to invest in mutual fund are less than the people who

Page 69

want to invest in other money market instruments. The major challenge is

that how we can convert their investments from other money market

instruments towards mutual fund.

7. Are you aware about all the features of Mutual Fund?

Frequency Per cent

Yes 36 60

No 24 40

Yes No0

10

20

30

40

50

60

36

24

60

40

FrequencyPer cent

The investor who knew about mutual fund intensely is 60% and others are

not aware about mutual fund schemes and mutual fund as a system.

8. Would you like to have information on Mutual Fund?

Frequency Per cent

Yes 24 40

Page 70

No 36 60

Yes No0

10

20

30

40

50

60

24

3640

60

FrequencyPer cent

As above, there are 40% people are not aware about mutual fund and

60% are aware of the mutual fund. From that 40% people only 8% want to

have full information.

From the survey, we come to know the purpose to investing in MF is that

low risk and collective investments are most important purpose of the

investor for the investing in mutual fund. Than after return potential and

advantage of professional management are important while investing in

mutual fund.

9. What do you consider during making any investment?

Frequency

Transparency 27

Liquidity 18

Returns 30

Page 71

Tax Saving 18

Regular Income 25

Risk 18

Trans-parency

Liquidity Returns Tax Saving Regular Income

Risk0

5

10

15

20

25

30 27

18

30

18

25

18

Frequency

From the above table we have come to know that the important criteria

considered by most of the investors more about the returns and focus

equally on regular income and transparency. So there should such

schemes which provide them what they actually want or they consider

while investing. This helps us to know that to what scheme does investor

is looking for. These also help us to easily crack the deal.

Key Findings

Page 72

This training program has played a significant role in understanding the

Consumer Behavior. It help to know about the preferences of investors it

give them knowledge about the different investment options available for

investment.

Our Key findings are as follows:

69 % people are aware of the mutual fund.

Convenience and risk are most important criteria considered by the

investor while investing their money.

Tax benefit and safety of the investment are most important

objective of the investors.

48% have shown interest to invest in mutual fund.

Income fund & specialized fund are most important for the investing

in mutual fund.

66% people have income level of Rs. 50,000- Rs.10000/-

In this current scenario Mutual Funds & Bank deposits become the

most preferred investment option.

Now a day’s investors want to invest their money for long term

prospective to reach their financial goal and maximizing wealth.

Yield and return is the most important preference at the time of

investment.

Age group & Income is the most important factor in determining the

risk capacity of individual

Concluding Observation:

Page 73

The present study looks at customer expectation levels in a mutual fund

product. This kind of customer orientation is necessary in a market like

India where the market is turning competitive due to large number of

players with varied financial muscle powers and expertise of

reinvestment. The small investors purchase behaviour does not have a

high level of coherence due to the influence of different purchase factors.

The buying intent of a mutual fund product by a small investor can be due

to multiple reasons depending upon customers risk return trade off. Due

to the reduction in the bank interest rates and high degree of volatility in

Indian stock market, investors are looking for an alternative for their small

time investments which will provide them a higher return and also safety

to their investments. The bond market is also passing through a recession

due to its interest parity with bank instruments. So mutual funds offer the

best alternative to the small investors in India. A prudent product design

by adding the features expected by investors and spelt out in this

research will make the new mutual fund products attractive for the Indian

investors. The factors identified in the study provide key information

inputs regarding investor’s preferences and priorities that will guide future

mutual fund product managers in designing attractive mutual fund

products for the Indian market.

Learning:

Convenience & risk are most important criteria considered by the

investor while investing their money.

Page 74

Tax benefit and safety of the investment are most important

objective of the investors.

Investors are concerned about the returns.

MF is good investment tool because of several benefits like

Professional Management, Risk Reduction, Flexibility, Transparency

and Low Transaction Cost.

As Mutual Fund provides more returns than PPF, Post, Bonds, Fixed

Deposit, and Equity in Long Term so more investors are diverted

towards it.

Age group & Income is the most important factor in determining the

risk capacity of individual

Recommendations:

Most of the investors belong to age category of 30 to 40, so there is

huge market available for new and young investor. Fresher are not

able to make huge investment at once so there should be one

scheme, especially for the new comer.

Income group of 2 lac to 5 lac is making more investment than

others, so there is scope and market for mutual fund in this market.

About 70% of investors are regular investors, so there is need to

catch that market as well.

Mutual Fund, the concept is widely known, but many people are still

unaware about various schemes of mutual fund, increasing

awareness is also very important thing.

There is a need to introduce very aggressive scheme which can give

maximum returns to investor as they are more concern about

return, transparency and regular income than risk and liquidity.

References

Websites:

Page 75

www.amfiindia.com

www.utimf.com

www.mutualfundindia.com

www.mutualfunds.about.com

www.utiamc.com

PDF’s:

Mutual Fund Investors Guide

Trainer Note AMFI

Books:

Fact sheet of UTI mutual fund

Understanding Mutual Fund- Sunita Abraham & Uma Shashikant

Page 76

Questionnaire- UTI AMC

Kunjkant Pandya

Management Trainee

09978426133

(Note: This information is used only for academic Purpose.)

Personal Details:

Name: ____________________________________________Age:__________

Address:_________________________________________________________

E-Mail: ______________________________Contact No.:__________________

Designation:__________________

Professional Details:

1. Business Job/Service

2. Annual Income:

Up to 2 lac 2 lac to 5 lac Above 5 lac

3. Where do you invest?

Bank Deposit Share Market

Mutual Fund

Others_____________________________________

4. Are you a regular investor?

Yes No

5. If in Mutual Fund than in which scheme

_________________________________________________________

___________________________________________________________

6. If not, Want to invest in Mutual Fund in Future

Yes No

7. What do you do for saving your Tax?

___________________________________________________________

Anjali Kathuria

Management Trainee

08905573195

Page 77

___________________________________________________________

8. Are you aware about all the features of Mutual Fund?

Yes No

9. Would you like to have information on Mutual Fund?

Yes No

10.What do you consider during making any investment?

Transparency Liquidity Returns

Tax Saving Regular Income Risk

Signature

Thank You…

Page 78