India mutual fund industry research paper

Objectives are similar to those of a balanced fund, but these kinds of funds typically do not have to hold a specified percentage of any asset class.

The third phase began with the entry of private and foreign sectors in the Mutual Fund industry in The recent trends in the Stock Market have shown that an average retail investor always lost with periodic bearish tends. These investors have found a good shelter with the mutual funds. While fund holdings may appreciate in value, the primary objective of these funds is to provide a steady cash flow to investors.

At the fundamental level,there are three varieties of mutual funds: There are, however, many different types of equity funds because there are many different types of equities.

Thus we had wealth management services provided by many institutions. Equity Funds Funds that invest in stocks represent the largest category of mutual funds. Balanced Funds The objective of these funds is to provide a balanced mixture of safety, income and capital appreciation.

Currently there are 34 Mutual Fund organizations in India managing 1,02, crores. Now investors have a wide range of Schemes to choose from depending on their individual profiles.

However they proved too costly for a small investor. As at the end of financial year 31st march 32 Funds were functioning with Rs. Factors to be considered before invest in mutual India mutual fund industry research paper The first phase was between and and the only player was the Unit Trust of India, which had a total asset of Rs.

Furthermore, nearly all bond funds are subject to interest rate risk, which means that if rates go up the value of the fund goes down. Among various financial products, mutual fund ensures the minimum risks and maximum return to the investors, its having own policies, terms conditions that are different from other products, so the market volatilization will not make more effect in return.

The total assets under management had grown to 61, crores at the end of and the number of schemes was Since then this figure has been increasing tremendously and thus revealing the efficiency of growth in the mutual fund industry.

He may invest in Stock of companies where the risk is high and the returns are also proportionately high. The portfolio manager is therefore given freedom to switch the ratio of asset classes as the economy moves through the business cycle.

For example, a fund specializing in high-yield junk bonds is much more risky than a fund that invests in government securities. The strategy of balanced funds is to invest in a combination of fixed income and equities. A great way to understand the universe of equity funds is to use a style box, an example of which is below.

Inits size was Rs. As on august endthere were 33 Funds with schemes and assets under management with Rs 1, 02, crores. The weighting might also be restricted to a specified maximum or minimum for each asset class.

ABSTRACT In a growing country like India, capital market plays an important role to stabilize the Economic growth, strengthen industrial performance, and provide various investment avenues to the investors to help the various industries and to ensure the profitable return. It has generally been observed that as the GDP.

With the entrance of new fund houses and the introduction of new funds into the market, investors are now being presented with a broad array of Mutual Fund choices. What is mutual fund?

The mutual fund will have a fund manager who is responsible for investing the gathered money into specific securities stocks or bonds.

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.

The total asset under management of Mutual Fund industry rose by 9. This is a safe place to park your money. In the past few months there has been a consolidation phase going on in the mutual fund industry in India.

With the growing risk appetite, rising income, and increasing awareness, mutual funds in India are becoming a preferred investment option compared to other investment vehicles like Fixed Deposits FDs and postal savings that are considered safe but give comparatively low returns, according to "Indian Mutual Fund Industry".

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.

Several private sectors Mutual Funds were launched in and As such, the audience for these funds consists of conservative investors and retirees. Because there are many different types of bonds, bond funds can vary dramatically depending on where they invest.International Research Journal of Engineering and Technology (IRJET) e India mutual fund industry: Opportunities and Challenges Peer Reviewed journal IIMB Management Review () 24, e "Marketing Strategies of Mutual Funds – Current Practices and Future Directions", Working Paper, UTI – IIMB Centre for Capital Markets.

After the research works Mr. Shailendra Kaswan concluded that mutual fund industry is enlarging its size in India investors are willing pour money in mutual funds.

Despite some temporary registrants, other economic modes are in favorable mode. This paper focus on the entire journey of mutual fund industry in India.

Its origin, its fall and rise through out all these years and tried to predict what the future may hold for the Mutual Fund. 8 Indian Mutual Fund Industry: The Road Ahead Buying behaviour The two segments of individual and institutional customers reflect significant differences in the nature and rationale of their buy, usage of distribution channel, place of origination of sale and ticket size.

The core objective of the study is to comparative study of mutual fund in India. The additional objectives are as follows: 1. To assess the latest trends in mutual fund industry in India. 2. To compare the mutual fund industry in India with global mutual fund industry.

IV. RESEARCH METHODOLOGY The study is analytical and descriptive. Abstract: The last decade has seen a tremendous growth in the mutual fund industry. As per the latest data the Analysis of Equity Based Mutual Funds in India The study has investigated the performance of equity based mutual fund schemes in India, using CAPM.

In the long run, private sector companies have performed far better than the.

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India mutual fund industry research paper
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