CHAPTER- I INTRODUTION

1.1 GENERAL INTRODUCTION: A Mutual Fund is a trust that pools the savings of a number of investors who share a common financial goal. The money thus collected is then invested in capital market instruments such as shares, debentures and other securities. The income earned through these investments and the capital appreciations realized are shared by its unit holders in proportion to the number of units owned by them. Thus a Mutual Fund is the most suitable investment for the common man as it offers an opportunity to invest in a diversified, professionally managed basket of securities at a relatively low cost. The flow chart below describes broadly the working of a mutual fund.

Mutual Fund Operation Flow Chart

ORGANISATION OF A MUTUAL FUND: There are many entities involved and the diagram below illustrates the organizational set up of a mutual fund.

ADVANTAGES OF MUTUAL FUNDS The advantages of investing in a Mutual Fund are: Professional Management Diversification Convenient Administration Return Potential Low Costs Liquidity Transparency Flexibility Choice of schemes Tax benefits Well regulated

TYPES OF MUTUAL FUND SCHEME: BY STRUCTURE: Open ended schemes Closed ended schemes Interval schemes

BY INVESTMENT OBJECTIVE: Growth Schemes Income Schemes Balanced Schemes Money Market Schemes

OTHER SCHEMES: Tax Saving Schemes Special Schemes Index Schemes Sector Specific Schemes

Net Asset Value (NAV): Net Asset Value is the market value of the assets of the scheme minus its liabilities. The per unit NAV is the net asset value of the scheme divided by the number of units outstanding on the Valuation Date. Sale Price: Is the price you pay when you invest in a scheme also called Offer Price. It may include a sales load.

Repurchase Price: Is the price at which a close-ended scheme repurchases its units and it may include a back-end load. This is also called Bid Price. Redemption Price: Is the price at which open-ended schemes repurchase their units and close-ended schemes redeem their units on maturity. Such prices are NAV related. Sales Load: Is a charge collected by a scheme when it sells the units. Also called, Front-end load. Schemes that do not charge a load are called No Load schemes. Repurchase or Back-end Load: Is a charge collected by a scheme when it buys back the units from the unit holders. A mutual fund is just the connecting bridge or a financial intermediary that allows a group of investors to pool their money together with a predetermined investment objective. The mutual fund will have a fund manager who is responsible for investing the gathered money into specific securities (stocks or bonds). When you invest in a mutual fund, you are buying units or portions of the mutual fund and thus on investing becomes a shareholder or unit holder of the fund. Mutual funds are considered as one of the best available investments as compare to others they are very cost efficient and also easy to invest in, thus by pooling money together in a mutual fund, investors can purchase stocks or bonds with much lower trading costs than if they tried to do it on their own.

1.2 NEED FOR THE STUDY In todays financial market, there are variety of mutual fund schemes is available for investors to make a wide range of investment decision. These schemes are debt fund, equity fund, balance fund, liquid fund, sector specific fund, tax saving fund etc. the primary need of the study is to find out the preference of investors regarding mutual fund provides by Sharekhan Limited. This study also highlights the professional services rendered by the company regarding beneficial of a collective mutual scheme to the investors for making investment decisions.

1.3 SCOPE OF THE STUDY The scope of the study is restricted to 6 weeks only. This study mainly focuses on investor preferences regarding mutual fund schemes offered by Sharekhan Limited. This study may also help the Sharekhan Limited, to identify the investor preferences towards a variety of schemes provided by the company.

1.4 INDUSRTY PROFILE INDIAN STOCK MARKET : Stock markets refer to a place where an investor can buy and sell stocks. The price at which buying and selling transaction takes is determined by the market forces. In earlier times, buyers and sellers used to assemble at stock exchanges to make a transaction but now with the dawn of IT, most of the operations are done electronically and the stock markets have become almost paperless. Now investors dont have to gather at the Exchanges, and can trade freely from there home or office over the phone or through Internet.

HISTORY OF THE INDIAN STOCK MARKET - THE ORIGIN: One of the oldest stock markets in Asia, the Indian Stock Markets has a 200 years old history. 18th Century 1830's 1840's 1850's 1860's 1860-61 East India Company was the dominant institution and by end of the century, business in its loan securities gained full momentum Business on corporate stocks and shares in Bank and Cotton presses started in Bombay. Trading list by the end of 1839 got broader Recognition from banks and merchants to about half a dozen brokers Rapid development of commercial enterprise saw brokerage business attracting more people into the business The number of brokers increased to 60 The American Civil War broke out which caused a stoppage of cotton supply from United States of America; marking the beginning of the "Share Mania" in India The number of brokers increased to about 200 to 250 A disastrous slump began at the end of the American Civil War (as an example, Bank of Bombay Share which had touched Rs. 2850 could only be sold at Rs. 87)

1862-63 1865

PRE-INDEPENDANCE SCENARIO - ESTABLISHMENT OF DIFFERENT STOCK EXCHANGES: 1874 With the rapidly developing share trading business, brokers used to gather at a street (now well known as "Dalal Street") for the purpose of transacting business. "The Native Share and Stock Brokers' Association" (also known as "The Bombay Stock Exchange") was established in Bombay Development of cotton mills industry and set up of many others Establishment of "The Ahmedabad Share and Stock Brokers' Association" Sharp increase in share prices of jute industries in 1870's was followed by a boom in tea stocks and coal "The Calcutta Stock Exchange Association" was formed Madras witnessed boom and business at "The Madras Stock Exchange" was transacted with 100 brokers. When recession followed, number of brokers came down to 3 and the Exchange was closed down Establishment of the Lahore Stock Exchange Merger of the Lahoe Stock Exchange with the Punjab Stock Exchange Re-organization and set up of the Madras Stock Exchange Limited (Pvt.) Limited led by improvement in stock market activities in South India with establishment of new textile mills and plantation companies Uttar Pradesh Stock Exchange Limited and Nagpur Stock Exchange Limited was established Establishment of "The Hyderabad Stock Exchange Limited" "Delhi Stock and Share Brokers' Association Limited" and "The Delhi Stocks and Shares Exchange Limited" were established and later on merged into "The Delhi Stock Exchange Association Limited"

1875 1880's 1894 1880 - 90's 1908 1920 1923 1934 1936 1937

1940 1944 1947

POST INDEPENDANCE SCENARIO:

The depression witnessed after the Independence led to closure of a lot of exchanges in the country. Lahore stock Exchange was closed down after the partition of India, and later on merged with the Delhi Stock Exchange. Bangalore Stock Exchange Limited was registered in 1957 and got recognition only by 1963. Most of the other Exchanges were in a miserable state till 1957 when they applied for recognition under Securities Contracts (Regulations) Act, 1956. The Exchanges that were recognized under the Act were: Bombay Calcutta Madras Ahmedabad Delhi Hyderabad Bangalore Indore

LIST OF STOCK EXCHANGES IN INDIA: Bombay Stock Exchange BSE (1875) National Stock Exchange (NSE) (1992) Ahmedabad Stock Exchange (ASE) Bangalore Stock Exchange Office(BgSE) (1963 ) Bhubaneshwar Stock Exchange (BhSE)1989 Calcutta Stock Exchange (CSE) (1830) Cochin Stock Exchange (CSE) (1978) Coimbatore Stock Exchange (CSX) (1996) Delhi Stock Exchange (DSE)(1947) Guwahati Stock Exchange Hyderabad Stock Exchange Jaipur Stock Exchange Ludhiana Stock Exchange Madhya Pradesh Stock Exchange Madras Stock Exchange (MSE) (1920) Magadh Stock Exchange (MSEA) (1986) Mangalore Stock Exchange (MgSE) (1984) Meerut Stock Exchange Over-the-Country Exchange of India (OTCEI)(1990) Pune Stock Exchange (PSE) 1982 Saurashtra Kutch Stock Exchange (SKSE) 1989 Uttar Pradesh Stock Exchange (UPSE) 2000 Vadodara Stock Exchange (VSE) 1990

TRADING PATTERN OF THE INDIAN STOCK MARKET: Indian Stock Exchanges allow trading of securities of only those public limited companies that are listed on the Exchange(s). They are divided into two categories:

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TYPES OF TRANSACTIONS:

The flowchart below describes the types of transactions that can be carried out on the Indian stock exchanges:

Indian stock exchange allows a member broker to perform following activities: 1. Act as an agent.
2. Buy and sell securities for his clients and charge commission for the same. 3. Act as a trader or dealer as a principal. 4. Buy and sell securities on his own account and risk.

List of Stock Exchanges In India Bombay Stock Exchange National Stock Exchange

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BOMBAY STOCK EXCHANGE: The Bombay Stock Exchange is known as the oldest exchange in Asia. It traces its history to the 1850s, when stockbrokers would gather under banyan trees in front of Mumbai's Town Hall. The location of these meetings changed many times, as the number of brokers constantly increased. The group eventually moved to Dalal Street in 1874 and in 1875 became an official organization known as 'The Native Share & Stock Brokers Association'. In 1956, the BSE became the first stock exchange to be recognized by the Indian Government under the Securities Contracts Regulation Act. The Bombay Stock Exchange developed the BSE Sensex in 1986, giving the BSE a means to measure overall performance of the exchange. In 2000 the BSE used this index to open its derivatives market, trading Sensex futures contracts. The development of Sensex options along with equity derivatives followed in 2001 and 2002, expanding the BSE's trading platform. Historically an open-cry floor trading exchange, the Bombay Stock Exchange switched to an electronic trading system in 1995. It took the exchange only fifty days to make this transition. NATIONAL STOCK EXCHANGE:

In order to lift the Indian stock market trading system on par with the international standards. On the basis of the recommendations of high powered Pherwani Committee, the National Stock Exchange was incorporated in 1992 by Industrial Development Bank of India, Industrial Credit and Investment Corporation of India, Industrial Finance Corporation of India, all Insurance Corporations, selected commercial banks and others. NSE provides exposure to investors in two types of markets, namely: Wholesale debt market Capital market
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TRADING AT NSE: Fully automated screen-based trading mechanism Strictly follows the principle of an order-driven market Trading members are linked through a communication network This network allows them to execute trade from our offices The prices at which the buyer and seller are willing to transact will appear on the screen When the prices match the transaction will be completed A confirmation slip will be printed at the office of the trading member Advantages of trading at NSE: Integrated network for trading in stock market of India Fully automated screen based system that provides higher degree of transparency Investors can transact from any part of the country at uniform prices Greater functional efficiency supported by totally computerized network

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1.5 COMPANY PROFILE: ShareKhan India Ltd Sharekhan is one of India's leading financial services companies. Share khan provides a complete life-cycle of investment solution in Equities, Derivatives, Commodities, IPO, Mutual Funds, Depository Services, Portfolio Management Services and Insurance. Sharekhan traces its lineage to SSKI, an organization with more than eight decades of trust & credibility in the stock mark decades of trust & credibility in the stock market. Sharekhan Ltd is Indias leading online retail broking house with its presence through 1288Share Shops in 325 cities and serving more than 8, 00,000 customers across the nation. Launched on Feb 8th 2000 as an online trading portal, Sharekhan offers its clients trade execution facilities for cash as well as derivatives, on BSE and NSE, depository services, mutual funds, initial public offerings (IPOs), and commodities trading facilities on MCX and NCDEX. Besides high quality investment advice from an experienced research team Sharekhan provides market related news, stock quotes fundamental and statistical information across equity, mutual funds, IPOs and much more. Sharekhan has set category leadership through pioneering initiatives like Speed Trade, a net based executable application that emulates a broker terminal besides providing information relevant to Day traders. Their second initiative, First Step is targeted at empowering first time investors. Sharekhan has also set their global footprints through the India First initiative, a series of seminars conducted by Sharekhan to help NRIs participate and benefit from the huge investment opportunities in India. The company has a full-fledged research division involved in Macro Economic studies, Sectoral research and Company Specific Equity Research combined with a strong and well networked sales force which helps deliver current and up to date market information and news. Sharekhan is an equities focused organisation tracing its lineage to SSKI, a veteran equities solutions company with over five decades of experience in Indian stock markets.
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OUR MISSION To educate and empower the individual investor to make better investment decisions through Quality advice, Innovative products and superior service Fig 1: Services offered to Clients

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SERVICES OFFERED TO CLIENTS Its operations include stock broking and distribution of various financial productsincluding private and secondary placement of debt, equity and mutual funds. Currently it is
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one of the largest broking houses in India with wide geographical coverage. The company has four main areas of business: (1) Institutional Equities, (2) Retail (equities and other financial products), (3) Portfolio Management and (4) Depository Services. 1. Institutional Business This division primarily covers secondary market broking and caters to the needs of foreign and Indian Institutional Investors in Indian Equities (both local shares and GDRs). The division also incorporates a comprehensive research cell with sectoral analysts who cover all the major areas of the Indian economy. 2. Client Money Management This division provides professional portfolio management services to high net worth individuals and corporates. Its expertise in research and stock broking gives the company the right perspective from which to provide its clients with investment advisory services. 3. Retail Distribution of financial products Sharekhan has a comprehensive retail distribution network, comprising approximately 1120 franchisees168 branches 325 cities across India. This network is used for the distribution and placement of a range of financial products that includes company fixed deposits, mutual funds, Initial Public Offerings, secondary debt and equity and small savings schemes. 4. Depository Services It is a depository participant with the National Securities Depository Limited and Central Depository Services (India) Limited for trading and settlement of dematerialized shares. Since it is also in the broking business, investors who use its depository services get a dual benefit. They are able to use its brokerage services to execute transactions and its depository services to settle 5. Technology Superior trading platform with an intensive Multi- Channel access for customers. Real time delivery of quality service and research
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6.

Human Capital It has under its roof 3000 employees with Performance driven work ethic

Spreading its wing overseas Online trading platform for NRIs for Equities and Mutual Funds Our first representative office in Dubai Dedicated Relationship Manager for advisory services and Operational issues Simplified transactions Alwarpet Branch Organizational Structure ofstatement Customized research reports Daily Market updates Regional Sales Manager Regional Sales Manager Access to research newsletters/ reports

AWARDS

Area Sales Manager Area Sales Manager Sharekhan was awarded by UTVi and Starmine recently for Indian Stock analysts. Featured among the top TEN in the BSE SENSEX. Territory Manager Territory Manager
Rated among the top 20 wired companies along with Reliance, HLL,

Infosys etc. by Business Today Jan 2004 edition. Assistant Manager Assistant Manager

Sales Executive Sales Executive

Super Trainee Super Trainee

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Management Trainee Management Trainee

CHAPTER II REVIEW OF LITERATURE

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Mutual fund is a mechanism for pooling the resources by issuing units to the investors and investing funds in securities in accordance with objectives as disclosed in offer document. Investments in securities are spread across a wide cross-section of industries and sectors and thus the risk is reduced. Diversification reduces the risk because all stocks may not move in the same direction in the same proportion at the same time. Mutual fund issues units to the investors in accordance with quantum of money invested by them. Investors of mutual funds are known as unit holders. The profits or losses are shared by the investors in proportion to their investments. The mutual funds normally come out with a number of schemes with different investment objectives which are launched from time to time. A mutual fund is required to be registered with Securities and Exchange Board of India (SEBI) which regulates securities markets before it can collect funds from the public. Mutual Fund Operation Flow Chart Unit Trust of India was the first mutual fund set up in India in the year 1963. In early 1990s, Government allowed public sector banks and institutions to set up mutual funds. In the year 1992, Securities and exchange Board of India (SEBI) Act was passed. The objectives of SEBI are - to protect the interest of investors in securities and to promote the development of and to regulate the securities market. As far as mutual funds are concerned, SEBI formulates policies and regulates the mutual funds to protect the interest of the investors. SEBI notified regulations for the mutual funds in 1993.

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SEBI has also issued guidelines to the mutual funds from time to time to protect the interests of investors. All mutual funds whether promoted by public sector or private sector entities including those promoted by foreign entities are governed by the same set of Regulations. A mutual fund is set up in the form of a trust, which has sponsor, trustees, asset Management Company (AMC) and custodian. The trust is established by a sponsor or more than one sponsor who is like promoter of a company. The trustees of the mutual fund hold its property for the benefit of the unit holders. Asset Management Company (AMC) approved by SEBI manages the funds by making investments in various types of securities. Custodian, who is registered with SEBI, holds the securities of various schemes of the fund in its custody. The trustees are vested with the general power of superintendence and direction over AMC. They monitor the performance and compliance of SEBI Regulations by the mutual fund. SEBI Regulations require that at least two thirds of the directors of trustee company or board of trustees must be independent i.e. they should not be associated with the sponsors. Also, 50% of the directors of AMC must be independent. All mutual funds are required to be registered with SEBI before they launch any scheme. However, Unit Trust of India (UTI) is not registered with SEBI (as on January 15, 2002). 1. Schemes according to Maturity Period: A mutual fund scheme can be classified into open-ended scheme or close-ended scheme depending on its maturity period.

Open-ended Fund/Scheme

An open-ended fund or scheme is one that is available for subscription and repurchase on a continuous basis. These schemes do not have a fixed maturity period. Investors can conveniently buy and sell units at Net Asset Value (NAV) related prices which are declared on a daily basis. The key feature of open-end schemes is liquidity.

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Closeended A closeended fund or scheme has ed maturit y period e.g. 5-7 years. The fund is open for subscri ption only during a specifi ed period at the time of launch of the a stipulat

22

scheme . Investo rs can invest in at the initial public issue and thereaft er they can buy or sell the units of the scheme on the stock exchan ges where the units are listed.
23

the the

scheme time of

In order to provide an exit route to rs, some closeended funds give an option of selling back the units to the mutual fund throug h periodi c repurch ase NAV related
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the

investo

at

prices. SEBI Regula tions stipulat e that at least one of the two exit routes is provide d to the investo r i.e. either repurch ase facility or throug h listing on stock exchan ges. These mutual funds
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scheme s disclos e NAV general ly on weekly basis. 2. Schemes according to Investment Objective: A scheme can also be classified as growth scheme, income scheme, or balanced scheme considering its investment objective. Such schemes may be open-ended or closeended schemes as described earlier. Such schemes may be classified mainly as follows:

Income / Debt Oriented Scheme 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, Government securities and money market instruments. Such funds are less risky compared to equity schemes. These funds are not affected because of fluctuations in equity markets. However, opportunities of capital appreciation are also limited in such funds. The NAVs of such funds are affected because of change in interest rates in the country. If the interest rates fall, NAVs of such funds are likely to increase in the short run and vice versa. However, long term investors may not bother about these fluctuations.

Balanced

Fund

The aim of balanced funds is to provide both growth and regular income as such schemes invest both in equities and fixed income securities in the proportion indicated in their offer documents. These are appropriate for investors looking for moderate growth.
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They generally invest 40-60% in equity and debt instruments. These funds are also affected because of fluctuations in share prices in the stock markets. However, NAVs of such funds are likely to be less volatile compared to pure equity funds.

Money Market or Liquid Fund These funds are also income funds and their aim is to provide easy liquidity,

preservation of capital and moderate income. These schemes invest exclusively in safer short-term instruments such as treasury bills, certificates of deposit, commercial paper and inter-bank call money, government securities, etc. Returns on these schemes fluctuate much less compared to other funds. These funds are appropriate for corporate and individual investors as a means to park their surplus funds for short periods.

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CHAPTER-III RESEARCH METHODOLOGY

3.1 INTRODUCTION Research means a scientific and systematic search for pertinent information on a specific topic. Research is careful investigations on inquiry especially search for new facts in any branch of knowledge. Research comprises of defining and redefining problems, formulating hypothesis or suggested solutions collecting, organizing and evaluating data, making deduction and reaching conclusions, and at last carefully testing the conclusion to determine whether they fit the formulating hypotheses. Methodology is defined as the study of methods by which we gain knowledge, it deals with cognitive processes imposed on research by the problems rising from the nature of its subject matter. 3.2 RESEARCH DESIGN In this study the research has used descriptive type of research. Descriptive research includes survey and fact findings enquiries of different kinds. The major purpose of descriptive research is description of the state of affairs, as it exits at present. The main characteristic of this method is that the researcher has no control over the variables; he can only report what has happened or what is happening. The methods of research utilized in descriptive research are survey of all kinds; it is concerned with the research studies with a focus on the portrayal of the characteristics of a group or individual or a solution.

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3.3 OBJECTIVES PRIMARY OBJECTIVE: To identify investor preference towards Mutual Funds in Sharekhan Limited. SECONDARY OBJECTIVE:

To find out the awareness among the investors To identify the factors, this influences the investors, to invest in mutual fund. To identify the investors buying process of mutual funds in sharekhan limited. To analyze the satisfaction level of investors preference to wards the mutual fund in Sharekhan.

3.4. RESEARCH INSTRUMENT The research instrument in the study is a structured questionnaire. Structured questionnaire are those questionnaires in which there are definite, concrete and predetermined questions to the aspect, for which the research collects data. The questions are presented with exactly the same working and in this same order to all the respondents. 3.5. QUESTIONNAIRE DESIGN The Structured question is framed. The questionnaire consists of following Close ended Open ended Multiple choices The questionnaires were framed to suit the study.

3.6. DATA COLLECTION

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Data refers to information or facts. It includes numerical figures, Non numerical figures, and descriptive facts and qualitative and quantitative information. The task of data collection begins after a research problem has been defined and research plan has been decided. PRIMARY DATA The primary data are those that are collected through questionnaire and direct personal interview. The questionnaire was framed in such a manner to obtain correct information graded suitably for study. All the questionnaires were collected through personal contact from the respondents. SECONDARY DATA Secondary data has been collected through oral communication. Secondary data about the company profile and other details were collected from the company. 3.7.PERIOD OF STUDY:The period of the study was limited to 4 months January to April 2011. During the period the following steps were taken. Objectives were set and questionnaire was finalized. Pilot study was conducted to test the questionnaire design. Data were collected and recorded. Data were analyzed and interpreted. Statistical tools were applied. Report was generated.

3.8 SAMPLING DESIGN

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The sampling technique that was used for the study is Convenience sampling. There are totally 150 investors working at Sharekhan Limited, the census method was applied for conducting the survey. 3.9. SAMPLE SIZE The sample size selected for this study was the entire 150 investors. 3.10. PILOT SURVEY Pilot survey with 20 samples was conducted for testing the validity of the questions. It was found that there was no need for changes in the questionnaire and hence the same questionnaire was used for final survey. 3.11. STATISTICAL TOOLS The statistical tools used to measure the samples and to interpret the results are ChiSquare Test, Two-way ANOVA and Kolmogorov -Smirnov Test.

3.12. LIMITATIONS OF THE STUDY

The results and findings are confined to limited investors. The opinions of the respondents may be biased. Time and resource constraint. The sample taken for research was concerned only for 150 respondents.

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CHAPTER-IV DATA ANALYSIS AND INTERPRETATION

The data after collection have to be processed and analyzed in accordance with the outline laid down for the purpose at the time of developing the research plan. The processing of data implies editing, coding, classification, tabulation and presentation of collected data so that they are amenable to data analysis. Editing of data is a process of examining the collected raw data to detect errors and omissions and to correct these when even possible. It involves a careful scouting of the collection data. Editing is done to assure that the data are accurate, consistent with the facts gathered, uniformly ended and well arranged to facilitate coding and tabulation. The editing of data improves the quality of the data for coding. Coding of data refers to the process of transforming the categories or classes of data into symbols which may be tabulated and counted. The classification of data refers to the process of arranging the data in groups or classes on the basis of common characteristics. It classifies a large volume of raw data into homogeneous, groups and classes depending upon the nature of phenomenon involved in the study. Tabulation of data is the process of summarizing the classified data and displaying the same in the impact form of tables further analysis. It is an orderly arrangement of data in columns and rows. Tabulation can be done with the use of computers which not only save time but also make it possible to study large number of variables affecting a problem simultaneously. Data are analyzed and tabulated with the help of simple percentage analysis, Chi-square test and Kolmogorov-Smirnov test. After the data have been organized and tabulated, they are ready for presentation. The tabulated data are presented with the help of diagrams, charts and graphs.

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TABLE NO.4.1.1 CLASSIFICATION ON THE BASIS OF GENDER

Gender Male Female Total

No. Of. Respondents 120 30 150 80 20 100

Percentage

INFERENCE: From the above table, it is observed that majority of the respodents are Male
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TABLE NO.4.1.2 CLASSIFICATION ON THE BASIS OF OCCUPATION Occupation Business House Wife Students Service Others Total 9 0 43 18 150 No. Of. Respondents 80 53 6 0 29 12 100 Percentage

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INFERENCE: From the above table, It is inferred that 53% of the respondents are doing business, 6% of them are Housewife, 29% of them are services, and 12% of them are others.

TABLE NO.4.1.3 CLASSIFICATION ON THE BASIS OF ANNUAL INCOME Salary Below Rs.100,000 Rs.100,000 to 200,000 Rs.200,000 to 300,000 Rs.300,000 to 500,001 Above Rs. 500,001 Total No. Of. Respondents 17 78 36 15 4 150 11 24 52 10 3 100 Percentage

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INFERENCE: From the above table, it is observed that 52% of them are getting Rs.200,000 to 300,000, 24% of them are getting Rs.100,000 to 200,000, 11% of the respondents are getting salary below Rs.100,000, 10% of them are getting Rs.300,000 to 500,001 and 3% of them are getting above Rs. 500,001. TABLE NO.4.1.4 ARE YOU AN INCOME TAX ASSESSE

Attributes Yes No Total

No. Of. Respondents 103 47 150

Percentage 69 31 100

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INFERENCE: From the above table, It is inferred that 69% of respondents are tax assesseand 31% of them are not tax assesse.

TABLE NO.4.1.5 INVESTMENT FOR TAX EXEMPTION OR TAX SAVINGS

Attributes Yes No Total

No. Of. Respondents 53 97 150 65 35 100

Percentage

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INFERENCE: From the above table It is observed that, 65% of the respondents are investing in mutual fund for tax exemption or tax savings.

TABLE NO.4.1.6 INVESTORS PREFERENCE TOWARDS INVESTMENT OPTION Attributes Fixed Deposit Real Estate Insurance Mutual Fund Gold Total No. Of. Respondents 0 0 0 150 0 150
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Percentage 0 0 0 100 0 100

INFERENCE: From the above table it is observed that, 100% of the respondents are investing in mutual funds.

TABLE NO.4.1.6 (A) CLASSIFICATION ON THE BASIS OF WHY INVESTORS PREFER MUTUAL FUND OPTION

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Attributes Less Risk Good Returns Liquidity Assured Returns Other Reasons Total

No. Of. Respondents 30 61 37 22 0 150

Percentage 20 40 25 15 0 100

INFERENCE:

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From the above table, its inferred that, 40% of the them said good returns, 25% of the respondents said liquidity, 20% of respondents are preffered low risk while opting mutual funds, 15% of the respondents opted for assured returns.

TABLE NO.4.1.7 INFLUENCE OF BRAND NAME ON AN MUTUALFUND INVESTMENT

Attributes Yes No Total

No. Of. Respondents 108 42 150

Percentage 72 28 100

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INFERENCE: From the above table, its inferred that, 72% of respondents will see the brand name while investing in mutual funds and 28% of the respondents said they ill not see the brand name.

TABLE NO.4.1.8 AWARENESS OF SHAREKHAN SERVICES Attributes Yes No Total 0 150 No. Of. Respondents 150 Percentage 100 0 100

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INFERENCE: From the above table it is infered that, 100% of the respondents aware about the services provided by sharekhan.

TABLE NO.4.1.9
SOURCE OF INFORMATION FOR INVESTING IN MUTUAL FUNDS

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Attributes Internet Magazine & Newspaper Financial Advisor Friends Advertisements Sharekhan Ltd Total

No. Of. Respondents 35 17 15 12 32 39 150

Percentage 23 12 10 8 21 26 100

INFERENCE:
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From the above table, it is observed that, 26% of them said sharekhan limited as a source of information for investing in mutual fund, 23% of respondents are use internet as a source of information, , 21% of the respondents said advertisements, 12% of the respondents said magazine & newspapers and 10% of the respondents said financial advisor, 8% of the respondents said friends.

TABLE NO.4.1.10 KIND OF MUTUAL FUND PREFERED Attributes Open - ended Close - ended Total No. Of. Respondents 105 45 150 Percentage 70 30 100

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INFERENCE: The above table reveals that, majority of the respondents prefer to invest in an open-ended mutualfund scheme.

TABLE NO.4.1.11 INVESTOR PREFERENCE ON TYPE OF MUTUAL FUND SCHEMES Attributes Equity Debt Balance Total No. Of. Respondents 57 54 39 150 Percentage 38 36 26 100

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INFERENCE: From the above table, it is inferred that, 38% of respondents are investing in equity scheme, 36% of the respondents are investing in debt and 26% of them are investing in balance scheme.

TABLE NO.4.1.12 INVESTMENT HORIZON

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Attributes Up to 6 months Up to 1 year Up to 2 years Up to 3 years Above 3 years Total

No. Of. Respondents 29 65 22 11 23 150

Percentage 19 44 15 7 15 100

INFERENCE: From the above table, it is inferred that, in investment horizon, 44% of the respondents are said that they invest upto 1 year, , 19% of respondents said that they invest upto 6 months, 15% of the respondents said that they invest upto 2 years, 15% of the respondents said that they invest above 3 years and 7% of the respondents said that they invest upto 3 years.

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TABLE NO.4.1.13 INVESTOR EXPECTATION ON TYPE OF RETURN Attributes Monthly Semi annual Annually Total No. Of. Respondents 56 71 23 150 Percentage 38 47 15 100

INFERENCE: From the above table, it is inferred that, 47% of the respondents are getting their returns semi annually, 38% of respondents are getting their returns monthly, and 15% of them are getting their returns annually.

TABLE NO.4.1.14
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CONSIDERATION OF BEST MUTUAL FUND PLAN Attributes Balanced Plan Equity Plan Income plan Total No. Of. Respondents 39 57 54 150 Percentage 38 47 15 100

INFERENCE: From the above table, it is inferred that, , 47% of the respondents are invested in equity plan 38% of respondents are invested in balanced plan and 15% of them are investing in income plan.

TABLE NO.4.1.15 RATE OF RISK ASSOCIATED WITH MUTUAL FUNDS

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Attributes Low Medium High Total

No. Of. Respondents 26 97 27 150

Percentage 17 65 18 100

INFERENCE: From the above table, it is observed that, , 68% of them said medium risk and 18% of them said high risk., the rate of risk associated with mutual fund is, 17% of the respondents said low risk.

TABLE NO.4.1.16 (a) SATISFACTION LEVEL ON THE BASIS OF - EQUITY

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Attributes Highly Satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied Total

No. Of. Respondents 86 35 25 4 0 150

Percentage 57 23 16 2 0 100

INFERENCE: From the above table, it is observed that, 57% of respondents are highly satisfied in investing equity type of mutual fund, 23% of the respondents are satisfied, 7% of the respondents said neutral , 4% of the respondents are dissatisfied and 0% of them are highly dissatisfied.

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TABLE NO.4.1.16 (b) SATISFACTION LEVEL ON THE BASIS OF - DEBT Attributes Highly Satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied Total No. Of. Respondents 49 79 16 6 0 150 Percentage 33 53 10 4 0 100

INFERENCE: From the above table, it is observed that, 53% of the respondents are satisfied, 33% of respondents are highly satisfied in investing debt type of mutual fund, 10% of the respondents said neutral , 4% of the respondents are dissatisfied and 0% of them are highly dissatisfied. TABLE NO.4.1.16(c)
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SATISFACTION LEVEL ON THE BASIS OF - BALANCED Attributes Highly Satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied Total No. Of. Respondents 72 34 36 8 0 150 Percentage 48 22 24 6 0 100

INFERENCE: From the above table, it is observed that, 48% of respondents are highly satisfied in investing balanced type of mutual fund, 22% of the respondents are satisfied, 24% of the respondents said neutral , 6% of the respondents are dissatisfied and 0% of them are highly dissatisfied. TABLE NO.4.1.16 (d) SATISFACTION LEVEL ON THE BASIS OF - GOLD
54

Attributes Highly Satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied Total

No. Of. Respondents 81 39 23 6 0 120

Percentage 54 26 15 4 0 100

INFERENCE: From the above table, It is inferred that, 54% of respondents are highly satisfied in investing gold type of mutual fund, 26% of the respondents are satisfied, 15% of the respondents said neutral, 4% of the respondents are dissatisfied and 0% of them are highly dissatisfied. 4.2 STATISTICAL ANALYSIS: TEST NO 1: OCCUPATION OF THE INVESTORS AND INVESTORS RATE OF RISK ASSOCIATED WITH MUTUAL FUNDS
55

CHI-SQUARE TEST AIM To find out the significant relationship between occupation of the investors and rate of risk associated with Mutual Fund. NULL HYPOTHESIS (H0) There is no significant relationship between occupation of the investors and rate of risk associated with Mutual Fund. ALTERNATIVE HYPOTHESIS (H1) There is significant relationship between occupation of the investors and rate of risk associated with Mutual Fund. OBSERVED FREQUENCY Rate of risk in Mutual Funds Low Occupation of investors Business Housewife Students Service Others Total Medium High Total

16 0 0 7 6 29

55 8 0 25 7 95

8 0 0 12 5 26

79 8 0 45 18 150

EXPECTED FREQUENCY Rate of risk in Mutual Funds Occupation

56

Low

Medium

High

Total

of investors

Business Housewife Students Service Others Total

13 0 0 9 7 29

56 6 0 22 8 92

10 2 0 14 3 29

79 8 0 45 18 150

CHI-SQUARE ANALYSIS Oi 16 55 8 0 8 0 7 25 13 6 7 5 TOTAL Ei 15.27 50.03 13.69 1.55 5.07 1.39 8.70 28.50 7.8 3.48 11.4 3.12 Oi Ei 0.73 4.97 -5.69 -1.55 2.93 -1.39 -1.70 -3.50 5.20 2.52 -4.40 1.88 (Oi Ei)2 0.53 24.70 32.38 2.40 8.58 1.93 2.89 12.25 27.04 6.35 19.36 3.53 (Oi Ei)2 / Ei 0.03 0.49 2.37 1.55 1.69 1.39 0.33 0.43 3.47 1.82 1.70 1.13 16.40

Degrees of freedom

= (r 1) (c 1) = (5 - 1) (3 1) =42

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=8 D.F 16 at 5% level of significance = 15.507

RESULT As calculated value 16.40 is greater than table value 15.507, Null Hypothesis Ho is rejected and Alternative Hypothesis H1 is accepted.

DECISION There is a significant relationship between rate of risk and occupation of investors.

TEST NO 2: CONSIDERATION OF BEST MUTUAL FUND PLAN AND ANNUAL INCOME TWO WAY ANNOVA TEST AIM

58

To find out the significant relationship between consideration of mutual fund plan and annual income. NULL HYPOTHESIS (H0) There is no significant relationship between consideration of mutual fund plan and annual income. ALTERNATIVE HYPOTHESIS (H1) There is significant relationship between consideration of mutual fund plan and annual income.

Types of Mutual fund Annual Income Below 1000000 1000001 -2000000 2000001 -3000000 3000001 -5000000 Above 5000000 Total

Balanced Plan 3 23 10 5 0 41

Equity Plan 8 23 18 5 2 56

Income Plan 6 33 8 5 1 53

Total 17 79 36 15 3 150

ANALYSIS OF VARIANCE Step 1: T= 150, n=15 Therefore Correlation Factor = (T)2 = (150)2 = 1500 n
59

15

Cumulative factor (C.F) = 1500

Step 2: Total SS = (9 + 64 + 36+ 169 + 529 + 529+1089 + 100 + 324 + 64 + 25 + 25 + 25 + 0 + 4 + 1 ) (150)2 / 15 = 1284 Step 3: SS between columns treatment

= 41 41 + 56 56 + 53 53 5 5 5

150 150 15

= [336.2+ 627.2 + 561.8] 1500 = [1525.20] 2500 = 25.20

Step 4: SS between rows treatment

= 17 17 + 79 79 + 36 36 + 15 15 + 3 3 3 3 3 3 3

150 150 15

= [96.33 + 2080.3 + 432 + 75 + 3] 1500

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= [2686.63] 1500 = 1186.6 Step 5: SS residual or error = Total SS (SS between columns + SS between rows) = 1284 [25.20 + 1186.6] = 1284 [1211.86] = 72.14 Source of Variation 5% F limit(or table values) F(4,8) = 3.84

SS

d.f

MS

F- ratio

Between Columns (i.e., Between 25.20 satisfaction of referral bonus) Between Rows (i.e. Between different 1186.6 experience groups) Residual Error Total 72.14 1008

(5 1) = 4

6.30

6.30/8 = 0.79

(3 1) = 2

593.3

593.3/8= 74.16

F(2,8) = 4.46

(5 1) (3 1) 9.02 =8 8

RESULT: The calculated value between rows is 74.16 which are greater than the table value 4046, therefore alternative hypothesis is accepted. The above table shows that variance between the columns and rows. DECISION: There is a significant relationship between rows of consideration of mutual fund plan and annual income.
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62

TEST NO 3: ANNUAL INCOME AND SATISFACTION LEVEL WHILE INVESTING IN EQUITY PLAN KOLMOGROV- SMIRNOV TEST AIM To find out the significant relationship between annual income and satisfaction level in equity. NULL HYPOTHESIS (H0) There is no significant relationship between income and satisfaction level in equity. ALTERNATIVE HYPOTHESIS (H1) There is significant relationship between the income and satisfaction level in equity.

Annual Income Below 1000000 1000001 -2000000 2000001 -3000000 3000001 -5000000 Above 5000000

Satisfaction level -equity Highly Satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied

9 2 5 1 0

42 26 10 3 2

21 10 3 2 0

6 4 5 0 0

2 0 0 0 0

CALCULATION OF WEIGHTED AVERAGES Annual Below 1000000 1000001

63

2000001

3000001

Above

Income

-2000000 Satisfaction level -equity W W Highly Satisfied Satisfied 4 Neutral Dissatisfied Highly Dissatisfied 3 2 1 2 5 1 0 8 15 2 0 4 3 2 1 26 10 1 1 104 30 2 1 5 X 9 X 45 W X 5 42

-3000000

-5000000

5000000

WX W X 210 5 4 3 2 1 2 1 1 0 3 2 0

WX W X WX 105 40 9 4 0 5 4 3 2 1 6 4 5 0 0 30 16 15 0 0

W X WX 5 4 3 2 1 2 0 0 0 0 10 0 0 0 0

Total wx/w

70
4.67

347
23.1 3

158
10.5 3

61
4.07

10
0.67

wx Weighted Average = -------w

64

= =

5+4+3+2+1 15

Satisfaction Level - Equity Highly Satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied

Weighted average 4.67 23.13 10.53 4.07 0.67

CALCULATION OF Dmax VALUES Dmax = |F0(X) FE(X)| 0.34 0.38 0.29 0.18 0 Dmax = 0.38

O 23.13 10.53 4.67 4.07 0.67

O= 43.07

CF0 (E) 23.13 33.66 38.66 42.40 43.07

F0 (X) 0.54 0.78 0.89 0.98 1

E 8.61 8.61 8.61 8.61 8.61 E=43.07

CFE 8.61 17.22 25.83 34.44 43.07

FE (X) 0.2 0.4 0.6 0.8 1

E = 43.07/ 5 = 8.61 The calculated value of Dmax = 0.38 1.36 The table value of Dmax = N = 1.36 150 = 0.11

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RESULT: As the calculated value is Dmax = 0.38 is greater than the tabulated value 0.11, the Null hypothesis is rejected and Alternative hypothesis is accepted. DECISION: There is a significant relationship between the income and satisfaction level in equity.

TEST NO 4: ANNUAL INCOME AND SATISFACTION LEVEL WHILE INVESTING IN GOLD PLAN KOLMOGROV- SMIRNOV TEST AIM To find out the significant relationship between annual income and satisfaction level in gold.
66

NULL HYPOTHESIS (H0) There is no significant relationship between income and satisfaction level in gold. ALTERNATIVE HYPOTHESIS (H1) There is significant relationship between the income and satisfaction level in gold.

Annual Income Satisfaction level -equity Highly Satisfied 6 Satisfied Neutral 4 Dissatisfied 1 Highly Dissatisfied 1 0 0 0 0 3 1 0 1 10 3 5 0 5 48 17 20 12 8 3 0 2 Below 1000000 1000001 -2000000 2000001 -3000000 3000001 -5000000 Above 5000000

CALCULATION OF WEIGHTED AVERAGES Annual Below 1000000 Income 1000001 -2000000 2000001 -3000000 3000001 -5000000 Above 5000000

67

Satisfaction level - gold W Highly Satisfied Satisfied 4 Neutral 3 Dissatisfied 2 Highly Dissatisfied 1 1 1 2 1 2 1 3 0 6 0 2 1 1 0 2 0 2 1 0 0 0 0 2 1 1 0 2 0 4 12 3 10 30 3 3 9 3 5 15 3 0 0 5 20 4 17 68 4 12 48 4 3 12 4 2 8 5 X 6 WX 30 W 5 X 48 WX 240 W 5 X 20 WX 100 W 5 X 8 W X 40 W X 5 0 W X 0

Total wx/w

65
4.33

344
22.9 3

159
10.6 0

67
4.4 7

10
0.6 7

wx Weighted Average = -------w W = = 5+4+3+2+1 15

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Satisfaction Level - Gold Highly Satisfied Satisfied Neutral Dissatisfied Highly Dissatisfied

Weighted average 4.33 22.93 10.60 4.47 0.67

CALCULATION OF Dmax VALUES Dmax = |F0(X) FE(X)| 0.33 0.38 0.28 0.18 0 Dmax = 0.38

O 22.93 10.60 4.47 4.33 0.67

O= 43.07

CF0 (E) 22.93 33.53 38.00 42.33 43.07

F0 (X) 0.53 0.78 0.88 0.98 1

E 8.61 8.61 8..61 8.61 8.61 E=43.07

CFE 8.61 17.2 25.8 34.4 43.07

FE (X) 0.2 0.4 0.6 0.8 1

E = 43.07/ 5 = 8.61
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The calculated value of Dmax = 0.38 1.36 The table value of Dmax = N = 1.36 150 = 0.11

RESULT: As the calculated value is Dmax = 0.38 is greater than the tabulated value 0.11, the Null hypothesis is rejected and Alternative hypothesis is accepted. DECISION: There is a significant relationship between the income and satisfaction level in gold.

CHAPTER-V SUMMARY OF FINDINGS

5.1 GENDRAL FINDINGS

Under gender wise classification of the investors, 80% of the investors are male, and 20% of them are female investors.

53% of the investors are doing business, 6% of them are Housewife, 29% of them are services, and 12% of them are others.

52% of them are getting Rs.200,000 to 300,000, 24% of them are getting Rs.100,000 to 200,000,11% of the investors are getting salary below Rs.100,000, 10% of them are getting Rs.300,000 to 500,001 and 3% of them are getting above Rs. 500,001.
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69% of investors said yes, that they are income tax assesse and 31% of them said no.

65% of the investors are investing in mutual fund for tax exemption or tax savings and 28% of the investors said no.

100% of the investors are investing in mutual funds. 20% of investors are preffered low risk while opting mutual funds, 40% of the them said good returns, 25% of the investors said liquidity, 15% of the investors opted for assured returns.

28% of investors will see the brand name while investing in mutual funds and 72% of the investors said they ill not see the brand name.

100% of the investors said that they know about the sharekhan services. 15% of investors are using internet as a source of information for investing in mutual fund, 70% of the investors said magazine & newspapers, 10% of the investors said financial advisor, 3% of the respondents said friends, 3% of the investors said advertisements and 2% of them said sharekhan limited.

70% of investors are invessting in open-ended kind of mutual fund and 30% of them are invessting in close-ended kind of mutual fund.

38% of investors are investing in equity scheme, 36% of the investors are investing in debt and 26% of them are investing in balance scheme.

in investment horizon, 19% of investors said that they invest upto 6 months, 44% of the investors are said that they invest upto 1 year, 15% of the investors said that they invest upto 2 years, 7% of the investors said that they invest upto 3 years and 15% of the investorssaid that they invest above 3 years also.

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38% of investors are getting their returns monthly, 47% of the investors are getting their returns semi annually and 15% of them are getting their returns annually.

38% of investors are investing in balanced plan, 47% of the investors are investing in equity plan and 15% of them are investing in income plan.

the rate of risk associated with mutual fund is, 17% of the investors said low risk, 68% of them said medium risk and 18% of them said hogh risk.

57% of investors are highly satisfied in investing equity type of mutual fund, 76% of the investors are satisfied, 7% of the investors said neutral , 4% of the investors are dissatisfied and 0% of them are highly dissatisfied.

33% of investors are highly satisfied in investing debt type of mutual fund, 53% of the investors are satisfied, 10% of the investors said neutral , 4% of the investors are dissatisfied and 0% of them are highly dissatisfied.

48% of investors are highly satisfied in investing balanced type of mutual fund, 22% of the investors are satisfied, 24% of the investors said neutral , 6% of the investors are dissatisfied and 0% of them are highly dissatisfied.

54% of investors are highly satisfied in investing gold type of mutual fund, 26% of the investors are satisfied, 15% of the investors said neutral, 4% of the investors are dissatisfied and 0% of them are highly dissatisfied.

5.2 STATISTICAL FINDINGS

TEST NO 1: OCCUPATION OF THE INVESTORS AND INVESTORS RATE OF RISK ASSOCIATED WITH MUTUAL FUNDS CHI-SQUARE TEST AIM
72

To find out the significant relationship between occupation of the investors and rate of risk associated with Mutual Fund. RESULT As calculated value 16.40 is greater than table value 15.507, Null Hypothesis Ho is rejected and Alternative Hypothesis H1 is accepted. DECISION There is a significant relationship between rate of risk and occupation of investors. TEST NO 2: CONSIDERATION OF BEST MUTUAL FUND PLAN AND ANNUAL INCOME TWO WAY ANNOVA TEST AIM To find out the significant relationship between consideration of mutual fund plan and annual income. RESULT: The calculated value between rows is 74.16 which are greater than the table value 4046, therefore alternative hypothesis is accepted. The above table shows that variance between the columns and rows. DECISION: There is a significant relationship between rows of consideration of mutual fund plan and annual income. TEST NO 3: ANNUAL INCOME AND SATISFACTION LEVEL WHILE INVESTING IN EQUITY PLAN KOLMOGROV- SMIRNOV TEST AIM
73

To find out the significant relationship between annual income and satisfaction level in equity. RESULT: As the calculated value is Dmax = 0.38 is greater than the tabulated value 0.11, the Null hypothesis is rejected and Alternative hypothesis is accepted.

DECISION: There is a significant relationship between the income and satisfaction level in equity.

TEST NO 4: ANNUAL INCOME AND SATISFACTION LEVEL WHILE INVESTING IN GOLD PLAN KOLMOGROV- SMIRNOV TEST AIM To find out the significant relationship between annual income and satisfaction level in gold. RESULT: As the calculated value is Dmax = 0.38 is greater than the tabulated value 0.11, the Null hypothesis is rejected and Alternative hypothesis is accepted. DECISION: There is a significant relationship between the income and satisfaction level in gold.

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CHAPTER-VI SUGGESTIONS AND RECOMMENDATIONS

o Proper care should be taken to give the correct guidance to the investors so that they will invest more.
o

Good campaigns can be arranged so that people will know more about Mutual funds and will tend to invest in it.

o Nice advertisements can be entertained so that people will get interest in Mutual Funds.
o o

Sharekhan can come up with good, attractive schemes for its investors. Mutual fund schemes have not gained importance as there is a lack of awareness about Mutual fund schemes so the executives of the Sharekhan should take certain steps to educate the investors.

Investment in Mutual fund schemes gives diversified portfolio to investors.

o SEBI should tighten the rules and regulation governing the mutual funds in India to increase and gain confidence of the investors. o It is highly advised to recommend existing top performing funds as identified by the research to the investors as they have proven history of performance across both Bull and Bear market.

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CHAPTER-VII CONCLUSIONS
This study mainly deals with investor preferences regarding mutual fund schemes offered in the financial market. Generally, investors have lack of knowledge about mutual fund schemes offered by mutual fund companies. For making a wise investment decisions, most of the investors have to approach financial services company like Sharekhan Limited for getting professional services to make wise investment decision in various mutual fund schemes available in the financial market. Mutual fund schemes are subject to market risk. From this statement it has proved higher the risk higher the return and lower the risk lower the return. From the study, it is concluded that most of the respondents have perceived that the professional services regarding mutual funds offered by Sharekhan Limited are good. It is also concluded that the investors are satisfied with portfolio of securities. The study also infers that the diversified portfolio of securities maintained by the Sharekhan Limited provides moderate return with minimum risk.

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QUESTIONNAIRE
INVESTORS PREFERENCE TOWARDS MUTUAL FUNDS Dear Employees, My name is V.M.Narendharan. Im doing my MBA in Prathyusha Institute of Technology and Management. In regards to my main project on INVESTORS PREFERENCE TOWARDS MUTUAL FUNDS, I have chosen Sharekhan Ltd. Kindly fill in the questionnaire.

GENERAL INFORMATION: 1. Name: 2. Age: 3. Gender: 4. Occupation: Business ( ) 5. Annual Income: Below 100,000 ( ) 100,001 to 200,000 ( ) 200,001 to 300,000 ( ) Housewife ( ) Students ( ) Service ( ) Others ( ) Male ( ) Female ( )

300,001 to 500,000 ( ) 500,001 & above ( ) RELATED TO MUTUAL FUNDS: 1. Are you an Income Tax Assesse? Yes ( ) 2. Are you No ( ) investing for tax exemption or tax savings?

Yes ( )No ( )

77

3. What kind of invest options you prefer?

Fixed Deposit ( ) Mutual Fund ( )

Real Estate ( ) Gold ( )

Insurance

3. A. If you are a mutual fund investor, Why you prefer the above option? Risk less ( ) Good returns ( ) Liquidity ( )

Assured Returns ( ) 4. While buying a Mutual Fund scheme do you see brand name? Yes ( ) No ( )

5. Name the company in which you have made the Mutual Fund Investment _______________. 6. Do you know Sharekhan services? Yes ( ) No ( )

7. What is your source of information while investing in mutual funds? Internet ( ) Friends ( ) Magazine & Newspaper ( ) Advertisements ( ) Financial Advisor ( )

8. What kind of mutual fund you prefer? Open- ended ( ) Closed-ended ( )

9. What type of scheme do you prefer? Equity ( ) Debt ( ) Balance ( )

10. What is your investment horizon? 78

Up to 6 months ( ) Up to 3 years ( )

Up to 1 year ( ) Above 3 years ( )

Up to 2 years ( )

11. What type of return you expect? Monthly ( ) Semi annual ( ) Annually ( )

12. Which Mutual Fund Plan do you consider the best? Balanced Plan ( ) Equity Plan ( ) Income Plan ( )

13. How do you rate the risks associated with Mutual Funds? Low ( )Medium ( ) High ( )

14. Level of satisfaction while investing in mutual fund

TYPES EQUITY DEBT BALANCED GOLD HS S N DS HDS

15. Please specify any other suggestions regarding mutual fund

BIBILIOGRAPHY
BOOKS
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1.

I. M. Pandy, 2004, 9th edition, Financial Management, Vikas Publishing

House Pvt. Ltd., New Delhi.

2.

C. R. Kothari, 2004, 2nd edition, Research Methodology, New Age

International Publishers, New Delhi. 3. K. Subramanian & A. Santha, Statistics for Management, SCITECH Publication, 2009 4. Prasanna Chandra (2009) Investment Analysis and Portfolio Management, Tata McGraw Hill Education Private Limited, New Delhi. 5. Punithavathy pandian (2010) Security Analysis and Portfolio Management, Vikas Publishing House Private Limited.
6. Philip Kotler and Kevin Lane, Marketing Management, PHI Learning Pearson

Education, 13th Edition,2008. 7. Boyd Walker, Marketing Management, McGraw Hills, 2002.

WEBSITES

www.sharekhan.com www.moneycontrol.com www.nseindia.com www.bseindia.com www.sebi.gov.in

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