full & final project

A PROJECT REPORTONCOMPARATIVE ANALYSIS ON MUTUAL FUND COMPANY & MUTUAL FUND SCHEME.PROJECT WORK SUBMITTED IN PARTIALFULFILLMENT OF THE REQUIREMENTSFOR THE AWARD OF THE DEGREE OF

MASTER OF MANAGEMENT STUDIESINFINANCE

SUBMITTED BYMR.SAGAR DATTUSA PAWAR

UNDER THE GUIDANCE OFPROF. MEENA MARATHE

ALAMURI RATNAMALAINSTITUTE OF ENGINEERING & TECHNOLOGY

Affiliated to

UNIVERSITY OFMUMBAI

DEPARTMENT OF MANAGEMENTACADEMIC YEAR 2012-2014

DEPARTMENT OF MANAGEMENTCERTIFICATE

This is to certify that the project entitled Detail Comparative Analysis On Mutual Fund Company & Mutual Fund Scheme submitted by Mr.Sagar Dattusa Pawar bearing Pin No. ARMIET/MMS 12 PS 39 on this ___ of . 2013 in partial fulfilment of the requirements for the award of the Degree of Master of Management Studies of University of Mumbai is a bonafide work to the best of my knowledge and may be placed before the Examination Board for their consideration.

____________________ _____________________ Mr. / Mrs. _______________ Mr. / Mrs. _______________ Internal Examiner External Examiner

___________________ ____________________ Mr.Nishant Kaushik Mrs. Deepthi JaishalDean-Academics Head Of Department

Certificate of Undertaking

I ,Sagar Dattusa Pawar hereby declare that project entitled Detail Comparative Analysis On Mutual Fund Company & Mutual Fund Scheme Undertaken at Alamuri Ratnamala Institute of Engineering and Technology by Sagar Dattusa Pawar Seat No. ARMIET/MMS 12 PS 39 in partial fulfilment of MMS (Management) degree (Semester 4) Examination, is my original work and the Project has nor formed the basis for the award of any degree, associate ship, fellowship or any other similar titles, either in Mumbai University or any other University of India.

SAGAR DATTUSA PAWAR

ACKNOWLEDGEMENT

I express my sincere thanks to the Professor and Director, Alamuri Ratnamala Institute of Engineering & Technology, Affiliated to University of Mumbai who has given me the opportunity to pursue my Master in Management Studies (Finance) I would like to thanks my guide Prof. Meena Marathe for his encouragement and guidance, which helped me in completing the project Comparative Analysis On Mutual Fund Company & Mutual Fund Scheme I am also thankful to my all professors to their Support and encouragement in finding out the appropriate data for this Project report, without their thankless support and efforts, making this support would have been impossible for me. I would also thanks the whole respondent who Provide me the best knowledge and for their help and cooperation throughout the project.

Thanking you, Sagar Dattusa Pawar

EXECUTIVE SUMMARY

COMPARATIVE ANALYSIS ON MUTUAL FUND COMPANY & MUTUAL FUND SCHEME

Introduction Of Mutual Fund:A mutual fund is a form of collective investment. It is a pool of money collected from various investors which is invested according to the stated investment objective. The fund manager is the person who invests the money in different types of securities according to the predetermined objectives. The portfolio of a mutual fund is decided taking into consideration this investment objective. Mutual fund investors are like shareholders and they own the fund. The income earned through these investments and the capital appreciation realized by the scheme is shared by its unit holders in proportion to the number of units owned by them. The value of the investments can go up or down, changing the value of the investors holding. Mutual funds are one of the best investments ever created because they are very cost efficient and very easy to invest in.

Comparative Analysis Of Equity Fund, Debt Fund, & Hybrid Fund For Top Five Mutual Fund Company:

HDFC Asset Management Company Limited

HDFC Asset Management Company Ltd (AMC) was incorporated under the Companies Act, 1956, on December 10, 1999, and was approved to act as an Asset Management Company for the HDFC Mutual Fund by SEBI vide its letter dated July 3, 2000.Reliance Mutual Fund Reliance Mutual Fund, a part of the Reliance Group, is one of the fastest growing mutual funds in India. RMF offers investors a well-rounded portfolio of products to meet varying investor requirements and has presence in 179 cities across the country. Reliance Mutual Fund constantly endeavors to launch innovative products and customer service initiatives to increase value to investors. Reliance Capital Asset Management Limited (RCAM) is the asset manager of Reliance Mutual Fund.

SBI Mutual fundWith 25 years of rich experience in fund management, we at SBI Funds Management Pvt. Ltd. bring forward our expertise by consistently delivering value to our investors. We have a strong and proud lineage that traces back to the State Bank of India (SBI) - India's largest bank. We are a Joint Venture between SBI and AMUNDI (France), one of the world's leading fund management companies. UTI Mutual Fund our product portfolio is managed by dedicated management teams to create optimum balance and results. Our key people help us serve you better and grow your money.IDFC Asset Management Company Ltd. IDFC was established in 2000 and is already one of the largest Mutual Fund houses in India. In a relatively short span of time, it has developed a robust network to deliver consistent value to its investors across India.

INDEX

NO.PARTICULARPAGE NO.

01Introduction Of Mutual Fund

02Objective of Study

03Scope of Study

04Research Methodology

05Types Of Mutual Fund

06Mutual Fund Operation

07Mutual Fund Return Calculation Tools & Methods

08Advantages Of Investing In Mutual Funds

09Introduction Of Mutual Fund Of India

10List Of Mutual Fund Company Of India

11Profile Of Mutual Fund Company Of India

12Comparative Analysis Of Equity Fund For Top Five Mutual Fund Company

13Comparative Analysis Of Debt Fund For Top Five Mutual Fund Company

14Comparative Analysis Of Hybrid Fund For Top Five Mutual Fund Company

15Data Analysis & Interpretation

16Conclusion

17Recommendation

18Annexure

19Bibliography

INTRODUCTION OF MUTUAL FUND

A mutual fund is a form of collective investment. It is a pool of money collected from various investors which is invested according to the stated investment objective. The fund manager is the person who invests the money in different types of securities according to the predetermined objectives. The portfolio of a mutual fund is decided taking into consideration this investment objective. Mutual fund investors are like shareholders and they own the fund. The income earned through these investments and the capital appreciation realized by the scheme is shared by its unit holders in proportion to the number of units owned by them. The value of the investments can go up or down, changing the value of the investors holding. Mutual funds are one of the best investments ever created because they are very cost efficient and very easy to invest in.

The investment in securities through mutual funds is spread across wide range of industries and sectors and thus the risk is reduced. Diversification reduces the risk because all stocks may not move in the same direction at the same time. Various fund houses issue units to the investors in accordance with the quantum of money invested by them. Investors of mutual funds are known as unit holders.Mutual fund is the pool of the money, based on the trust who invests the savings of a number of investors who shares a common financial goal, like the capital appreciation and dividend earning. The money thus collect is then invested in capital market instruments such as shares, debenture, and foreign market. Investors invest money and get the units as per the unit value which we called as NAV (net assets value). Mutual fund is the most suitable investment for the common man as it offers an opportunity to invest in diversified portfolio management, good research team, professionally managed Indian stock as well as the foreign market, the main aim of the fund manager is to taking the scrip that have under value and future will rising, then fund manager sell out the stock. Fund manager concentration on risk return trade off, where minimize the risk and maximize the return through diversification of the portfolio. The most common features of the mutual fund unit are low cost. The below I mention the how the transactions will done or working with mutual fund.

OBJECTIVES OF STUDY

The objective of the research is to study and Comparative Analysis on Mutual Fund Company & Mutual Fund Scheme. To get insight knowledge about mutual funds, to know the Mutual fund is one of the investment criteria, how its work, benefit of investing in mutual fund to both as a investor and company. To understand the Functions of an Asset Management Company To understand the performances of various schemes using various tools to measure the performances. To measure and compare the performance of selected mutual fund schemes of different mutual fund companies and other Asset Management Companies. To measure the satisfaction level of investors regarding mutual funds. Detail analysis of growth of mutual fund in India. To know the mutual funds performance levels in the present market. It is one of the investing activities of marketable asset. The project study was done to ascertain the asset allocation, entry load, exit load, associated with the mutual funds. Ultimately this would help in understanding the benefits of mutual funds to investors.

SCOPE OF STUDY In my project the scope is limited to some prominent mutual funds in the mutual fund industry. I analysed the funds depending on their schemes like equity, income, balance. But there is so many other schemes in mutual fund industry like specialized (banking, infrastructure, pharmacy) funds, index funds etc. Explore the recent developments in the mutual funds in India, To give an idea about the regulations of mutual funds. The study was carried out for a period of 60 days, in which the main focus was to follow the performance of the different-different mutual fund companies and assent management companies. Since different companies come out with similar themes in the same season, it becomes crucial for the company to constantly perform well so as to survive the competition and provide maximum capital appreciation or return as the case may be. Other than the market the performance of the fund depends on the kind of stock chosen by the fund managers of the company. The analysis is done on the performance of funds with the same theme or sector and reason out why a fund performs better than the others in the lot. My study is mainly concentrated Comparative Analysis on Mutual Fund Company & Mutual Fund Scheme.

RESEARCH METHODOLOGYThe data required for the study may be collected either from primary sources or from secondary sources. A major portion of the data in this study has been collected through secondary sources of data. Research methodology carried for this study can be two typesPRIMARY DATA: The data, which has being collected for the first time and it is the original data. In this project the primary data has been taken from own search by questionnaire and guide of the project.

SECONDARY DATA: The information is mostly taken from websites, books, news paper etc. Published material and annual reports of mutual fund companies Other published material of mutual funds. Research based online portals. Unpublished sources also.

LIMITATIONS: The time constraint was one of the major problems. The study is limited to the different schemes available under the mutual funds selected. The study is limited to selected mutual fund schemes. The lack of information sources for the analysis part.

TYPES OF MUTUAL FUND

Types ofMutual Fund

Sector schemesIndex schemesIndustry specific SpecificSpecial schemesInvestment objective Structure Growth Income Balanced Money Market Open Ended Close Internal

Mutual Fund broadly classified into TWO categories1. Open Ended Scheme funds2. Closed Ended Scheme funds

OPEN - ENDED SCHEME FUND:The concept of these funds is that the investors are free to enter or exit the scheme at any point of time during the fund period. The investors can purchase/ sale units of mutual fund through mutual fund trust. The prices at which the units are purchased/ sold depend on the NAV of the fund. At that point of time as specified by the funds. The NAV of fund is the current market value of their investments. Besides the Net Asset Value, certain funds take an additional charge from the investors in the form of Entry load or Exit load. CLOSED ENDED SCHEME FUND:In the care of close ended fund, the investors have to look their funds with the trust for particular periods of time as a specified y the terms of the offer. The main problem for the investor is that they cannot move in out of the fund freely. In the case of Closed Ended schemes the prices of the units are calculated in the same manner as in the case of Open Ended schemes. However these schemes do not charge an Entry/ Exit load as in the case of open ended scheme.INTERVAL SCHEME FUND:The concept of these funds is that the investors are free to Enter/ Exit the scheme at any point of time during the fund period and the investors have to lock their funds with the trust for a particular periods of time as a specified by the terms of the offer.GROWTH FUND:It is primarily look for growth of capital such funds invests in shorter with potential for growth and capital appreciation. They invest in well established companies where the company it self and the industry in which it operates are thought to have well long term growth potential and hence growth fund provide low current income. Growth potential generally incurred higher risks than Income Fund, in an effort to secure more pronounced growth. Some growth funds concentrate on one or more industry sectors and also invest in a Broad range of industries. Growth funds are suitable for investors who can offer to assume the risk of potential loss in value their investment in the short term in the hope of achieving substantial and risings gains.GROWTH AND INCOME FUND:Growth and Income funds seek long term growth of capital as well as current income. The investment strategies used to reach there goals very among funds. Some invest in a dual portfolio consisting of growth stock and income stocks, or a combination of growth stocks paying high dividends preferred stock, convertible securities or fixed income securities such as corporate bonds and money market instruments. Growth and Income funds have low to moderate stability of principal and moderate potential for current income and growth they are suitable for investors who can assume some risk to achieve growth of capital but who also want to maintain a moderate level of current income. MONEY MARKET SCHEME:It is invested only in high liquidity; short- term top rated money market instruments. Money market funds are suitable for investors who want high stability of principal and current income with immediate liquidity.

TAX SAVING SCHEME:In the care of close ended fund, the investors have to look their funds with the trust for particular periods of time as a specified y the terms of the offer. The main problem for the investor is that they cannot move in out of the fund freely. In the case of Closed Ended schemes the prices of the units are calculated in the same manner as in the case of Open Ended schemes. However these schemes do not charge an Entry/ Exit load as in the case of open ended scheme. In this scheme main advantage is that the investor can claim for the tax saving. This one on the other same to the closed ended scheme but one extra feature is in this that the tax saving he can claim that under the section 80 C for this the investor has to through with the tax brackets.

MUTUAL FUND OPERATIONSmall investors face a lot of problems in the share market, limited resources, lack of professional advice, lack of information etc. Mutual funds have come as a much needed help to these investors. It is a special type of institutional device or an investment vehicle through which the investors pool their savings which are to be invested under the guidance of a team of experts in wide variety of portfolios of corporate securities in such a way, so as to minimize risk, while ensuring safety and steady return on investment. It forms an important part of the capital market, providing the benefits of a diversified portfolio and expert fund management to a large number, particularly small investors. Now days, mutual fund is gaining its popularity due to the following reasons.

As mutual funds are managed by professionals, they are considered to have a better knowledge of market behaviors. Besides, they bring a certain competence to their job. They also maximize gains by proper selection and timing of investment.Another important thing is that the dividends and capital gains are reinvested automatically in mutual funds and hence are not fritted away. The automatic reinvestment feature of a mutual fund is a form of forced saving and can make a big difference in the long run.As mutual funds creates awareness among urban and rural middle class people about the benefits of investment in capital market, through profitable and safe avenues, mutual fund could be able to make up a large amount of the surplus funds available with these people.The mutual funds attracts foreign capital flow in the country and secure profitable investment avenues abroad for domestic savings through the opening of off shore funds in various foreign investors. Lastly another notable thing is that mutual funds are controlled and regulated by S E B I and hence are considered safe. Due to all these benefits the importance of mutual fund has been increasing.

MUTUAL FUND RETURN CALCULATION TOOLS & METHODS

BETAIt describes the relationship between the stocks return and the index returns. The beta value may be interpreted in the following manner, a 1% change in Nifty index would cause a 1.042% (beta) change in the particular fund. It is the slope of characteristic regression line.It signifies that a fund with a beta of more than 1 will rise more than the market and also fall more than market. Thus, if one likes to beat the market on the upside, it is best to invest in a high-beta fund. But one must keep in mind that such a fund will also fall more than the market on the way down. So, over an entire cycle, returns may not be much higher than the market.Similarly, a low-beta fund will rise less than the market on the way up and lose less on the way down. When safety of investment is important, a fund with a beta of less than one is a better option. Such a fund may not gain more than the market on the upside, but it will protect returns better when market falls.

= nxy (x)( y) nx2 (x)2

Where, n Number of daysx Returns of the indexy Returns of the fund

ALPHAIt indicates that the stock return is independent of the market return. If the portfolio is well diversified, the alpha value would turn out to be zero. The intercept of characteristic regression line is alpha. Alpha shows whether the particular fund has produced returns justifying the risks it is taking by comparing its actual return to the one 'predicted' by the beta.Alpha can be seen as a measure of a fund manager's performance. This is what the fund has earned over and above (or under) what it was expected to earn. Thus, this is the value added (or subtracted) by the fund manager's investment decisions. This can be clearly seen from the fact that Index funds always haveor should have, if they track their index perfectlyan alpha of zero. Thus, a passive fund has an alpha of zero and an active fund's alpha is a measure of what the fund manager's activity has contributed to the fund's returns. On the whole a positive alpha implies that a fund has performed better than expected, given its level of risk. So higher the alpha better are returns.

= y - xWhere, y Mean value of returns of the fundx Mean value of returns of the index Beta value of the fund

CORRELATION CO-EFFICIENTIt measures the nature and the extent of relationship between the stock market index returns and a funds return in a particular period.

r = nxy (x)( y) . nx2 (x)2 ny2 (y)2

CO-EFFICIENT OF DETERMINATIONThe square of correlation of co-efficient is the co-efficient of determination. It gives the percentage variation in the stocks return explained by the variation in the market return.TREYNORS RATIOThe Treynor Ratio, named after Jack L. Treynor, one of the fathers of modern portfolio theory, helps analyze returns in relation to the market risk of the fund. The Ratio, also known as the reward-to-volatility ratio, provides a measure of performance adjusted for market risk. Higher the Treynor Ratio, the better the performance under analysis.It is a ratio that helps the portfolio managers to determine the excess return generated as the difference between the funds return and the risk free return. The excess return to beta ratio measures the additional return on a fund per unit of systematic risk. Ranking of the funds is done based on this ratio.

T = R RFR Where, R Return on investment.RFR Risk Free ReturnSHARPES RATIO

S = R RFR Sharpes ratio is similar to treynors ratio the difference being, instead of beta here we take standard deviation. As standard deviation represents the total risk experienced by the fund, it reflects the returns generated by undertaking all possible risks. A higher Sharpes ratio is better as it represents a higher return generated per unit of risk.

RETURNA return is a measurement of how much an investment has increased or decreased in value over any given time period. In particular, an annual return is the percentage by which it increased or decreased over any twelve-month period.Formula: (P1-p0) P0

MEANThe mean average is a quick mathematical measure of a number of data points as a unit. It will tell you important information about a group of data in your business. It is almost a summary of all the data in your dataset.Mean: Mean = Sum of X values / N (Number of values).

STANDARD DEVIATIONThe degree that a single value in a group of values varies from the mean (average) of the distribution. Standard deviation is a statistical measure that uses past performance of an investment or portfolio to determine the potential range of future performance and assess the probability of that performance. Standard deviations can be calculated for an individual security or for the entire portfolio

VARIANCE

Variance: Variance = s2

JENSEN RATIO (JR)A risk-adjusted performance measure thatrepresents the average return on a portfolio over and above that predicted by the capital asset pricing model (CAPM), given the portfolio's beta and the average market return. This is the portfolio's alpha. In fact, the concept is sometimesreferred toas "Jensen's alpha." Jensen Ratio (JR) = -----------------

ADVANTAGES OF INVESTING IN MUTUAL FUNDSThere are several that can be attributed to the growing popularities and suitability of mutual funds as an investment vehicle especially for retail investors.Professional management: Mutual funds provide the services of experienced and skilled professionals, backed by a dedicated investment research team that analysis the performance and prospects of companies and selects suitable investments to achieve the objectives of the scheme.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 sane 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.Convenient administration:Investing in a mutual fund reduces paperwork and helps you avoid many problems such as bad deliveries, delayed payment and follow up with brokers and companies. Mutual funds save your time and make investing easy and convenient.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.Low costs:Mutual funds are a relatively less expensive way to invest compared to directly investing in the capital markets because the benefits of scale in brokerage, custodial and other fees translate into lower costs for investors.

Liquidity:In open ended schemes, the investors get the money back promptly at net asset value related prices from the mutual fund. In closed end schemes, the units can be sold on a stock exchange at the prevailing market price or the investor can avail of the facility of direct repurchase at NAV related prices by mutual fund.Transparency:You get regular information on the value of your investment in addition to disclosure on the specific investments made by your scheme, the proportion invested in each class of assets and the fund managers investment strategy and outlook.Flexibility:Through features such as regular investment plans, regular withdrawal plans and dividend reinvestment plans, you can systematically invest or withdraw funds according to your needs and convenience.Affordability:Investors individually may lack sufficient funds to invest in high-grade stocks. A mutual fund because of its large corpus allows even a small investor to take the benefit of its investment strategy.

INTRODUCTION OF MUTUAL FUND OF INDIA

Following diagram gives the structure of Indian financial system

Mutual fund is the pool of the money, based on the trust who invests the savings of a number of investors who shares a common financial goal, like the capital appreciation and dividend earning. The money thus collect is then invested in capital market instruments such as shares, debenture, and foreign market. Investors invest money and get the units as per the unit value which we called as NAV (net assets value). Mutual fund is the most suitable investment for the common man as it offers an opportunity to invest in diversified portfolio management, good research team, professionally managed Indian stock as well as the foreign market, the main aim of the fund manager is to taking the scrip that have under value and future will rising, then fund manager sell out the stock. Fund manager concentration on risk return trade off, where minimize the risk and maximize the return through diversification of the portfolio. The most common features of the mutual fund unit are low cost. The below I mention the how the transactions will done or working with mutual fund.mutual funds dates backs to 19th century when it was introduced in Europe, in particular, Great Britain. Robert Fleming set up in 1968 the first investment trust called Foreign and Colonial Investment Trust which promised to manage the finances of the moneyed classes of Scotland by spreading the investment over a number of different stocks. This investment trust and other investments trusts which were subsequently set up in Britain and the US, resembled todays close ended mutual funds. The first mutual in the U.S., Massachusetts investors Trust, was set up in March 1924. This was the open ended mutual fund.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 of India. 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, 700crores of assets under management.

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 Can bank 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, 004crores.

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 1993Fourth 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 the Specified Undertaking of the Unit Trust of India with assets under management of Rs.29,835crores as at the end of January 2003, representing broadly, the assets of US 64 scheme, assured return and certain other schemes.The second is the UTI Mutual Fund, 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.76,000crores 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 graph indicates the growth of assets over the years.

THE GROWTH OF MUTUAL FUNDS IN INDIA

Some facts for the growth of mutual funds in India: 100% growth in the last 6 years. Number of foreign AMC's are in the que 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 is 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. Mutual fund can penetrate rural 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.

LIST OF MUTUAL FUND COMPANY OF INDIA:

ABN AMRO Mutual Fund

AIG Global Investment Group Mutual Fund

Benchmark Mutual Fund

Birla Sun Life Mutual Fund

BOB Mutual Fund

Can bank Mutual Fund

DBS Chola Mutual Fund

Deutsche Mutual Fund

DSP Merrill Lynch Mutual Fund

Escorts Mutual Fund

Fidelity Mutual Fund

. Franklin Templeton Mutual Fund

. HDFC Mutual Fund

HSBC Mutual Fund

ICICI Prudential Mutual FundIDFC Mutual Fund

ING Vysya Mutual Fund

JM Financial Mutual Fund

JP Morgan Mutual Fund

Kotak Mahindra Mutual Fund

LIC Mutual Fund

Lotus India Mutual Fund

Morgan Stanley Mutual Fund

PRINCIPAL Mutual Fund

Quantum Mutual Fund

Reliance Mutual Fund

Sahara Mutual Fund

SBI Mutual Fund

Standard Chartered Mutual Fund

Sundaram BNP Paribas Mutual Fund

Tata Mutual Fund

Taurus Mutual Fund

UTI Mutual Fund

PROFILE OF MUTUAL FUND COMPANY OF INDIAHDFC Asset Management Company Limited (AMC)

HDFC Asset Management Company Ltd (AMC) was incorporated under the Companies Act, 1956, on December 10, 1999, and was approved to act as an Asset Management Company for the HDFC Mutual Fund by SEBI vide its letter dated July 3, 2000.The registered office of the AMC is situated at HUL House, 2nd Floor, H. T. Parekh Marg, 165-166, Backbay Reclamation, Churchgate, Mumbai - 400 020.In terms of the Investment Management Agreement, the Trustee has appointed the HDFC Asset Management Company Limited to manage the Mutual Fund. The paid up capital of the AMC is Rs. 25.241 crore as onSeptember 30, 2013.Products and Schemes of HDFC mutual fund Equity funds. Debt funds. Hybrid funds.

Reliance Mutual Fund

Reliance Mutual Fund, a part of the Reliance Group, is one of the fastest growing mutual funds in India. RMF offers investors a well-rounded portfolio of products to meet varying investor requirements and has presence in 179 cities across the country. Reliance Mutual Fund constantly endeavors to launch innovative products and customer service initiatives to increase value to investors. Reliance Capital Asset Management Limited (RCAM) is the asset manager of Reliance Mutual Fund. RCAM is a subsidiary of Reliance Capital Limited (RCL). Presently, RCL holds 65.23% of its total issued and paid-up equity share capital and the balance of its issued and paid up equity share capital is held by other shareholders which includes Nippon Life Insurance Company (NLI), holding 26% of RCAMs total issued and paid up equity share capital. NLI acquired the said 26% share holding in RCAM on August 17, 2012.Products and Schemes of RELIANCE mutual fund Equity funds. Debt funds. Hybrid funds.SBI Mutual fundWith 25 years of rich experience in fund management, we at SBI Funds Management Pvt. Ltd. bring forward our expertise by consistently delivering value to our investors. We have a strong and proud lineage that traces back to the State Bank of India (SBI) - India's largest bank. We are a Joint Venture between SBI and AMUNDI (France), one of the world's leading fund management companies. With our network of over 222 points of acceptance across India, we deliver value and nurture the trust of our vast and varied family of investors.Excellence has no substitute. And to ensure excellence right from the first stage of product development to the post-investment stage, we are ably guided by our philosophy of growth through innovation and our stable investment policies. This dedication is what helps our customers achieve their financial objectives.Products and Schemes of SBI mutual fund Equity funds. Debt funds. Hybrid funds.

UTI Mutual Fund our product portfolio is managed by dedicated management teams to create optimum balance and results. Our key people help us serve you better and grow your money.aims 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, we offer a balanced and well -diversified portfolio based on rigorous in-house research.Products and Schemes of UTI mutual fund Equity funds. Debt funds. Hybrid funds.

IDFC Asset Management Company Ltd. IDFC was established in 2000 and is already one of the largest Mutual Fund houses in India. In a relatively short span of time, it has developed a robust network to deliver consistent value to its investors across India.This partnership will give IDFC AMC the ability to offer domestic investors access to international investment opportunities through investment products managed by NGAM. Natixis Global Asset Management is one of the largest asset managers in the world based on assets under management.Products and Schemes of IDFC mutual fund Equity funds. Debt funds. Hybrid funds.

COMPARATIVE ANALYSIS OF EQUITY FUND FOR TOP FIVE MUTUAL FUND COMPANY

HDFC MUTUAL FUND

Capital appreciation over long term. Investment predominantly in equity and equity related instruments of medium to large sized companies High risk.

Investment Information

Fund NameHDFC Equity Fund

Fund TypeOpen-ended Growth Scheme

Fund ManagerPrashant Jain

Inception DateJanuary 1, 1995

Average AUM (Rs.)1,024,948.77

Min .Investment -Lumpsum / SIP5000 // 1000

Asset Allocation -Equity / Debt95% // 05%

Performance

Beta10572

R Square===

Standard Deviation5.94%

Sharp-0.0070

Portfolio Turnover39.09%

BenchmarkCNX 500 Index

Net Asset Value (31/12/2013)235.40

PeriodNAV perUnit (Rs.)Benchmark Returns (%)SchemesReturns (%)

January 1, 199510.0008.8919.69

Dec 31,2012 To Dec 31,2013293.4243.673.82

Dec 30,2011 To Dec 31,2012218.73716.8317.96

Dec 31,2010 To Dec 31,2011298.501-0.180.68

RELIANCE MUTUAL FUND

The primary investment objective of the scheme is to seek to generate long term capital appreciation & provide long-term growth opportunities by investing ina portfolio constituted of equity & equity related securities and Derivatives and the secondary objective is to generate consistent returns by investing in debtand money market securities.


Fund NameReliance Long Term Equity Fund

Fund TypeOpen-Ended

Fund ManagerSamir Singhania

Inception Date27,Dec,2006

Average AUM754.62 Cr.


Asset Allocation -Equity / Debt98.72% // 1.28%

Performance

Beta0.84

R Square0.89


Sharp-0.0022

Portfolio Turnover0.15

BenchmarkS & P BSC 200 Index

Net Asset Value (31/01/2014)17.66


27,Dec,200610.154.766.75

Dec 31,2012 To Dec 31,201314.93-7.70-2.58

Dec 30,2011 To Dec 31,201215.003.19-0.45

Dec 31,2010 To Dec 31,201110.8023.0638.84

SBI MUTUAL FUND

To provide the investor long-term capital appreciation by investing in high growth companies along with the liquidity of an open-ended scheme through investments primarily in equities and the balance in debt and money market instruments.


Fund NameSBI Magnam Equity Fund

Fund TypeOpen-Ended

Fund ManagerR.Srinivasan

Inception Date1,Jan,1991




Performance

Beta0.86

R Square0.96


Sharp-0.17


BenchmarkCNX NIFTY Index

Net Asset Value (31/01/2014)49.50


1,Jan,199110.00--14.33

Dec 31,2012 To Dec 31,201332.22--5.54

Dec 30,2011 To Dec 31,201228.44--29.89

Dec 31,2010 To Dec 31,201129.27---19.71

UTI MUTUAL FUND

This Scheme primarily aims at securing for the unitholders capital appreciation by investing the funds of the scheme in equity shares and convertible and non-convertible bonds/ debentures of companies with good growth prospects and money market instruments.


Fund NameUTI Equity Fund

Fund TypeOpen Ended

Fund ManagerAnoop Bhaskar

Inception Date18,May,1992

Average AUM2386 Cr.


Asset Allocation -Equity / Debt80% // 20%

Performance

Beta0.84

R Square--


Sharp--


BenchmarkS & P BSC 100

Net Asset Value (31/01/2014)11.38


18,May,199211.389.569.14

Dec 31,2012 To Dec 31,20137.565.876.76

Dec 30,2011 To Dec 31,201232.1529.9627.70

Dec 31,2010 To Dec 31,2011-19.09-25.73-24.62

IDFC MUTUAL FUND IDFC Premier Equity Fund is an unrestricted diversified equity fund that invests across market caps. The fund follows a buy and hold strategy, invests in companies that are at an early stage in their economic cycle. Attempts to capture shifts in the business environment, looks for growth in companies and polarise towards an idea or theme.


Fund NameIDFC Premier Equity Fund

Fund TypeOpen Ended

Fund ManagerKenneth Andrade

Inception Date28,Sept,2005




Performance

Beta0.82

R Square0.82


Sharp1.44


BenchmarkS & P BSC 500 Index

Net Asset Value (31/01/2014)42.44


28,Sept,200510.0010.1419.12

Dec 31,2012 To Dec 31,201340.183.255.62

Dec 30,2011 To Dec 31,201228.5331.2040.84

Dec 31,2010 To Dec 31,201134.79-27.41-18.00

COMPARATIVE ANALYSIS OF DEBT FUND FOR TOP FIVE MUTUAL FUND COMPANY

HDFC MUTUAL FUND

Regular income over short to medium term. Investment in debt and money market instruments and government securities with maturities not exceeding 36 months, Low risk.


Fund NameHDFC Short Term Opportunity Fund

Fund TypeOpen Ended

Fund ManagerAnil Bomboli

Inception Date25,June,2010

Average AUM230,352.95 Rs.


BenchmarkCRISIL Short Term Bond Fund

Dividend10.0940 (11,Nov,2013)

Net Asset Value13.48

PeriodReturn In (%)

1 Month0.4

6 Months6.7

1 Year8.3

3 Year30.2

5 Year37

RELIANCE MUTUAL FUND

The primary investment objective of the scheme is to generate optimal returns consistent with moderate levels of risk. This income may be complemented bycapital appreciation of the portfolio. Accordingly, investments shall predominantly be made in Debt and Money Market Instruments.


Fund NameReliance Dynamic Bond Fund

Fund TypeOpen Ended

Fund ManagerPrashant Pimple

Inception Date16,Nov,2004



BenchmarkCRISIL Composite Bond Fund Index

Dividend10.4023 (20,June,2013)


PeriodReturn In (%)

1 Month-1.1

6 Months6.8

1 Year3.1

3 Year28.4

5 Year36.7

SBI MUTUAL FUND

To actively manage a portfolio of good quality debt as well as Money MarketInstruments so as to provide reasonable returns and liquidity to the Unit holders.


Fund NameSBI Dynamic Bond Fund

Fund TypeOpen Ended

Fund ManagerDinesh Ahuja

Inception Date09,Feb,2004




Dividend11.75 (3,Jan,2014)


PeriodReturn In (%)

1 Month-0.9

6 Months5.4

1 Year1.6

3 Year28.4

5 Year41.08

UTI Mutual 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 limits.


Fund NameUTI Bond Fond

Fund TypeOpen Ended

Fund ManagerAmandeep S. Chopra

Inception Date4,May,1998




Dividend12.09 (23,Dec,2013)


PeriodReturn In (%)

1 Month-1.1

6 Months3.6

1 Year1.7

3 Year28.1

5 Year38.9

IDFC MUTUAL FUND The fund is positioned in the income fund category to take exposure across the curve depending upon the fund managers underlying interest rate view where we employ the majority of the portfolio. It is a wide structure and conceptually can go anywhere on the curve. The fund plays the trade of the season which we think will sustain for a longer period of time. However, a part of the fund can be used to opportunistically play trading opportunities.


Fund NameIDFC Dynamic Bond Fund

Fund TypeOpen Ended

Fund ManagerSuyash Choudhry

Inception Date25,June,2002




Dividend11.97 (28,May,2013)


PeriodReturn In (%)

1 Month-1.2

6 Months5.7

1 Year2.8

3 Year29.3

5 Year37.5

COMPARATIVE ANALYSIS OF HYBRID FUND FOR TOP FIVE MUTUAL FUND COMPANY

HDFC MUTUAL FUND

Regular income over medium to long term, Investment in debt and money market instruments as well as equity and equity related instruments, Medium risk.Investment Information

Fund NameHDFC Monthly Income Plan

Fund TypeOpen - Ended

Fund ManagerPrashant Jain & Shobit Mehrotra

Inception Date26,Dec,2003

Average AUM3940.83Cr

Min .Investment -Lumpsum / SIP5000

BenchmarkCrisil MIP Blended Index


PeriodReturn In (%)

1 Month-1.1

6 Months7.9

1 Year3.3

3 Year20.9

5 Year76.8

RELIANCE MUTUAL FUND The primary investment objective of the scheme is to generate regular income in order to make regular dividend payments to unitholders and the secondary objective is growth of capital.


Fund NameReliance Monthly Income Plan


Fund ManagerAmit Tripati & Sanjay Parekh

Inception Date13,Jan,2004

Average AUM2864.84Cr.



Dividend10.80

PeriodReturn In (%)

1 Month-0.8

6 Months5.8

1 Year3.7

3 Year24.0

5 Year70.4

SBI MUTUAL FUND To provide regular income, liquidity and attractive returns to the investors through an actively managed portfolio of debt, equity and money market instruments.


Fund NameSBI Magnam Monthly Incom Plan


Fund ManagerRuchit Mehta & Dinesh Ahuja

Inception Date9,April,2001





PeriodReturn In (%)

1 Month-0.3

6 Months4.1

1 Year3.3

3 Year24.6

5 Year46.2

UTI MUTUAL FUND

The scheme aims at distributing income, if any, periodically.


Fund NameUTI Monthly Income Fund


Fund ManagerV. Srivatsa

Inception Date12,Sept,2012





PeriodReturn In (%)

1 Month-0.5

6 Months6.0

1 Year5.5

3 Year23.2

5 Year58.0

IDFC MUTUAL FIND

MIP is an actively managed fund which endeavors to deliver consistent performance and limit downside risk. It is a blend of high quality fixed income assets and equity assets.


Fund NameIDFC Monthly Income Plan

Fund TypeOpen -Ended

Fund ManagerPunam Sharma

Inception Date25,Feb,2010

Average AUM307.04




PeriodReturn In (%)

1 Month-1.1

6 Months4.4

1 Year3.5

3 Year27.8

5 Year58.3

DATA ANALYSIS & INTERPRETATIONComparative Returns Analysis Result Of Equity Schemes For Top Five CompanyParticular

2010-2011Returns (%)2011-2012Returns (%)2012-2013Returns (%)

HDFC Mutual Fund

0.6817.963.82

RELIANCE Mutual Fund38.84-0.45-2.58

SBI Mutual Fund

-19.7129.895.54

UTI Mutual Fund

-24.6227.706.76

IDFC Mutual Fund

-18.0040.845.62

Above the chart defines as in 2010-2011 during the Reliance MF company gaves more tha other companies return or we can say, the Reliance MF gaves positive returns as 38.84% and other companies are gives in negative returns.

Above the chart define as in 2011-2012 during the Reliance MF company gaves negative returns as -0.45% other than company,so in this year the IDFC MF company gaves highest returns as 40.84%.

Above the chart defines as in 2012-2013 during the Reliance MF company gave negative returns as -2.58% other than company, so in this year the UTI MF company gives highest return as 6.76%.Comparative Returns Analysis Result Of Debt Schemes For Top Five Company

Particular1MonthReturn(%)6Month Return(%)1Year Return(%)3YearReturn(%)5YearReturn(%)

HDFC Mutual Fund0.46.7

8.330.237

RELIANCE Mutual Fund-1.16.8

3.128.4

36.7

SBI Mutual Fund

-0.95.41.6

28.4

41.8

UTI Mutual Fund

-1.13.61.7

28.1

38.9

IDFC Mutual Fund

-1.25.72.8

29.3

37.5

Above the chart defines 1 month return of debt schemes of top five mutual fund company, in this chart define HDFC MF companies shows positive result as 0.4% and other companies are negative.

Above the chart defines 6 month return of debt schemes of top five mutual fund company, during this chart the RELIANCE MF company gives highest return as 6.8% than other MF companies.

Above the chart defines 1 year return of debt schemes of top five mutual fund company, during this chart the HDFC MF company gives highest return as 8.3% than other MF companies.

Above the chart defines 3 year return of debt schemes of top five mutual fund company, during this chart the HDFC MF company gives highest return as 30.2% than other MF companies.

Above the chart defines 5 year return of debt schemes of top five mutual fund company, during this chart the SBI MF company gives highest return as 41.8% than other MF companies.Comparative Returns Analysis Result Of Hybrid Schemes For Top Five Company

Particular1MonthReturn(%)6Month Return(%)1Year Return(%)3YearReturn(%)5YearReturn(%)

HDFC Mutual Fund-1.17.9

3.320.976.8

RELIANCE Mutual Fund-0.85.83.724.070.4

SBI Mutual Fund

-0.34.13.324.646.2

UTI Mutual Fund

-0.56.05.523.258.0

IDFC Mutual Fund

-1.14.4

3.527.858.3

Above the chart defines 1 month return of Hybrid schemes of top five mutual fund company, in this chart define all companies shows negative return.

Above the chart defines 6 month return of hybrid schemes of top five mutual fund company, during this chart the HDFC MF company gave highest return as 7.9% than other MF companies.

Above the chart defines 1 Year return of hybrid schemes of top five mutual fund company, during this chart the UTI MF company gave highest return as 5.5% than other MF companies.

Above the chart defines 3 Year return of hybrid schemes of top five mutual fund company, during this chart the IDFC MF company gave highest return as 27.8% than other MF companies.

Above the chart defines 5 Year return of hybrid schemes of top five mutual fund company, during this chart the HDFC MF company gave highest return as 76.8% than other MF companies.CONCLUSIONAs per my analysis of mutual fund, I have done the analysis of investment in different mutual fund companies and it calculating in percentage.Indians save around 30% of their income and are very good in saving ratio. Our saving ratio is one of the best across world, but when it comes to investment, most of the people fail and make major mistakes which hit them at later part of life. Investors today are confused and undecided about the investment decisions. Most of the investors invest without knowing the features of the products and also the risk attached to that. Ours is agents driven market, agents recommends clients without knowing their financial goals and future needs. They are more interested in closing the sale rather than advising and educating clients. On the other hand, clients are not ready to pay the fees for the advice and have no time to put their efforts to study and compare the products recommended. At the end, most of decisions are taken on the advice given by agent or distributors of product. It is seen that in most cases agents pushes the product, which gives them higher commissions.It is a tradition that almost around 85% people in India invest their surplus funds in so called safe products like Bank Fixed Deposits, Postal Schemes and contractual insurance products. Looking at inflation nos., 85% of investment done in traditional forms is unlikely to beat inflation post tax in the long run. There is lack of investors education and awareness. The quality of advice, which is available in the market, is also poor. We are shifting from miselling to wrong buying as 50% of agents have stopped canvassing mutual fund business because of low commissions in mutual funds. The data shows that even there is decline in life insurance agents force due to lower commissions in ULIP product. So as per top companies the mostly people invest in brand name of the company and the performance of return.

RECOMMENDATIONMutual Fund is best optionInvestors always look for good investment opportunity, which gives good returns, but at the time people also want their investment to be safe and secure. Looking at present financial distribution system and quality of advice available in the market, I strongly believe that Mutual Fund Investment can help a lot to investors. Mutual Fund is a mechanism of pooling resources from general public and investing collected funds in debt or equity instruments in accordance with the objectives as disclosed in the offer document. Most of the people think that mutual fund means equity investment. This is not true. Mutual Funds offer both 100% debt to 100% equity and also hybrid products with combination of equity and debt. Mutual Funds also came out with Gold ETFs and Gold Funds, which are much better option compared to physical gold. The past performance of the schemes is also available since inception of the fund. The past performance may not sustain in future but it tells the quality of the funds performance in different cycles of the market, which can help investors before taking any investment decision. Mutual Funds schemes are market related and does not offer any guarantee of returns, which keeps away most of the investors from investing in mutual fund schemes. One has to understand how this schemes works & performs over a period of time and what are risks attached to this. Even debt schemes had given good returns at around 12% p.a. in last one year. Equity schemes always outperform the other asset class in the longer run and beat inflation with a big margin.

BIBLIOGRAPHY www.mutualfundsindia.com www.livemoney.com www.moneycontrolindia.com www.Investopedia.com www.nse-india.com www.markets.com www.amfiindia.com www.economictimes.com HDFC MF Factsheet Reliance MF Factsheet SBI MF Factsheet UTI MF Factsheet IDFC Factsheet, Mint-money Magazine News Paper Clip.

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