“PROJECT REPORT SYNOPSIS”

NAME:- DIVYA CHAUHAN

Enrollment Number: - 17111410

Name of Project Guide:- Mr. Gagan Singh

Title of the project:-

A project report on “why Mutual

Fund is the Better Investment
Plan”

Working title-

A project report on “why Mutual

Fund is the Better Investment
Plan”

Purpose-
 The main purpose of doing this project was to know about mutual fund and its
functioning. This helps to know in details about mutual fund industry right from its
inception stage, growth and future prospects.
It also helps in understanding different schemes of mutual funds. My study depends upon
prominent funds in India and their schemes like equity, income, balance as well as the
returns associated with those schemes.
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.

Aim-
“To compare the investment options, its performance and risk & return relationship for better
investment decision”.

Objectives-
 To find out the preferences of the investors for Asset Management Company.
 To know the preferences for the portfolios.
 To know the awareness of investors about BSE StAR MF.
 To find out the most preferred channel.
 To find out why investors mostly prefer to invest in mutual fund rather in
equity derivative.
 To identify the consumer perception about mutual funds.
 To find out what should do to boost Mutual Fund Industry.
Research Methodology-

INTRODUCTION

This report is based on primary as well secondary data, however primary data
collection was given more importance since it is overhearing factor in attitude
studies. One of the most important users of research methodology is that it helps in
identifying the problem, collecting, analyzing the required information data and
providing an alternative solution to the problem .It also helps in collecting the vital
information that is required by the top management to assist them for the better
decision making both day to day decision and critical ones.

Research is divided into two parts

 Research design
o Type of research
o Research method
o Collection of data
 Sample design
RESEARCH DESIGN

TYPE OF RESEARCH

It is a descriptive type of research, as the descriptive of the conditions exist

presently. It includes survey and fact-finding enquiries of different kinds.

RESEARCH METHOD

Research methods are understood as all those methods and techniques that are used
for conduction of research. Research methods or techniques refer to methods the
researchers use in performing research operation. In other words, all those methods
which are used by the researchers during the course of studying his research
problems are termed as research methods. Since the object of research, particularly
the applied research, is to arrive at a solution for a given problem, the available
data and the unknown aspects of the problem have to be related to each other to
make a solution possible. Keeping this in view I took the following two methods:
 Analysis of documents
 Interview

COLLECTION OF DATA

 Primary data - This method was adopted because it helps to procuring data
and detail information from the respondents. Here I collected data by filling
questionnaires, directly talking to the respondents.

 Secondary data - I have also used the secondary data which include various
written documents and other related information about the mutual fund
industry in India.

DURATION OF THE STUDY

The study was carried out for a period of two months, from 9 th May to 9th July
2013.

SAMPLING

SAMPLING PROCEDURE

The sample was selected out of some of the investors and brokers in BSE and
nearby that area, irrespective of them being investors or not or availing the services
or not. It was also collected through personal visits to persons, by formal and
informal talks and through filling up the questionnaire prepared. The data has been
analyzed by using mathematical/Statistical tool.

SAMPLE SIZE
The sample size of my project is limited to 200 people only. Out of which only 120
people had invested in Mutual Fund. Other 80 people did not have invested in
Mutual Fund.

SAMPLE DESIGN

Data has been presented with the help of bar graph, pie charts, line graphs etc.

LIMITATIONS

 Some of the persons were not so responsive.

 Possibility of error in data collection because many of investors may have
not given actual answers of my questionnaire.
 Sample size is limited to 200 numbers of investors & brokers, out of which
120 had invested in mutual fund. The sample size may not adequately
represent the whole market.
 Some respondents were reluctant to divulge personal information which can
affect the validity of all responses
 The research is confined to a certain part of Dalal Street or BSE.
 SCOPE OF THE STUDY

 A big boom has been witnessed in Mutual Fund Industry in recent times. A
large number of new players have entered the market and trying to gain
market share in this rapidly improving market.
 The research was carried on in Mumbai. I had been sent to Bombay Stock
Exchange, Mumbai where I completed my Project work. I surveyed on my
Project Topic “A study on why mutual fund is the better investment plan” by
taking help of the investors and brokers working over there.
 The study will help to know the preferences of the customers, which
company, portfolio, mode of investment, and option for getting return, and
mainly why investors prefer to invest in mutual fund rather in equity
derivatives and so on they prefer. This project report may help the company
to make further planning and strategy.

Proposed Contents-
Chapter 1: INTRODUCTION
1.1 Mutual Fund
1.2 History of Mutual Fund
1.3 Emerging Issues and Present Position
1.4 Investment Strategies
1.5 Advantages and dis-advantages
1.6 Classification of Mutual Fund
Chapter 2: COMPANY PROFILE
2.1 History
2.2 Prominent Position
2.3 A Pioneer
2.4 Awards
2.5 BSE SWOT

Chapter 3: THEORETICAL CONCEPT

3.1 Concept and working of Mutual Fund
3.2 Mutual Fund Risk
3.3 Measuring and evaluating mutual fund performance

Chapter 4: OBJECTIVES AND SCOPE OF STUDY

Chapter 5: RESEARCH METHODOLOGY

5.1 Research design
5.2 Sample design

Chapter 6: DATA ANALYSIS AND INTERPRETATION

Chapter 7: FINDINGS AND CONCLUSION

Chapter 8: RECOMMENDATION AND SUGGESTION
Bibliography