Full Mutual Funds

8/9/2019 Full Mutual Funds

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A Project reporton

Mutual Funds


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Mutual Funds

-Sneha Parab


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:-Result

, %According to business men 72 ,people were aware of mutual fund, %according to government employees 40; %people know what is a mutual fund 80

, .youngsters know what is mutual fund

, ,now we talk about private employees,maximum people know what is mutual

, %.fund it is 60


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Introduction

Mutual Fund is a pool of money,collected from investors, and isinvested according to certaininvestment objective.

Mutual Fund is the pooling of Money from the retail investorsto the corporate investors forSustainable growth of theinvestments.


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Operational flow chart of

Mutual funds


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UN DMANAGER

INVESTORS

&ECURITIES STOCKMARKET

RET

URNS

OOL T HEI R

ONEY TO

NVESTINENRATE

AS S N TO


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Features of mutual fund

Belongs to the investors Managed by investment

professionals Portfolio investors share in the funds is

denominated by units


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Result:As shown in the above chart 60% business

men wantto invest money into the mutual fundbecause they have interest in mutual fund,maximum customers want to invest their

money into the mutual fund because theirinterest decreased in equity market they

know that in this field, risk is low ascompared to share market. 40%

government employees want to investtheir money into the mutual fund, 56%youngsters and 40% private employees

want to invest their money into the mutualfund.


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Result:

From the above graph, mostly customerswant to invest their money into thegold, they purchase gold, according to

customers, price of gold alwaysincrease and this is always profitable in

future. Youngsters and business menhave interest in mutual fund; they liketo take risk because they know that, if risk is high then return may be high.

28% business men,16% governmentemployees, 40% youngsters, 20%private employees like to invest money

into the mutual fund


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Result:

As reliance is the brand name in India, thecompany has good reputation in themarket, almost everyone heard about the

reliance and their companies. Brand

management is also required to increasethe product perceived value to thecustomer. Thats the reason behind 37% of

the people choosing reliance.


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Frequently used terms

Net asset value(NAV) Sale price Repurchase price Redemption price Sales load

Repurchase load


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Top 10 Mutual funds you mustown

DSPMLopportunitiesfund

Franklin India flexicap

HDFC equity fund HDFC Top 200

Prudential ICICIDynamic fund

Reliance Vision SBI Magnum contra SBI Magnum global

94 Sundaram BNPParibasLeadership

Sundaram BNPParibas SelectMidcap


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Advantages andDisadvantages of

Mutual Funds -

Sushant Gawali


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van ages o u uaFunds

Portfolio diversification:It enables him to hold a diversified

investment portfolio Professional management:

The investment management ensure a muchbetter return as compared to what an investor canmanage on his own. Reduction/Diversification of Risks: The potential losses are shared with

other investors. Wide Choice to suit risk-return profile:Investors can chose the fund based on their

risk tolerance and expected returns


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Cont Liquidity:

Investors may be unable to sell sharesdirectly, easily and quickly

Convenience and Flexibility: Investors can easily transfer their

holdings from one scheme to other, get updatedmarket information

Transparency: Fund gives regular information to its

investors on the value of the investments


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Disadvantages of MutualFunds

No control over costs: The investor pays investment management

fees as long as he remains with the fund

No tailor-made portfolios: The very high net-worth individuals or large

corporate investors may find this to be aconstraint


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Cont

Managing a portfolio of funds:Availability of a large number of funds can

actually mean too much choice for the investor

Delay in redemption :It takes 3-6 days for redemption of the

units and the money to flow back into theinvestors account.


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Different Types of Funds

-Bhagyashree Powale

O d


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Open-ended means that, at the end of every day, the fund issuesnew shares to investors and buysback shares from investors wishingto leave the fund.

Open-Ended fund scheme is open forsubscription all through year. An

investor can buy or sell the units at"NAV" (Net Asset Value) relatedprice at any time.

Open-endfund

Cl E d d


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A Close-Ended fund is open forsubscription only during a specifiedperiod, generally at the time of

initial public issue. The Close-Ended fund scheme is

listed on the some stock exchangeswhere an investor can buy or sellthe units of this type of scheme.

Close EndedFunds

E h d d


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ETFs combine characteristics of both mutualfunds and closed-end funds.

ETFs are index funds and track stock market

indexes. Shares are issued or redeemed byinstitutional investors in large blocks(typically of 50,000).

Exchange-traded funds are also valuable forforeign investors

Exchange-tradedfunds

E it


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Equity funds, which consist mainly of stock investments, are the mostcommon type of mutual fund.

Risk is higher than debt funds but offervery high growth potential for thecapital.

Equity funds must have a long-termobjective.

Equityfunds


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Bond funds account for 18% of mutual fund assets. Types of bondfunds include term funds, whichhave a fixed set of time (short-,medium-, or long-term) before theymature.

High-yield bond funds invest incorporate bonds, including high-yield or junk bonds

Bond funds

M k t


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Money market funds entail the least risk,as well as lower rates of return.

Invest in securities of short term naturei.e. less than one year maturity.

Invest in Treasury bills issued bygovernment, Certificates of depositissued by banks, Commercial Paperissued companies and inter-bank call

money. Aim to provide easy liquidity, preservation

of capital and moderate income.

Money marketfunds


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These Funds invest a major portion of theircorpus in debt papers. Governmentauthorities, private companies, banksand financial institutions are some of the

major issuers of debt papers. Target low risk and stable income for the

investor. Have higher price fluctuation as compared

to money market funds due to interestrate fluctuation.

Carry both credit risk and interest rate

risks.

Debt Funds


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Mix of both equity and debt funds. They invest in both equities and fixed

income securities, which are in line with

pre-defined investment objective of thescheme.

Objective is to gain income, moderatecapital appreciation and preservation of capital

Balance Funds


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Comparison Between

various fund

-Aman Jinwal


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Mutual Funds Vs. Other Investments

Product Return Safety Liquidity

Bank Deposit Low High High

EquityInstruments

High Low High or Low

Debentures Moderate Moderate Low

Fixed Depositsby Companies

Moderate Low Low

Life Insurance Moderate High Low


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Myths about Mutual Funds1. Mutual Funds invest only in shares.2. Mutual Funds are prone to very highrisks/actively

traded.

3. Mutual Funds are very new in the financialmarket.4. Mutual Funds are not reliable and peoplerarely invest

in them.5. The good thing about Mutual Funds is thatyou dont

have to pay attention to them.


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MUTUAL FUND SCHEMES

- NikhatShaikh


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MUTUAL FUND SCHEMES

Wide variety of mutual funds exist to cater tothe needs such as financial position, risk tolerance and return expectation.


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Types of schemes By Structure

- Open Ended Schemes- Close Ended Schemes- Interval Schemes

By Investment Objectives- Growth Schemes

- Income Schemes- Balance Schemes- Money Market schemes

Other Schemes

- Tax Saving Schemes Special Schemes

- Index Schemes-Sector Specific Schemes

t t


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ome mportantSchemes

Growth schemes Income schemes Balanced schemes Money Market Schemes Tax Saving Schemes


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Criteria To EvaluateSchemes

P/E ratio Turnover ratio Expense ratio Standard deviation


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Conclusion-

Vivek Mishra


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Mutual Fund Returns

q Three sources of return: Income distributionBond, interest, stock, dividend

Capital gain distributionRealized gains/losses from selling

assets

Changes in NAV i.e. Net Asset ValueFrom unrealized gains/losses from

assets.


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TEN REASONS FOR INVESTINGIN MUTUAL FUNDS

MUTUAL FUNDS OFFERDIVERSIFICATION.

MF ARE PROFESSIONAL MANAGED. MUTUAL FUNDS COME IN MANY

VARIETIES

MUTUAL FUNDS HAVE LOWMINIMUMS

SYSTEMATIC INVESTING AND

WITHDRAWALS


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Cont

MUTUAL FUNDS OFFER AUTOMATICREINVESTMENT MUTUAL FUND OFFER

TRANSPARENCY MUTUAL FUNDS HAVE AUDITED

TRACK RECORDS SAFETY OF INVESTING IN MUTUAL

FUNDS. MUTUAL FUNDS ARE LIQUID IN

NATURE


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BRIEF RECAP. TIPS FOR FUTURE INVESTORS.


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Thank You!

Full Mutual Funds

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