A Study On Investors Behavior Towards Mutual Fund of Corporate Employees in Ahmedabad City

A study on Investors Behaviour towards Mutual Fund of Corporate Employees in Ahmedabad city
A
STUDY ON
INVESTORS BEHAVIOUR TOWARDS MUTUAL FUND OF
CORPORATE EMPLOYEES IN AHMEDABAD CITY
SUBMITTED TO:
CENTER FOR MANAGEMENT STUDIES
GANPAT UNIVERSITY
SUBMITTED BY:
RAHUL NISARTA (ROLL NO: 09)
MBA (FINANCIAL SERVICES) SEM-II
MAY-JUNE 2014
1
MBA (FINANCIAL SERVICES) SEM-II MAY-JUNE 2014
Certificate from the Faculty Guide
This is to certify that the dissertation submitted in partial fulfilment for the award of MBA
(FS) of Center For Management Study, Ganpat University is a result of the bonafide research
work carried out by Mr RAHUL NISARTA under my supervision and guidance. No part of
this report has been submitted for award of any other degree, diploma, fellowship or other
similar titles or prizes. The work has also not been published in any journals/Magazines.
Signature of the Faculty Guide: ______________
Name of Faculty Guide: Prof. Mittal Dattani
2
Students Declaration
I hereby declare that this report, submitted in partial fulfilment of the requirement for the
award for the MBA (FS), to Center For Management Study, Ganpat University is my original
work and not used anywhere for award of any degree or diploma or fellowship or for similar
titles or prizes.
I further certify that without any objection or condition subject to the permission of the
company where I did my summer project, I grant the rights to Center For Management Study,
Ganpat University to publish any part of the project if they deem fit in journals/Magazines
and newspapers etc. without my permission.
--------------------------------Signature
Name: RAHUL NISARTA

Class:
MBA (FS SEM- II)
Roll No: 09
Batch: 2013-2015
3
Table of content
Sr no
Particular
Page no
Preface
Acknowledgement
II
Executive summary
III
Introduction
1.1
History of mutual fund
10
1.2
Mutual fund: An overview
12
1.3
Characteristics
13
1.4
Organisation structure of mutual fund
14
1.5
Types of mutual fund
16
1.6
Advantages of mutual fund
18
1.7
Disadvantage of mutual fund
20
1.8
Net asset value
22
1.9
Company profile
25
Literature Review
29
Research methodology
37
3.1
Topic
38
3.2
Objective
38
3.3
Research design
38
4
Data Analysis
41
Frequency distribution
41
Fig 1. Invest in mutual fund
42
Fig 2. Occupation
43
Fig 2. Age
44
Fig 3. Annual income
45
Fig 4. Important parameter while investing
46
Fig 5. Reason for preferring mutual fund
47
Fig 6. Type of mutual fund invested
48
Fig 7. Investment term
49
Fig 8. Schemes prefer to Invest
50
Table of Mean
51
Research Findings
52
Suggestion to company
54
Conclusion
57
Bibliography
59
Annexure
61
4
4.1
4.2
5
PREFACE
In the era of rapid industrialization and technological innovation which has made Gujarat
emerge as industrial state with newer avenues and opportunities.
As per university, it is must for the student of M.B.A.F.S. Sem.II, to prepare report on study
by visiting a particular industry to acquire as well as theoretical knowledge pertaining to that
industry in different aspect about its internal environment.
We have put up our best effort and enumerated every possible information after
observing the activities carried over there, to make this report a satisfactory report
It was a great opportunity and memorable experience interacting with people working there,
collecting information regarding their job and acquiring knowledge.
We have tried to make this report at the best informative report.
6
ACKNOWLEDGEMENT
I am very happy for getting the chance of corporate training. It was like to windows to
business environment. I am thankful to coordinator giving me the golden chance of
corporate training. For my report writing on corporate, guidance was necessary Mr. Mehul
shah.
I am greatly thankful to Unit Manager MR. HARDIK TRIVEDI of Money plant
Finemart Pvt. Ltd. at Ahmedabad. For giving constant of corporate Training in their
organization. I can never forget the co-operation and information provided by all
Information. These people guided me and my parents in very friendly manner in their
organization. I have taken great care in preparing this project work. If you find any error,
Please pardon me.
Thanking you,
7
EXECUTIVE SUMMARY
The project titled Investors behaviour towards mutual fund of corporate

employees being carried out for Money Plant Finemart PVT. LTD. Today an investor
is interested in tracking the value of his investments, whether he invests directly in the
market or indirectly through Mutual Funds. This dynamic change has taken place because
of a number of reasons. With globalization and the growing competition in the
investments opportunity available he would have to make guided and rational decisions on
whether he gets an acceptable return on his investments in the funds selected by him, or if
he needs to switch to another fund.
In order to achieve such an end the investor has to understand the basis of
appropriate preference measurement for the fund, and acquire the basic knowledge of the
different measures of evaluating the performance of the fund. Only then would he be in a
position to judge correctly whether his fund is performing well or not, and make the right
decision.
This project is undertaken to help the investors in tracking the performance of
their investments in Mutual Funds and has been carried out with the objective of giving
performance analysis of Mutual Fund.
The methodology for carrying out the project was very simple that is through
primary data and secondary data obtained through various mediums like of the funds, the
Internet, direct contact with employees of corporate, businessmen, retired person etc. The
analysis of Mutual Funds has been done with respect to its various parameters. I hope
Money Plant Finemart PVT. LTD., Ahmedabad will recognize this as well as take more
references from this project report.
8
CHAPTER 1
9
History of 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 - 1964-1987
Unit Trust of India (UTI) was established in 1963 by an Act of Parliament. It was set up by
the Reserve Bank of India and functioned under the Regulatory and administrative control of
the Reserve Bank of India. In 1978 UTI was de-linked from the RBI and the Industrial
Development Bank of India (IDBI) took over the regulatory and administrative control in
place of RBI. The first scheme launched by UTI was Unit Scheme 1964. At the end of 1988
UTI had Rs. 6,700 crores of assets under management.
Second Phase - 1987-1993 (Entry of Public Sector Funds)
1987 marked the entry of non-UTI, public sector mutual funds set up by public sector banks
and Life Insurance Corporation of India (LIC) and General Insurance Corporation of India
(GIC). SBI Mutual Fund was the first non-UTI Mutual Fund established in June 1987
followed by Canbank Mutual Fund (Dec 87), Punjab National Bank Mutual Fund (Aug 89),
Indian Bank Mutual Fund (Nov 89), Bank of India (Jun 90), Bank of Baroda Mutual Fund
(Oct 92). LIC established its mutual fund in June 1989 while GIC had set up its mutual fund
in December 1990.
At the end of 1993, the mutual fund industry had assets under management of Rs. 47,004
crores.
Third Phase - 1993-2003 (Entry of Private Sector Funds)
With the entry of private sector funds in 1993, a new era started in the Indian mutual fund
industry, giving the Indian investors a wider choice of fund families. Also, 1993 was the year
in which the first Mutual Fund Regulations came into being, under which all mutual funds,
except UTI were to be registered and governed. The erstwhile Kothari Pioneer (now merged
with Franklin Templeton) was the first private sector mutual fund registered in July 1993.
The 1993 SEBI (Mutual Fund) Regulations were substituted by a more comprehensive and
revised Mutual Fund Regulations in 1996. The industry now functions under the SEBI
(Mutual Fund) Regulations 1996.
10
The number of mutual fund houses went on increasing, with many foreign mutual funds
setting up funds in India and also the industry has witnessed several mergers and acquisitions.
As at the end of January 2003, there were 33 mutual funds with total assets of Rs. 1,21,805
crores. The Unit Trust of India with Rs. 44,541 crores of assets under management was way
ahead of other mutual funds.
Fourth Phase - since February 2003
In February 2003, following the repeal of the Unit Trust of India Act 1963 UTI was
bifurcated into two separate entities. One is the Specified Undertaking of the Unit Trust of
India with assets under management of Rs. 29,835 crores as at the end of January 2003,
representing broadly, the assets of US 64 scheme, assured return and certain other schemes.
The Specified Undertaking of Unit Trust of India, functioning under an administrator and
under the rules framed by Government of India and does not come under the purview of the
Mutual Fund Regulations.
The second is the UTI Mutual Fund, sponsored by SBI, PNB, BOB and LIC. It is registered
with SEBI and functions under the Mutual Fund Regulations. With the bifurcation of the
erstwhile UTI which had in March 2000 more than Rs. 76,000 crores of assets under
management and with the setting up of a UTI Mutual Fund, conforming to the SEBI Mutual
Fund Regulations, and with recent mergers taking place among different private sector funds,
the mutual fund industry has entered its current phase of consolidation and growth.
The graph indicates the growth of assets over the years
.
11
MUTUAL FUND: AN OVERVIEW
A Mutual Fund is a trust that pools the savings of a number of investors who
share a common financial goal. The money thus collected is invested by the fund manager
in different types of securities depending upon the objective of the scheme. These could
range from shares to debentures to money market instruments. The income earned through
these investments and the capital appreciations realized by the scheme are shared by its
unit holders in proportion to the number of units owned by them (pro rata). Thus a Mutual
Fund is the most suitable investment for the common strategy.
A mutual fund is the ideal investment vehicle for todays complex and modern financial
scenario. Markets for equity shares, bonds and complex and modern financial scenario.
Markets for equity shares, bonds and other fixed income instruments, real estate,
derivatives and other assets have become mature and information driven. Price changes in
these assets are driven by global events occurring in faraway places. A typical individual
is unlikely to have the knowledge, skills, inclination and time to keep track of events,
understand their implications and act speedily. An individual also finds it difficult to keep
track of ownership of his assets, investments, brokerage dues and bank transactions etc.
A mutual fund is the answer to all there situations. It appoints professionally qualified and
experienced staff that manages each of these functions on a full time basis. The large pool
of money collected in the fund allows it to hire such staff at a very low cost to each
investor. In effect, the mutual fund vehicle exploits economies of scale in all three areas
research, investments and transaction processing. While the concept of individuals coming
together to invest money collectively is not new, the mutual fund in its present form is a
20th century phenomenon. In fact, mutual funds gained popularity only after the Second
World War. Globally, there are thousands of firms offering tens of thousands of mutual
funds with different investment objectives. Today, mutual funds collectively manage
almost as much as or more money as compared to banks.
A draft offer document is to be prepared at the time of launching the fund. Typically, it pre
specifies the investment objectives of the fund, the risk associated, the costs involved in
the process and the broad rules for entry into and exit from the fund and other areas of
operation. In India, as in most countries, these sponsors need approval from a regulator,
12
SEBI (Securities exchange Board of India) in our case. SEBI looks at track records of the
sponsor and its financial strength in granting approval to the fund for commencing
operations.
A sponsor then hires an asset management company to invest the funds according to the
investment objective. It also hires another entity to be the custodian of the assets of the
fund and perhaps a third one to handle registry work for the unit holders (subscribers) of
the fund.
In the Indian context, the sponsors promote the Asset Management Company also, in
which it holds a majority stake. In many cases a sponsor can hold a 100% stake in the
Asset Management Company (AMC). E.g. Birla Global Finance is the sponsor of the Birla
Sun Life Asset Management Company Ltd., which has floated different mutual funds
schemes and also acts as an asset manager for the funds collected under the schemes.
CHARACTERISTICS
A Mutual Fund actually belongs to the investors who have pooled their fund.
A Mutual Fund is managed by investment Professional and other service

providers, who earn fee for their service, from the fund.
The pod of fund is invested in a portfolio of marketable investment. The value o

the portfolio is updated every day.
The investors share in the fund is denominated by units. The value of the units
changes with change in the portfolios value, every day. The value of one unit of
investment is called the Net Asset Value or NAV.
13
ORGANISATION STRUCTURE OF MUTUAL FUND
Structure of the Indian mutual fund industry

The Indian mutual fund industry is dominated by the Unit Trust of India which has a total
corpus of Rs700bn collected from more than 20 million investors. The UTI has many
funds/schemes in all categories ie equity, balanced, income etc with some being openended and some being closed-ended. The Unit Scheme 1964 commonly referred to as US
64, which is a balanced fund, is the biggest scheme with a corpus of about Rs200bn. UTI
was floated by financial institutions and is governed by a special act of Parliament. Most
of its investors believe that the UTI is government owned and controlled, which, while
legally incorrect, is true for all practical purposes.
The second largest categories of mutual funds are the ones floated by nationalized banks.
Canbank Asset Management floated by Canara Bank and SBI Funds Management floated
by the State Bank of India are the largest of these. GIC AMC floated by General Insurance
Corporation and Jeevan Bima Sahayog AMC floated by the LIC are some of the other
prominent ones. The aggregate corpus of funds managed by this category of AMCs is
about Rs150bn.
14
The third largest categories of mutual funds are the ones floated by the private sector and
by foreign asset management companies. The largest of these are Prudential ICICI AMC
and Birla Sun Life AMC. The aggregate corpus of assets managed by this category of
AMCs is in excess of Rs250bn
Recent trends in mutual fund industry

The most important trend in the mutual fund industry is the aggressive expansion of the
foreign owned mutual fund companies and the decline of the companies floated by
nationalized banks and smaller private sector players.
Many nationalized banks got into the mutual fund business in the early nineties and got off
to a good start due to the stock market boom prevailing then. These banks did not really
understand the mutual fund business and they just viewed it as another kind of banking
activity. Few hired specialized staff and generally chose to transfer staff from the parent
organizations. The performance of most of the schemes floated by these funds was not
good. Some schemes had offered guaranteed returns and their parent organizations had to
bail out these AMCs by paying large amounts of money as the difference between the
guaranteed and actual returns. The service levels were also very bad. Most of these AMCs
have not been able to retain staff, float new schemes etc. and it is doubtful whether,
barring a few exceptions, they have serious plans of continuing the activity in a major
way.
The experience of some of the AMCs floated by private sector Indian companies was also
very similar. They quickly realized that the AMC business is a business, which makes
money in the long term and requires deep-pocketed support in the intermediate years.
Some have sold out to foreign owned companies, some have merged with others and there
is general restructuring going on.
The foreign owned companies have deep pockets and have come in here with the
expectation of a long haul. They can be credited with introducing many new practices such
as new product innovation, sharp improvement in service standards and disclosure, usage
of technology, broker education and support etc. In fact, they have forced the industry to
upgrade itself and service levels of organizations like UTI have improved dramatically in
the last few years in response to the competition provided by these.
15
TYPES OF MUTUAL FUNDS
Mutual fund schemes may be classified on the basis of its structure and its investment
objective.
BY STRUCTURE:
OPEN ENDED FUNDS
An open-end fund is one that is available for subscription all through the year. These do
not have a fixed maturity. Investors can conveniently buy and sell units at Net Asset Value
(NAV) related prices. The key feature of open-end schemes is liquidity.
CLOSED-ENDED FUNDS
A closed-end fund has a stipulated maturity period which generally ranging from 3 to 15
years. The fund is open for subscription only during a specified period. Investors can
invest in the scheme at the time of the initial public issue and thereafter they can buy or
sell the units of the scheme on the stock exchanges where they are listed. In order to
provide an exit route to the investors, some close-ended funds give an option of selling
back the units to the Mutual Fund through periodic repurchase at NAV related prices.
SEBI Regulations stipulate that at least one of the two exit routes is provided to the
investor.
16
INTERVAL FUNDS
Interval funds combine the features of open-ended and close-ended schemes. They are
open for sale or redemption during pre-determined intervals at NAV related prices.
BY INVESTMENT OBJECTIVE:
GROWTH FUNDS
The aim of growth funds is to provide capital appreciation over the medium to long-term.
Such schemes normally invest a majority of their corpus in equities. It has been proven
that returns from stocks, have outperformed most other kind of investments held over the
long term. Growth schemes are ideal for investors having a long-term outlook seeking
growth over a period of time.
INCOME FUNDS
The aim of income funds is to provide regular and steady income to investors. Such
schemes generally invest in fixed income securities such as bonds, corporate debentures
and Government securities. Income Funds are ideal for capital stability and regular
income.
BALANCED FUNDS
The aim of balanced funds is to provide both growth and regular income. Such schemes
periodically distribute a part of their earning and invest both in equities and fixed income
securities in the proportion indicated in their offer documents. In a rising stock market, the
NAV of these schemes may not normally keep pace, or fall equally when the market falls.
These are ideal for investors looking for a combination of income and moderate growth.
17
ADVANTAGES OF MUTUAL FUND
Professional Management:
Mutual Funds provide the services of experienced and skilled professionals, backed by a
dedicated investment research team that analyses 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 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.
Convenient Administration:
Investing in a Mutual Fund reduces paperwork and helps you avoid many problems such
as bad deliveries, delayed payments 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-end schemes, the investor gets 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
18
exchange at the prevailing market price or the investor can avail of the facility of direct
repurchase at NAV related prices by the 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 of its large corpus allows even a small investor to take the benefit
of its investment strategy.
Choice of Scheme:
Mutual Fund offers a family of schemes to suit your varying needs over a lifetime.
Well Regulated:
All Mutual Funds are registered with SEBI and they function within the provisions of
strict regulations designed to protect the interests of investors. The operations of Mutual
Funds are regularly monitored by SEBI.
19
DISADVATAGE OF MUTUAL FUND:

No Guarantees:
No investment is risk free. If the entire stock market declines in value, the value of mutual
fund shares will go down as well, no matter how balanced the portfolio. Investors
encounter fewer risks when they invest in mutual funds than when they buy and sell stocks
on their own. However, anyone who invests through a mutual fund runs the risk of losing
money.
Fees and Commissions:

All funds charge administrative fees to cover their day-to-day expenses. Some funds also
charge sales commissions or loads to compensate brokers, financial consultants, or
financial planners. Even if you dont use a broker or other financial advisor, you will pay a
sales commission if you buy shares in a Load Fund.
Taxes:
During a typical year, most actively managed mutual funds sell anywhere from 20 to 70
percent of the securities in their portfolios. If your fund makes a profit on its sales, you
will pay taxes on the income you receive, even if you reinvest the money you made.
Management Risk:
When you invest in a mutual fund, you depend on the funds manager to make the right
decisions regarding the funds portfolio. If the manager does not perform as well as you
had hoped, you might not make as much money on your investment as you expected. Of
course, if you invest in Index Funds, you forego management risk, because these funds do
not employ managers.
THE RISK-RETURN TRADE-OFF:

The most important relationship to understand is the risk-return trade-off. Higher the risk
greater the return/loss and lower the risk lesser the return/loss. Hence it is up to you, the
20
investor to decide how much risk you are willing to take. In order to do this you must first
be aware of the different type of risk involved with your investment decision.
MARKET RISK:
Sometime prices and yield of all securities rise and fall. Broad outside influences affecting
the market in general lead to this. This is true, may it be big corporation or smaller midsized companies. This is known as Market Risk. A Systematic Investment Plan(SIP)that
works on the concept of Rupee Cost Averaging(RCA)might help mitigate this risk
CREDIT RISK:
The debt servicing ability (may it be interest payment or repayment of principal) of a
company through its cash flow determines the Credit Risk faced by you. This credit risk is
measured by independent rating agencies like CRISIL who rate companies and their paper.
An AAA rating is considered the safest whereas a D rating is considered poor credit
quality. A well-diversified portfolio might help mitigate this risk.
INFLATION RISK:
Things you hear people talk about: Rs.100 today is worth more than Rs.100 tomorrow.
Remember the time when a bus ride costed 50 paisa? Mehangai Ka Jamana Hai. The
root cause, Inflation. Inflation is the loss of purchasing power over time. A lot of times
people make conservative investment decision to protect their capital but end up with a
sum of money that can buy less than what the principal could at the time of the
investment. This happens when inflation grows faster than the return on your investment.
A well diversified portfolio with some investment in equities might help mitigate this risk.
INTEREST RATE RISK:

In a free market economy interest rates are difficult if not impossible to predict. Changes
rates affect the prices of bond as well as equities. If interest rates raise the prices of bond
fall and vice versa. Equity might be negatively affected as well in a rising interest rate
environment. A well-diversified portfolio might help mitigate this risk.
21
POLITICAL/GOVERNMENT POLICY RISK:

Changes in government policy and decision can changes the investment environment.
They can create a favourable environment for investment or vice versa.
LIQUIDITY RISK:
Liquidity risk a rise when it become difficult to the security that one has purchase
Liquidity risk can be partly mitigated by diversification, staggering of maturity as well as
internal risk control that leant towards purchase of liquid security.
NET ASSET VALUE (NAV)

The net asset value of the fund is the cumulative market value of the assets fund net of its
liabilities. In other words, if the fund is dissolved or liquidated, by selling off all the assets
in the fund, this is the amount that the shareholders would collectively own. This gives
rise to the concept of net asset value per unit, which is the value, represented by the
ownership of one unit in the fund. It is calculated simply by dividing the net asset value of
the fund by the number of units. However, most people refer loosely to the NAV per unit
as NAV, ignoring the "per unit". We also abide by the same convention.
22
Calculation of NAV
The most important part of the calculation is the valuation of the assets owned by the fund.
Once it is calculated, the NAV is simply the net value of assets divided by the number of
units outstanding. The detailed methodology for the calculation of the asset value is given
below.
Asset value is equal to

Sum of market value of shares/debentures
+ Liquid assets/cash held, if any
+ Dividends/interest accrued
Amount due on unpaid assets
Expenses accrued but not paid other liabilities
Net Asset Value=----------------------------------------------------------------No of units outstanding of the scheme
Details on the above items

For liquid shares/debentures, valuation is done on the basis of the last or closing market
price on the principal exchange where the security is traded.
For illiquid and unlisted and/or thinly traded shares/debentures, the value has to be
estimated. For shares, this could be the book value per share or an estimated market price
if suitable benchmarks are available. For debentures and bonds, value is estimated on the
basis of yields of comparable liquid securities after adjusting for illiquidity. The value of
fixed interest bearing securities moves in a direction opposite to interest rate changes
Valuation of debentures and bonds is a big problem since most of them are unlisted and
thinly traded. This gives considerable leeway to the AMCs on valuation and some of the
AMCs are believed to take advantage of this and adopt flexible valuation policies
depending on the situation.
Interest is payable on debentures/bonds on a periodic basis say every 6 months. But, with
every passing day, interest is said to be accrued, at the daily interest rate, which is
23
calculated by dividing the periodic interest payment with the number of days in each
period. Thus, accrued interest on a particular day is equal to the daily interest rate
multiplied by the number of days since the last interest payment date.
Usually, dividends are proposed at the time of the Annual General meeting and become
due on the record date. There is a gap between the dates on which it becomes due and the
actual payment date. In the intermediate period, it is deemed to be "accrued".
Expenses including management fees, custody charges etc. are calculated on a daily basis.
24
Company profile
Money Plant Finemart Pvt. Ltd.
25
About Company
Money Plant is born to help its investors in achieving their financial goals and
accomplishment of dreams by providing unbiased appropriate advise at right time to become
'Paisa nu Zaad' in true sense.
In todays fast lifestyle investor has very little time to manage his portfolio and monitor it on
regular basis. He is totally confused between current expenses and savings for bright future.
His situation is like person standing on crossroad and not aware about the direction. He is
afraid of choosing wrong path which will lead him years back in personal life and will miss
golden opportunities of life. So our primary role is to identifying financial goal and analysis
of present financial situation. Based on it we will indicate the path and speed at which he can
travel the journey successfully to accomplish dreams and needs.
Money Plant has Strong team and processes to cater Best Sales and after sales service.
Vision
Har Sapna Sakaar Kare
Mission
Best After Sales Service
Technology
Every important data on single click
USP
Every advice will be minutised
Methodology :
Scientific Method for identifying Risk to Return Balance with financial

for Advise
goals
26
Benefits
Predefined additional Service criteria for Silver & Gold Clients
Service Criteria
Silver
Gold
DNA Report and Budgeting
Yes
Yes
360* Financial Planning
Yes
Yes
Financial Check up
Yes
Yes
Policy Audit
Yes
Yes
Service @ Home
Yes
Yes
Web Portal*
Yes
Yes
Relationship Manager
Dedicated RM
Dedicated RM
Product Updation
Telephonic/ Mail
Telephonic/ Mail
Knowledge Updation
Client Meet
Client Meet
Portfolio Review
Yearly
Half Yearly
Mehul Shah (Director)

He was working as senior manager in Multi National Company for 5 years for customers
awareness for financial planning. He is very passionate about wealth creation of investors by
empowering and educating them through genuine advice. He has conducted more than 170
public meetings for financial awareness and managed more than 35000 investors through able
team.
Mihir Dhruv (Director)

He has reach experience of 17 years in financial industry. He was catering services to more
than 2000 investors. He is looking after customer satisfaction and best after sales practice at
Money Plant
27
Dr B T Patel
I am Doctor by Profession and doing my practice since 34 years. I am very happy doing this
work because it gives me immense pleasure to service the society and proving them solutions
for problems. This profession has provided me job satisfaction and fame in the society. But
when I see towards the financial industry like you I am also disappointed by the response of
the agents. I feel that they are representing their companies and not the customers whose hard
earned money they are managing. Being an investor, it is my experience and observation that
more clarity and after sales service is required from the advisors and trust must be created
between investor and advisor to fulfill their financial goals.
I know both the directors of Money Plant Finmart Pvt Ltd since long time. They are working
in financial field and taking the feedback of various investors to launch the better services. I
was very happy when they shared their concept with me about offering solutions to investors
by empowering them and doing proper financial planning. People say Health is Wealth but
I must say if you dont have enough wealth it is difficult to manage the health. All the best to
team Money Plant to complete the mission of investors Har Sapna Sakar Kare
28
CHAPTER 2
LITREATURE REVIEW
29
LITERATURE REVIEW
According to the study conducted by "K.Lakshmana rao " "A Study on investors behaviour towards
Mutual fund of corporate employees " in participation in JOURNAL ON BANKING FINANCIAL SERVICES
& INSURANCE Research.
Authors Rajeswari and Ramamoorthy (2001)1 have conducted the study titled "An
Empirical Study On Factors Influencing The Mutual Fund ", to understand the factors
influencing the fund selection behaviour of 350 mutual fund investors in order to provide
some meaningful inferences for Asset Management Companies(AMC) to innovatively
design the products. The analysis was done on the basis of product qualities, fund sponsor
qualities and investor services using questions framed on a five point Likert scale. The
evaluation was done by factor analysis and principal component analysis to arrive at the
findings of the study which were as follows: the most important product quality was the
performance of the fund followed by brand name of the scheme; sponsor related factor
that given more importance by the investor was the expertise of the sponsor in managing
money and finally the investor service that was considered important was the disclosures
on investment objectives, methods and periodicity of valuation in advertisements.
Singh and Vanita (2002)2 in the paper "Mutual Fund Investors' Perceptions and
Preferences-A Survey" have examined the investors' preferences and perception towards
mutual fund investments by conducted a survey of 150 respondents in the city of Delhi.
The study has investigated in the following research issues: 1) the basic objectives form
Vestments and average time horizon; 2) investment experiences; 3) risk, return, safety
and diversification; 4) preferences of financial assets and investment schemes of mutual
funds. The findings of the study were that the investors' preferred to invest in public
sector mutual funds with an investment objective of getting tax exemptions and stayed
invested for a period of 3-5 years and the investors evaluated past performance. The study
further concludes by stating that majority of the investors were dissatisfied with the
performance of their mutual fund and belonged to the category who held growth schemes.
King (2002)3 in the study titled "Mutual Funds: Investment of Choice for individual
investors?" has highlighted the emergence of products like exchange traded funds, hedge
funds, managed accounts etc. which offer competition to mutual funds. The paper further
discusses that the introduction of these products will see .major structural changes in
financial system as there will be consolidation of position by various players resulting in
reduced expense ratios, lower costs and greater tax efficiency for the investor.
30
Sankaran (2004)4 in the article "Mutual Funds: Can You Afford to ignore them?"
provides an enhanced understanding of the concept of mutual fund, types of asset classes
for investment, classification of schemes, benefits and disadvantages of investing in
mutual funds. The author proposes that the future direction for investors will be to invest
in pensionfunds, as government is envisaging a policy to cover all kinds of investors. The
funds will cater to low risk taking investor with a long term investment horizon and will
be a tough competitor for mutual funds in future. The author is of the opinion that mutual
fund industry will continue to grow in spite of competition and will be propelled in the
right direction because of the investor friendly financial markets.
Gupta and Gupta (2004)5 in the paper "Performance Evaluation of Select Indian Mutual
Fund Schemes: An Empirical Study", have studied the performance of 57 growth
schemes using the Net Asset Values for the period April 1999 to March 2003. The paper
used performance evaluation measures of Sharpe, Jensen, Trey nor and Fama to arrive at
the finding that some funds performed better than the market because only few managers
had the stock selection skills and as a result the funds were exposed to large diversifiable
risk. Sondhi and Jain (200S), in the research paper titled "Financial Management of
Private and Public Equity Mutual Funds in India: An Analysis of Profitability", have
examined the performance of equity mutual funds classified on the basis of public sector
and private sector. The authors have studied 36 equity mutual funds comprising of 17
companies from public sector and 19 companies from private sector drawn from 21 asset
management companies. The paper evaluated the performance by comparing the returns
to bench mark indices of Nifty and Sensex and found that the returns generated by private
sector and public sector mutual funds are very inferior to market returns.
Another finding is that the private sector Singh and Chander (2004)6 in the article "An
Empirical Analysis of Perceptions of Investors towards Mutual Funds" have conducted
research by examining 400 investors in major cities of Punjab, Delhi and Mumbai by
administering a Questionnaire having various parameters of perceptions of investors
towards mutual fund. Factor analysis was used to find the significant factors affecting
perception of investors. The research was done in two parts. The first is to find
preferences and perception of mutual fund and second was to find reasons for investors
withdrawing investments from mutual funds. The study established that middle class
salaried investors and professionals perfected to have disclosure of net asset value on a
day today basis and wanted to invest in mutual funds in order to get higher tax rebates.
Further it is evidenced that small investors perceived mutual funds to be better investment
alternative and public sector investments to be less risky: The study further revealed that
31
the investor did not have confidence on the management of funds and regulators of the
market and cited these as reasons for withdrawing from the mutual fund investment.
Manjesh (2005)6 in article titled "Money Market Mutual Funds (MMMFs): A Macro
Perspective" has elucidated the origin, features and advantages of MMMFs as to being a
very viable option for investment for the retail investor as Money Markets offer superior
returns in comparison with bank deposits, are highly liquid at relatively lower risk for
short term funds. The paper focuses on the advantages of MMMF investment for a retail
investor and discusses the problems in penetration of MMMFs for the retail investor in
India as it is obstructed by perceived conflict of interest by the regulators (RBI and SEBI)
in the matter of control of MMMFs, lack of Mutual Funds points of contact across the
country, the reliance of Mutual Fund industry on corporate investment and structural
constraints. Bodla and Garg
(2007)7 in the research work namely "Performance of Mutual Funds in India- An
Empirical Study of Growth Schemes" have analyzed 24 growth schemes on the basis of
simple random sampling technique. The reference period of the study is January 1997.
December 2004. The monthly net asset values have been considered for the study.
According to the study conducted by "SINDHU.K.P and Dr. S.RAJITHA KUMAR" "A Study on
investors behaviour towards Mutual fund of corporate employees " in participation in . International
Journal of Management (IJM)
A review of theoretical and empirical literature pertaining to the topic of the study is an
integral part of any research work. Hence, an attempt has been made here to review
various studies relating to investors behaviour, attitudes on characteristics of mutual
funds as reported by experts, professionals and researchers at national and international
level. This will help to find out new area hitherto unexplored and to study them in depth.
Capon, Fitzsimons, and Weingarten (1994) found out that consumers use the information
on past performance, safety , amount of sale of charge , management fee, fund manager
reputation, fund family etc. for mutual fund purchase decision. The differences between
affluent and typical were that.
Saibaba and Vipparthi (2012) conducted a study on perceptions of investors on mutual

funds. The study revealed that the mutual fund business in Warangal city was in the
growth stage. Majority of the investors had stated that lack of knowledge as the primary
reason for not investing in mutual funds. Diversification of portfolio, minimization of
risk, grater tax benefits were the top most factors that motivate investor to invest in
mutual funds.
32
Ajaz and Gupta (2012) investigated the preferences of investors towards mutual fund
schemes. The primary data was collected across the states of Jammu and Kashmir and
Punjab. Various statistical tools were applied to the data so collected. The findings of the
study revealed that investment returns, perception of investors, information sources,
investors valuation, investors objectives and investments decisions have significance
impact on retail investors preferences.
According to the study conducted by "Dr.Hayat M.Awan and Shanza Arshad" "A Study on investors
behaviour towards Mutual fund of corporate employees " in participation in INTERDISCIPLINARY
JOURNAL OF CONTEMPORARY RESEARCH IN BUSINESS.
The proliferation of mutual funds has made it a challenge for investors to select a right
fund to invest. In response to this many magazines and newspapers are available to assist
the investor to that past performance is not only the guarantee of future return.
There are other factors that affects on decision making, but investors make cognitive
errors while selecting funds . Walia and Kiran (2009) conducted a research on investors
risk perception towards the mutual fund services. In this study they identified
investors expectations and parameters that caused dissatisfaction . In this study
innovation of mutual funds portfolio are also highlighted that these innovations should be
according to investors expectations. Major finding of this study is that investors wants
innovative products and wants to add quality in existing services. Research findings of
both Ippolito and Bogle(1992 cited in Ranganathan,p.3) showed that investor selects
funds on basis of past performance of funds and investor s spends more money on
winning funds than they flows out of losing funds.Lu Zheng (1998 cited in Ranganathan,
p.3) studied the fund selection ability of investors and his findings
showed
that
investors takes investment decisions on basis of short-term future performance of

funds and mostly use fund specific information while taking investment decisions
regarding mutual funds. Research conducted by Madhusudhan V.Jambodekar (1996 cited
in Ranganathan, p.3) showed that investors preferred income funds over growth funds,
investor give more importance to these factors while buying funds i.e. safety of principal,
liquidity, capital appreciation. Findings of the research showed that newspaper and
magazines are major source from which investors got information about funds. This
study also showed that investor services are also major contributing factors for
investors while selecting the fund.
Research conducted by Rajeswari and Ramamoorthy (2001 cited in Rao, 2011) on

An Empirical study on factors influencing the mutual fund/scheme selection by
retail investors. The results of study revealed that among product qualities the
33
most important factor was performance of the fund followed by brand name of scheme;
among sponsor related factor the most importance factor was expertise the sponsor by
managing money and in customer services the most importance factor was disclosure
on investment objective the second important was methods and periodicity of
valuation in advertisements.Donnor and Oxenstierna (2007) in their thesis conducted
on the factors that investor value while choosing mutual fund on Swedish market. It
is founded that company related factors i.e. reputation and availability is more valued
by inexperienced investors because they lack necessary knowledge about complex
financial products. But experienced investors value fund specific attributes and
demands good presence of company in market in order to recognize it.
Rao (2011) conducted study on Analysis of individual investor behavior towards Mutual
Fund Scheme. In this study author presents mutual fund investor awareness and adoption
of different schemes with educational level. The research findings showed that with
increased level of education is linked with greater risk tolerance. This tends to support
the hypothesis developed in previous researches i.e. positive relationship exists between
educational attainment and financial risk tolerance.Lewellen, Lease and Schlarbaum(cited
in Nagy and Obenberger ,1994) conducted the research on demographic basis i.e. age,
gender ,income and education affects investor preferences for overall return, capital
gain and dividend yield.Barnewell (cited in Nagy and Obenberger ,1994) finds that
individual investor behavior can be predicted by occupation, life style and
riskaversion. Warren et al. founded that individual investment choice based upon
life style and demographic attributes.
According to Ranganathan (2006) mostly in financial literature it is considered that

investors are rational. But that is not the case the investors behaviour is dynamic factor,
which is based upon belief, perceptions and expectations. Investor behaviour changes
with the time period even if the variables are constant. Proponents of behavioural finance
say that investors are not always rational but rather they are human. Muhammad wrote a
paper on is the behaviour of individual investor is rational In his paper he highlighted
that despite the traditional assumption of finance with the rational investor behaviour
there are some behavioural traits; perception and more importantly psychological factor
sharpen the investor behaviour. This new paradigm behavioural finance rests upon
the literature of cognitive psychology. Investor exhibit following psychological traits:
Investors make systematic error while making decision called heuristics, are
overconfident, put too much weight on recent past (heuristics),are slow to pick up a
change(conservatism),avoid to realize paper loss and seek to realize paper
gain(disposition effect),they prefer to invest in familiar stocks or funds because they think
34
that it is less risky investment than other and consider it a safe investment(familiarity
biases), they are loss-averse and present the individual matters wrongly(framing effect).
Prospect theory, regret theory, anchoring effect provides basic foundation of behavioural
finance which in turn explains the investor behavioural traits.Barber, Odean, &
Zheng(2000) in their article behaviour of investor highlighted three important points:
1) Investors buy only those funds that have showed good past performance.
2) Investors are reluctant to sell losing funds and are ready to sell winning fund.
3) Investors are less likely to buy the funds having high transaction fee i.e. brokerage fee, front
end load fee. They argued that when purchasing a fund investor exhibit representative heuristic
Investors believe that past performance is overly representative of future performance . Thus investor
buys a fund on basis of past performance According to behavioural finance investors exhibit
over-confidence while selecting the past winner funds and overly estimates their future performance
(Barber et al. (2000)). Samuelon and Zeckhauser (1988) studied behavioural biases status quo bias,
which is closely related to endowment effect. In this situation investors do nothing. Investors
invest in fund or stock that already have purchased, does not change investment pattern.
Investors are of the point of view that changing investment pattern will be perceived as having bad
investment choice in past.
According to Simon (200) behavioural finance studies the psychological and sociological that
influence the financial decision making process of individuals, groups and entities. In this study the
theories of behavioural finance are discussed like cognitive dissonance, prospects theory and regret
theory. Festingers theory of cognitive dissonance states that people feel internal tension and anxiety
when faced with conflicting beliefs. They try to reduce inner conflicts firstly by changing past
values and beliefs, secondly try justifying their choices. Investors also exhibit this kind of behaviour
when making investment decisions.
Goetzmann in 1997 examined the cognitive dissonance in mutual fund investor.

According to this research the mutual funds investors exhibit cognitive dissonance while
selling and buying mutual funds. Mostly investor spends greater money on leading
mutual funds than lagging one. But investors are reluctant to admit that they have made
bad investment and do not want to sell it. make decision regarding the investment. But the
investors do not have proper expertise to make this information useful that guide them
in decision making. A large number of websites and financial software are
available as screening tools. But majority of investors are not able to screen variables
properly and make an asset allocation decisions. These screening tools do not consider the
preferences of investors properly. An alternatives way is to hire broker to make
35
investment
decisions
keeping
in
view
investors
objectives,
preferences
and
investment constraints (Saraoglu & Detzler, 2002)
According to Talluru (1997) the objective of mutual fund selection process is to choose a
fund from large number of available fund within the limits defined by investor preference,
economic climate and constraints. In this study researches argue that it is very complex
procedure to select appropriate fund and majority of investors lack awareness and
expertises . They developed a fuzzy system to select appropriate fund. This fuzzy system
of selection removes vagueness in selection process and novel way of mutual funds
selection (Talluru, 1997).Woerheide (1982) conducted a study on investor response
to suggested criteria for mutual funds in which he tested the effect of different factors.
It was proved that factors like size of fund, effectiveness of marketing programme and
past return of funds have great impact. Among these the effectiveness of marketing
programme has strong impact.
Noel Capon (1994) in a study Affluent investors behaviour and mutual fund purchases
stated that there are many evidences that supports that in spite of risk and return
other factors also effect on mutual fund selection, for example a consumer survey 1990
on mutual fund it was founded that past performance and level of risk are two
aggregate important factors but other factors also effect like management fee, amount
of sales charges, reputation of fund family, funds already owned
in
family,
recommendation from magazine and newsletter and clarity of accounting statements.

Investor showed different behavioural trait and they prefer different factors while
selecting fund because of different demographic background. Wilcox conducted research
in 2002 on investors preferences for stock mutual funds in which they conducted a
conjoint study on 50 investors. Analysis showed that investors weighted past performance
more than fee structure. The wealthier and the knowledgeable investors are more biased
towards load while selecting the mutual funds. But the authors are of the point of view.
36
CHAPTER 3
RESEARCH METHODOLOGY
37
RESEARCH METHODOLOGY
Types of Research Design: -Exploratory research design

Exploratory Research: - Descriptive Data.
Primary Data: - Market survey
Secondary data:
External Secondary Data: - Private Secondary Data.
Private Secondary Data: - Internet
Conclusive research: - single cross sectional, descriptive Research.
Data collection method: - Survey (Personal).
Data collection instrument: - Questionnaire.
Sampling Design:-
Target Population Definition:
Target population: - Corporate employees of Ahemadabad city.
Sampling Elements: - Behaviour of Person who invest money in mutual

fund
Sampling Units: - Behaviour of Person who invest money in mutual fund
Sampling frame: - Not available.
Sampling Size: - 100
Extent: - Ahemdabad city.
Sampling Techniques: - Non-Probability convenience method.
38
Sample Size Determination:Calculation:A conducting research on investment behaviour of corporate employees .

It is using Likert scale for measuring service quality & also he allowed 0.11 errors
in measurement. Confidence level is 95%.
Step: - 01 calculation of standard deviation.
Se = Maximum value Minimum value

6
= 5-1
6
=
4
6
= 0.67
Step: - 02 calculation of Z value.
39
Z = 1.64
Step: - 03 Calculation of sample size.
N = ZS 2
e
= 1.64 0.67 2
0.11
N = 99.78 = 100.
Scaling Techniques: -
Data Analysis:-
Data Analysis Software: - MS Excel & SPSS.
40
CHAPTER 4
DATA ANALYSIS
41
DATA ANALYSIS
1 Do you invest in mutual fund?
Investing (MF)
Frequency Percent
Valid Yes
No
93
93.0
7.0
Total 100
100.0
INTERPRITATION:From the above graph i conclude that 93% corporate employees are invest in mutual fund.
7% corporate employees are not invest in mutual fund.
42
2 .What is your occupation?

Occupation
Valid
Private job
Business
Retired
Govt job
Total
Frequency
48
18
13
21
100
Percent
48.0
18.0
13.0
21.0
100.0
Occupation
50
40
Frequency
30
20
10
0
Private job
Business
Retired
Govt job
Occupation
INTERPRITATION:From the above graph i conclude that 48% employees does the privat job .18% has there own
business ,and 13% are retired person working and 21% are government employees .
43
3.What is your age?

Age
Frequency Percent
Valid 20 year to 30
year
31 year to 40
year
41 year to 50
year
More than 51
tears
Total
31
31.0
39
39.0
10
10.0
20
20.0
100
100.0
INTERPRITATION:From the above graph i conclude that the age group from 20 to 30 is 31 %,and 31 to 40
has39 ,and 41 to 50 10, and above then 50 are20
44
4.What is your annual income?

Annual income
Frequency Percent
Valid Less than 1.5 lacks 5
1.6 lacks to 2.5
lacks
2.6 lacks to 3.5
lacks
More
than
3.6
lacks
Total
5.0
9.0
13
13.0
73
73.0
100
100.0
INTERPRITATION:-
From the above graph i conclude that annual income less the 1.5 lacks are 5%,and between
1.6 to 2.5 are 9%,and between 2.6 to 3.5 are 13 % and more the 3.6 lacks are 73%.
45
5. What do you consider the most important parameters while investing?
Parameters of investing
Valid
Frequency
Percent
Returns
21
21.0
Inflation
33
33.0
Company
22
22.0
Lower risk factors
12
12.0
Credit rating
7.0
Lock in period
5.0
Total
100
100.0
INTERPRITATION:From the above graph i conclude that parameter of returns are 21%,and inflation are 33%,and
company has 22%,and low risk factors are 12 % and credit rating are 7 %and lock in period
are 5 %.
46
6. Reasons for preferring any mutual fund?
Reason for preferring (MF)
Frequency Percent
Valid Returns
23
23.0
Lock in Period 19
19.0
Lower
risk
25
25.0
Credit rating
13
13.0
Inflation
6.0
Company
14
14.0
Total
100
100.0
factor
INTERPRITATION:From the above graph i conclude that reason for preferring in mutual fund returns has 23 %,
and lock in period has 19 % and low risk factor has 25 % and credit rating has 13% and
inflation has 6 % and on company 14 %.
47
7. In which type of mutual fund schemes you have invested ?

Type of (MF )scheme
Valid
Frequency
76
24
100
Debt schemes
Equity schemes
Total
Percent
76.0
24.0
100.0
Valid Percent
76.0
24.0
100.0
Cumulative
Percent
76.0
100.0
TypeofMFscheme
Debt schemes
Equity schemes
INTERPRITATION:From the above graph i conclude that schemes debt has 76 % and Equity schemes has
24 %.
48
8.You have invested in any term in any mutual fund?

Term of (MF)
Frequency Percent
Valid Short
term
Long
term
Total
53
53.0
47
47.0
100
100.0
INTERPRITATION:From the above graph i conclude that investor choose in short term is 53 % and in long term
47 % choose the long term.
49
9.Which type of schemes do you prefer to invest?

Schemes of (MF)
Frequency Percent
Valid Closed
40
40.0
Open ended
48
48.0
Interval
12
12.0
Total
100
100.0
ended
INTERPRITATION:From the above graph i conclude that schemes of mutual fund close ended 40 % and 48 %
has open ended and interval has 12 %
50
Table of Mean
Particular
Mean value
Risk based mutual fund
2.78
Fund based portfolio
2.37
Re-purchase price in (MF)
2.59
Overall experience
2.29
Financial planning based (MF)
2.40
Re-invest in (MF)
2.45
Interpretation
The research show that risk based mutual fund mean value is higher than other statement that
is 2.78 % and overall experience is lesser then other is 2.29 %
51
CHAPTER 5
RESEARCH FINDINGS
52
RESEARCH FINDING
Research conclude that investors invest in the mutual fund but there lack of
knowledge about mutual fund.
Research concludes that corporate employees invest in mutual fund at the

recommendation of other or advisers.
In mutual fund there are mostly investor are from private job they are able to take
risk investing in the risk Mutual Fund and they are only related equity share.
Some People interesting but they have overall bad experience because they was
invested then market gone down and they withdrawal from market.
Research conclude that More ever the corporate employee feel that mutual fund is
risky.
Research conclude that more ever business men has able to take the risk and they
usually use the debt market and go through the long term so business men have
the good profit and reinvest in the mutual fund
Research conclude that more ever investor has there parameter on the company
because the investor want good returns .
Research conclude that the government employees has lack of time and they
mainly focus on the long term schemes invest and with the good returns so mainly
the employees that go through too short term then they face the loss by the market.
Research conclude that investor preferring the low risk factor
53
CHAPTER 6
SUGGESTION TO COMPANY
54
SUGGESTION TO COMPANY
As the company is under the soft launching process so as the
companys requirement they want to know about the
investor
behavior of corporate and businessmen as field work was done the

employees of corporate has the lack of knowledge so the awareness
of the mutual fund .
The other suggestion was that they Target population more ever the
age between 20 to 30 because this is the only time they earn for the
future goal and mainly earn for the children requirement
And the income earn by the employees is 1.5 to 2.5 has to the
future goal but they want to go through less risk so ratio invest in
the equity keep less and investor can earn from the debt at some of
the interval
And invester that have bad experience about mutual fund in past
the proper guide regarding to mutual fund must provide to them
and proper guide about the schemes work.
Majority corporate employees are aware about mutual fund , but

the level of knowledge is very low
So research suggest that
company organize the seminar of awareness about mutual fund.

And provide the knowledge of all financial Instruments.
Company should tell the truth about the product. They should not
hide any information from the investors.
Company should arrange the seminars on the mutual fund on
priority bases. Because most of the investors are not aware about
55
mutual fund or investors have the negative impact of mutual fund.

So company should arrange seminars about awareness of mutual
fund and they should called up the well known speaker for that.
Company should appoint the more relationship managers for giving

good facility to the investors.
Company should improve the after sales services.
56
CHAPTER 7
CONCLUSION
57
Conclusion
Degree of investors behaviour in respondents who are investing in the

financial product is cumulatively high to medium level. So that mutual
fund is at growing stage in the market of the Ahmedabad. Respondents
think that mutual fund has more risk for investment. Most of the
respondent are invest in mutual fund but they exit when market goes down
and more ever invest in high risk in equity . There are main factors that can
be affected to the investors behaviour are returns, emergency need,
and
convenience by using.
58
CHAPTER 8
BIBLIOGRAPHY
59
Bibliography
WWW.AMFIINDIA.COM
WWW. MUTUALFUNDSINDIA.COM
WWW.NJINDIAINVEST.COM
www.zenithresearch.org.in
http://www.iaeme.com/
www.cba.uri.edu/tong/fin691a.doc
www.ccfr.org.cn/cicf2005/paper/20050205142351
www.nber.org
60
CHAPTER 9
ANNEXURE
61
Topic
A study on investor behaviour towards mutual funds of corporate
employees in Ahmedabad city.
1 .Name : ___________________________________________
2. Do you invest in mutual fund?
Yes
No
3. What is your occupation?

Private job
Business
Retired
Govt job
20 year to 30 year
31 year to 40 year
40 year to 50 year
More then 50 years
4. What is your age?
5. What is your annual income?

Less than 1.5 lacks
2.6 lacks and 3.5 lacks
(
(
1.6 lacks to 2.5 lacks
3.6 lacks and above
(
(
6. What do you consider the most important parameters while investing?

Returns
Inflation
Company
Lower risk factors
Credit rating
Lock in period
7. Reasons for preferring any mutual funds ?

Returns
) Lock in period
Lower risk factors
) Credit rating
Inflation
) Company
)
62
8. In which type of mutual funds schemes you have invested?

Debt schemes
Equity based schemes
9. You have invested in any term t in any mutual funds ?

Short term
Interval
Long term
10. Which type of schemes do you prefer to invest?

Closed ended
Open ended
Give your answer using the following scale:1= Strongly disagree , 2=Disagree,3= neither Agree nor Disagree, 4= Agree, 5=Highly
Agree,
No
1
Statement
How do you rate any mutual fund on basis of

risk.
How do you rate any mutual fund on the

basis of fund portfolio.
How do you rate any mutual funds on the

basis of re-purchase price.
Your overall experience with any mutual

funds.
I take mutual fund decision to invest money

base on financial planning.
Do you have plans to re-invest in mutual

funds schemes of any mutual funds.
Thank You for your co operation
63

A Study On Investors Behavior Towards Mutual Fund of Corporate Employees in Ahmedabad City

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

A Study On Investors Behavior Towards Mutual Fund of Corporate Employees in Ahmedabad City

Uploaded by

Copyright:

Available Formats

A study on Investors Behaviour towards Mutual Fund of Corporate Employees in Ahmedabad city

Certificate from the Faculty Guide

Signature of the Faculty Guide: ______________

Name of Faculty Guide: Prof. Mittal Dattani

Name: RAHUL NISARTA

MBA (FS SEM- II)

History of mutual fund

Mutual fund: An overview

Organisation structure of mutual fund

Types of mutual fund

Advantages of mutual fund

Disadvantage of mutual fund

Net asset value

Fig 1. Invest in mutual fund

Fig 3. Annual income

Fig 4. Important parameter while investing

Fig 5. Reason for preferring mutual fund

Fig 6. Type of mutual fund invested

Fig 7. Investment term

Fig 8. Schemes prefer to Invest

The project titled Investors behaviour towards mutual fund of corporate

History of mutual fund:

MUTUAL FUND: AN OVERVIEW

A Mutual Fund is managed by investment Professional and other service

The pod of fund is invested in a portfolio of marketable investment. The value o

ORGANISATION STRUCTURE OF MUTUAL FUND

Structure of the Indian mutual fund industry

Recent trends in mutual fund industry

TYPES OF MUTUAL FUNDS

ADVANTAGES OF MUTUAL FUND

DISADVATAGE OF MUTUAL FUND:

Fees and Commissions:

THE RISK-RETURN TRADE-OFF:

INTEREST RATE RISK:

POLITICAL/GOVERNMENT POLICY RISK:

NET ASSET VALUE (NAV)

Asset value is equal to

Details on the above items

Money Plant Finemart Pvt. Ltd.

Har Sapna Sakaar Kare

Best After Sales Service

Every important data on single click

Every advice will be minutised

Scientific Method for identifying Risk to Return Balance with financial

Predefined additional Service criteria for Silver & Gold Clients

DNA Report and Budgeting

360* Financial Planning

Mehul Shah (Director)

Mihir Dhruv (Director)

Saibaba and Vipparthi (2012) conducted a study on perceptions of investors on mutual

investors takes investment decisions on basis of short-term future performance of

Research conducted by Rajeswari and Ramamoorthy (2001 cited in Rao, 2011) on

According to Ranganathan (2006) mostly in financial literature it is considered that

Goetzmann in 1997 examined the cognitive dissonance in mutual fund investor.

investment constraints (Saraoglu & Detzler, 2002)

recommendation from magazine and newsletter and clarity of accounting statements.

Types of Research Design: -Exploratory research design

External Secondary Data: - Private Secondary Data.

Private Secondary Data: - Internet

Conclusive research: - single cross sectional, descriptive Research.

Data collection method: - Survey (Personal).

Data collection instrument: - Questionnaire.

Target Population Definition: