PROJECT REPORT

ON

A study on MUTUAL FUND’S in the Market

IN

BY

V .kusal yadav

H.T. NO.:131216672153

Academic Year
2016-18

MALLA REDDY INSTITUTE OF MANAGEMENT

(Affiliated to OSMANIA UNIVERSITY)
 DECLARATION

I, the undersigned, hereby declare that the project report entitle “(MUTUAL FUNDS)”

carried out at (KARVY). Is my original work written and submitted by me in partial fulfillment

of Master`s Degree in Business Administration of (Osmania University). I also declare that this

project has not been submitted earlier in any other university or institution.

Date: (V.KUSAL YADAV)

 ACKNOWLEDGEMENT

I take this opportunity to extend my profound thanks and deep sense of gratitude to the
authorities of (KARVY). For giving me the opportunities to undertake this project work in their
esteemed organization.
My sincere thanks to Honorable Director Mr. SRINIVASA SHASTRY, HOD Mr.
FEROZ AHMED, and my project guide Mr. FEROZ AHMED. For the kind encouragement and
constant support extended in completion of this project work. From the bottom of my heart
I am also thankful to all those who have incidentally helped me, through their valued
guidance, co-operation and unstinted support during the course of my project.

V.KUSAL YADAV
 ABSTRACT

Investment goals vary from person to person. While somebody wants

security others might give more weight age to returns alone. Somebody else might want to plan
for his child’s education while somebody might be saving for the proverbial rainy day or even
life after retirement with objectives defying any range it is obvious that the products requires
will vary as well

Indian mutual funds industry offers a plethora of scheme and services

broadly all type of investors. The range of products includes equity fund, liquid, gift and
balanced fund. These are also funds meant exclusively for young and old ,small and large
investors. Moreover the setup a legal structure which has enough teeth to safeguards investors
investors interests ensures that the investors are not cheated out of their hard earned money .all in
all benefits provided by them cut across the boundaries of investors category and thus create for
them cut across the boundaries of investor category and thus create for them a universal appeal

Investors of all categories could choose to invest on their own their own in
multiple options but opt for mutual funds for the sole reason that all benefits come in a package.
The mutual funds industry is having its hands full to cater to various needs of the investors by
coming up ,scheme and options with respect to rate of returns dividend frequency and liquidity

In view of the growing competition in the mutual funds industry it was felt
necessary to study the investor’s orientation towards. Mutual funds i.e. their pattern of risk
apatite and preferences in various schemes plans and options in order to provide a better service
OBJECTIVES TO THE STUDY:

The specific objectives of the study are as follows:

 To analyze the trends in returns of selected mutual funds

 To understand the functions of an asset management company
 To understand the performances of various schemes using various tools to
measure the performances
 To measure and compare the performance of selected mutual funds schemes
of different mutual funds companies and other asset management companies
 To explore the recent developments in the mutual funds in India
 INDEX

S.NO CONTENT PAGE.NO

1 MUTUAL FUND IN INDIA 8
2 HISTORY 9
3 DEFINITATION OF MUTUAL FUNDS 10
4 WHAT IS A MUTUAL FUND 11
5 MUTUAL FUNS ARE UNDER AN TAPPED 14
MARKET IN INDIA
6 AVERAGE ASSETS UNDER MANAGEMENT 15-20
7 TYPES OF MUTUAL FUND 22-30
8 ADVATAGES AND DIS-ADVANTAGES 30-31
9 14 SEBI REGULATIONS MUTUALFUNS IN INDIA 31-35
10 COMPANY PROFILE OF KARVY 36-45
11 BRILASUN LIFE INSURANCE COMPANY LIMITED 46-52

12 DSP GROUP 53-57

13 COMPARISON ON BRILA SUN LIFE AND DSP 58-62
GROUP
14 HOW TO CHOOSE THE RIGHT MUTUALFUND 62
15 SUGGESTIONS 63
16 CONCLUSION 64
17 LIMITATIONS 65
18 BIBLOGAPHY 65
INTRODUCTION OF MUTUAL FUNDS:
MUTUAL FUND IN INDIA:

The first introduction of a mutual fund in India occurred in 1963, when

the Government of India launched Unit Trust of India (UTI). UTI enjoyed a monopoly in the
Indian mutual fund market until 1987, when a host of other government-controlled Indian
financial companies established their own funds, including State Bank of India, Canara Bank,
and Punjab National Bank. This market was made open to private players in 1993, as a result of
the historic constitutional amendments brought forward by the then Congress-led government
under the existing regime of Liberalization, Privatization and Globalization (LPG). The
first private sector fund to operate in India was Kothari Pioneer, which later merged
with Franklin Templeton. In 1996, SEBI, the regulator of mutual funds in India, formulated the
Mutual Fund Regulation which is a comprehensive regulatory framework
Mutual funds have both advantages and disadvantages compared to direct
investing in individual securities. The primary advantages of mutual funds are that they provide a
higher level of diversification, they provide liquidity, and they are managed by professional
investors. On the negative side, mutual fund investors incur fees and expenses
The regulation of mutual funds varies by country.
There are three primary structures of mutual funds: open-end funds, unit investment trusts,
and closed-end funds. Exchange-traded funds (ETFs) are open-end funds or unit investment
trusts that trade on an exchange.
Mutual funds are generally classified by their principal investments as money market funds,
bond or fixed income funds, stock or equity funds, hybrid funds or other. Funds may also be
categorized as index funds, which are passively managed funds that match the performance of an
index, or actively managed funds.
Investors in a mutual fund must pay various mutual fund fees and expenses. There is controversy
regarding the level of mutual fund fees and expenses.
HISTORY:
The first modern investment funds (the precursor of today's mutual funds) were
established in the Dutch Republic. In response to the financial crisis of 1772–1773, Amsterdam-
based businessman Abraham (or Adriaan) van Ketwich formed a trust named Eendragt Maakt
Magt ("unity creates strength"). His aim was to provide small investors with an opportunity to
diversify.
Mutual funds were introduced to the United States in the 1890s. Early U.S. funds
were generally closed-end funds with a fixed number of shares that often traded at prices above
the portfolio net asset value. The first open-end mutual fund with redeemable shares was
established on March 21, 1924 as the Massachusetts Investors Trust. (It is still in existence today
and is now managed by MFS Investment Management.)In the United States, closed-end funds
remained more popular than open-end funds throughout the 1920s. In 1929, open-end funds
accounted for only 5%of the industry $27 billion in total assets

After the Wall Street crash of 1929 the US congress passed a series of acts regulating the
securities markets in general and mutual funds in particular

The securities act of 1933 requires that all investments sold to the public including mutual
funds be registered with a prospectus that discloses essential facts about the investment

The securities and exchange act of 1934 requires that issuers to securities including
mutual duns report regularly to their investors this acts also created the securities and exchange
commission which is the principal regulator of mutual funds

The revenue act of 1936 established guidelines for the taxation of mutual fund the
investment company act of 1940 governs the mutual funds
MUTUAL FUND:

DEFINITION OF MUTUAL FUND:

“A mutual fund is a professionally-managed investment scheme, usually run by an asset

management company that brings together a group of people and invests their money in stocks,
bonds and other securities.”

A mutual fund is an investment vehicle, which pools money

from investors with common investment objectives. ... The investments are made by an 'asset
management company' or AMC. For example, an equity fund would invest in stocks and equity-
related instruments, while a debt fund would invest in bonds, debentures, etc.

DESCRIPTION:

As an investor, you can buy mutual fund 'units', which basically

represent your share of holdings in a particular scheme. These units can be purchased or
redeemed as needed at the fund's current net asset value (NAV). These NAVs keep fluctuating,
according to the fund's holdings. So, each investor participates proportionally in the gain or loss
of the fund.
All the mutual funds are registered with SEBI. They function within the provisions of strict
regulation created to protect the interests of the investor.

The biggest advantage of investing through a mutual fund is that it gives small investors access
to professionally-managed, diversified portfolios of equities, bonds and other securities, which
would be quite difficult to create with a small amount of capital.

What is a 'Mutual Fund’:’

A mutual fund is an investment vehicle made up of a

pool of funds collected from many investors for the purpose of investing in securities such as
stocks, bonds, money market instruments and similar assets. Mutual funds are operated
by money managers, who invest the fund's capital and attempt to produce capital gains and
income for the fund's investors. A mutual fund's portfolio is structured and maintained to match
the investment objectives stated in its prospectus.
These days you are hearing more and more about mutual funds as a means of investment. If you
are like most people, you probably have most of your money in a bank savings account and your
biggest investment may be your home. Apart from that, investing is probably something you
simply do not have the time or knowledge to get involved in. You are not the only one. This is
why investing through mutual funds has become such a popular way of investing.
PROFESSIONAL MANAGEMENT:

Each fund's investments are chosen and monitored by qualified professionals

who use this money to create a portfolio. That portfolio could consist of stocks, bonds, money
market instruments or a combination of those.

FUND OWNERSHIP:

As an investor, you own shares of the mutual fund, not the individual securities.
Mutual funds permit you to invest small amounts of money, however much you would like, but
even so, you can benefit from being involved in a large pool of cash invested by other people.
All shareholders share in the fund’s gains and losses on an equal basis, proportionately to the
amount they've invested.
MUTUAL FUND ARE DIVERSIFIED:
By investing in mutual funds, you could diversify your portfolio across a
large number of securities so as to minimize risk. By spreading your money over numerous
securities, which is what a mutual fund does, you need not worry about the fluctuation of the
individual securities in the fund's portfolio.

MUTUALFUND ARE UNDER AN TAPPED MARKET IN INDIA:

Deposits being available in the market less than 10% of Indian households
have invested in mutual funds. A recent report on Mutual Fund Investments in India published
by research and analytics firm, Boston Analytics, suggests investors are holding back from
putting their money into mutual funds due to their perceived high risk and a lack of information
on how mutual funds work. There are 46 Mutual Funds as of June 2013

The primary reason for not investing appears to be correlated with city size. Among respondents
with a high savings rate, close to 40% of those who live in metros and Tier I cities considered
such investments to be very risky, whereas 33% of those in Tier II cities said they did not know
how or where to invest in such assets.

DISTRIBUTION:
Mutual fund investments are sourced both from institutions (companies) and
individuals. Since January 2013, institutional investors have moved to investing directly with the
mutual funds since doing so saves on the expense ratio incurred. Individual investors are,
however, served mostly by Investment advisor and banks. Since 2009, online platforms for
investing in Mutual funds have also evolved.

SERVICING:

Larger Indian Mutual Fund Industry has benefited from outsourcing the activity
of servicing their investors to two of the leading Registrar and Transfer Agents (RTAs) in India
namely CAMS and Karvy. While CAMS commands close to 65% of the Assets servicing, rest is
with Karvy. Franklin Templeton Mutual Fund services its investors through its own in-house
RTA set up.

Both the RTAs have vibrant network of their local offices which enable the Mutual Fund
Investors to transact locally. These touch points (or) Customer Service Centers (CSCs), provide a
wide range of servicing including, financial transaction acceptance & processing, non financial
changes, KYC fulfillment formalities, nomination registration, transmission of units apart from
providing statement of accounts etc.

AVERAGE ASSETS UNDER MANAGEMENT:

Assets under management (AUM) is a financial term denoting the market value of all the
funds being managed by a financial institution (a mutual fund, hedge fund, private equity firm,
venture capital firm, or brokerage house) on behalf of its clients, investors, partners, depositors,
etc.
The average assets under management of all mutual funds in India for the quarter Dec 2015 to
Mar 2016 (in ₹ Lakh) is given below:
Sr Total Qaaum aum (₹ Prev qaaum (₹ Inc/dec (₹
Mutual fund name Percentage
no schemes lakh.) lakh.) lakh.)

axis asset management

1 263 3776454.37 3456348.88 320105 9%
company

Baroda pioneer asset

2 111 965630.33 925542.12 40132 4%
management company

Birla sun life asset

3 806 13678510.7 13684493.34 5312 0%
management company

bnp paribas asset

4 114 509706.79 500795.21 9209 2%
management company

boi axa asset management

5 76 238501.41 242767.91 2887 1%
company

Canara robeco asset

6 142 804326.86 751779.86 52627 7%
management company

deutsche asset
7 8 27698 17194 10504 61%
management company

dhfl pramerica asset

8 491 2598683.24 216345 -80979 -37%
management company

Dsp Blackrock asset

9 398 4015131.25 3918267.17 96865 2%
management company
Sr Total Qaaum aum (₹ Prev qaaum (₹ Inc/dec (₹
Mutual fund name Percentage
no schemes lakh.) lakh.) lakh.)

edelweiss asset
10 70 167774.29 163236.28 4538 3%
management company

escorts asset management

11 60 28559.18 29222.27 -663 -2%
company

Franklin Templeton asset

12 200 6784076.49 7172216.54 -384257 -5%
management company

Goldman sachs asset

13 18 610139.99 685179.35 -75039 -11%
management company

hdfc asset management

14 1173 17608456.44 17866622.24 -256390 -1%
company

hsbc global asset

15 155 790382.19 837762.82 -47151 -6%
management company

icici prudential asset

16 1529 17596397.6 17223699 390751 2%
management company

idbi asset management

17 92 689266.37 756428.17 -67162 -9%
company

idfc asset management

18 453 5228379.46 5486421.83 -249600 -5%
company
Sr Total Qaaum aum (₹ Prev qaaum (₹ Inc/dec (₹
Mutual fund name Percentage
no schemes lakh.) lakh.) lakh.)

iifcl asset management

19 1 35797.56 34293.89 1504 4%
asset

iifl asset management

20 18 48543.76 42203.84 6340 15%
company

il & fs infra asset

21 12 92296.34 90029.5 2267 3%
management company

indiabulls asset
22 56 528955.04 491675.45 37279 8%
management company

jm financial asset
23 179 1616090.42 1586776.74 29313 2%
management

j.p. morgan asset

24 141 641451.9 750109.43 -107986 -14%
management company

kotak Mahindra asset

25 431 5873108.27 5513383.02 362464 7%
management company

l&t asset management

26 246 2594480.1 2505850.82 89990 4%
company

lic nomura mutual fund

27 asset management 176 1315562.4 1238408.04 92942 8%
company

28 mirae asset management 55 313272.14 280239.04 33101 12%

Sr Total Qaaum aum (₹ Prev qaaum (₹ Inc/dec (₹
Mutual fund name Percentage
no schemes lakh.) lakh.) lakh.)

motilal oswal asset

29 31 468921.13 455222.64 14103 3%
management company

peerless asset
30 57 98524.1 102441.7 -3917 -4%
management company

ppfas asset management

31 1 61357.1 62931.88 -1575 -3%
company

principal asset
32 123 528106.02 587875.66 -59770 -10%
management company

quantum asset
33 15 66093.04 65531.63 561 1%
management company

reliance asset
34 1015 15936949.34 15787817.36 152561 1%
management company

religare global asset

35 267 1959617.91 1988459.31 -28622 -1%
management company

sahara asset management

36 68 9929.16 11002.32 -758 -7%
company

sbi asset management

37 652 10732737.36 10058453.69 672760 7%
company
Sr Total Qaaum aum (₹ Prev qaaum (₹ Inc/dec (₹
Mutual fund name Percentage
no schemes lakh.) lakh.) lakh.)

shriram asset management

38 4 3716.98 3711.53 5 0%
company

sundaram asset
39 479 2366370.94 2187696.57 185302 8%
management company

Tata asset management

40 324 3186223.17 3155590.09 26752 1%
company

Taurus asset management

41 65 394858.04 350334.19 44524 13%
company

union kbc asset

42 60 290228.21 273213.25 17015 6%
management company

uti asset management

43 1220 10630921.82 10612903.52 16124 0%
company

132170477.1
gross 11856 135912187.2
TYPES OF MUTUAL FUND:

There are many different types of mutual funds categorized based on structure, asset class and
investment objectives. Choosing the right type of fund for your investment needs will depend on
your investment goal.
TYPES OF MUTUAL FUND BASED ON STRUCTURE:

 OPEN- ENDED FUND :

These are funds in which units are open for purchase or redemption through
the year. All purchases/redemption of these fund units are done at prevailing NAVs. Basically
these funds will allow investors to keep invest as long as they want. There are no limits on
how much can be invested in the fund. They also tend to be actively managed which means
that there is a fund manager who picks the places where investments will be made. These
funds also charge a fee which can be higher than passively managed funds because of the
active management. They are an ideal investment for those who want investment along with
liquidity because they are not bound to any specific maturity periods. Which means that
investors can withdraw their funds at any time they want thus giving them the liquidity they
need?

 CLOSE- ENDED FUND:

These are funds in which units can be purchased only during the initial offer
period. Units can be redeemed at a specified maturity date. To provide for liquidity, these
schemes are often listed for trade on a stock exchange. Unlike open ended mutual funds, once
the units or stocks are bought, they cannot be sold back to the mutual fund, instead they need
to be sold through the stock market at the prevailing price of the shares.

 INTERVAL FUND:

These are funds that have the features of open-ended and close-ended funds
in that they are opened for repurchase of shares at different intervals during the fund tenure.
The fund management company offers to repurchase units from existing unit holders during
these intervals. If unit holders wish to they can offload shares in favor of the fund.
 TYPES OF MUTUAL FUND BASED ON ASSECT CLASS:

 EQUITY FUNDS:

These are funds that invest in equity stocks/shares of companies. These are
considered high-risk funds but also tend to provide high returns. Equity funds can include
specialty funds like infrastructure, fast moving consumer goods and banking to name a few.

 DEBT FUNDS:

These are funds that invest in debt instruments e.g. company debentures,
government bonds and other fixed income assets. They are considered safe investments
and provide fixed returns. These funds do not deduct tax at source so if the earning from
the investment is more than Rs. 10,000 then the investor is liable to pay the tax on it
himself.

 BALANCED OR HYBRID FUNDS:

These are funds that invest in a mix of asset classes. In some cases, the
proportion of equity is higher than debt while in others it is the other way round. Risk and
returns are balanced out this way. An example of a hybrid fund would be Franklin India
Balanced Fund-DP (G) because in this fund, 65% to 80% of the investment is made in
equities and the remaining 20% to 35% is invested in the debt market. This is so because
the debt markets offer a lower risk than the equity market.

TYPES OF MUTUAL FUND BASED ON INVESTMENT OBJECTIVES:

 GROWTH FUNDS:

Under these schemes, money is invested primarily in equity stocks with the
purpose of providing capital appreciation. They are considered to be risky funds ideal for
 investors with a long-term investment timeline. Since they are risky funds they are also ideal
for those who are looking for higher returns on their investments.

 INCOME FUNDS:
Under these schemes, money is invested primarily in fixed-income instruments e.g. bonds,
debentures etc. with the purpose of providing capital protection and regular income to investors.

 MONEY MARKET FUNDS:

These are funds that invest in liquid instruments e.g. T-Bills, CPs etc.
They are considered safe investments for those looking to park surplus funds for immediate
but moderate returns. Money markets are also referred to as cash markets and come with risks
in terms of interest risk, reinvestment risk and credit risks.

 LIQUID FUNDS:

Under these schemes, money is invested primarily in short-term or very short-term

instruments e.g. T-Bills, CPs etc. with the purpose of providing liquidity. They are considered to
be low on risk with moderate returns and are ideal for investors with short-term investment
timelines.

 TAX-SAVINGD FUND(ELLS):

These are funds that invest primarily in equity shares. Investments

made in these funds qualify for deductions under the Income Tax Act. They are considered
high on risk but also offer high returns if the fund performs well.

 CAPTIAL PROTECTION FUNDS:

These are funds where funds are split between investment in fixed
income instruments and equity markets. This is done to ensure protection of the principal that
has been invested.
  FIXED MATURITY FUNDS:

Fixed maturity funds are those in which the assets are invested in debt
and money market instruments where the maturity date is either the same as that of the fund or
earlier than it.

 PENSION FUNDS:

Pension funds are mutual funds that are invested in with a really long term
goal in mind. They are primarily meant to provide regular returns around the time that the
investor is ready to retire. The investments in such a fund may be split between equities and
debt markets where equities act as the risky part of the investment providing higher return and
debt markets balance the risk and provide lower but steady returns. The returns from these
funds can be taken in lump sums, as a pension or a combination of the two.

TYPES OF MUTUAL FUNDS BASED ON SPECIALTY:

 SECTOR FUNDS:

These are funds that invest in a particular sector of the market e.g.
Infrastructure funds invest only in those instruments or companies that relate to the
infrastructure sector. Returns are tied to the performance of the chosen sector. The risk
involved in these schemes depends on the nature of the sector.

 INDEX FUNDS:

These are funds that invest in instruments that represent a particular index on an
exchange so as to mirror the movement and returns of the index e.g. buying shares representative
of the BSE Sensex
  FUND OF FUNDS;

These are funds that invest in other mutual funds and returns depend on the
performance of the target fund. These funds can also be referred to as multi manager funds.
These investments can be considered relatively safe because the funds that investors invest in
actually hold other funds under them thereby adjusting for risk from any one fund.

 EMERGING MARKET FUNDS:

These are funds where investments are made in developing countries that
show good prospects for the future. They do come with higher risks as a result of the dynamic
political and economic situations prevailing in the country.

 INTERNATIONAL FUNDS:

These are funds where the investment made by the fund can be in a company in any
part of the world. They are different from international/foreign funds because in global funds,
investments can be made even the investor's own country.

 GLOBAL FUNDS:

These are the funds that invest in companies that operate in the real estate sectors.
These funds can invest in realtors, builders, property management companies and even in
companies providing loans. The investment in the real estate can be made at any stage,
including projects that are in the planning phase, partially completed and are actually
completed.
  COMMODITY FOCUSED STOCK FUNDS:

These funds don’t invest directly in the commodities. They invest in

companies that are working in the commodities market, such as mining companies or producers
of commodities. These funds can, at times, perform the same way the commodity is as a result of
their association with their production.

 MARKET NETURAL FUNDS:

The reason that these funds are called market neutral is that they don’t
invest in the markets directly. They invest in treasury bills, ETFs and securities and try to
target a fixed and steady growth.

 INVERSE / LEVERGED FUNDS:

These are funds that operate unlike traditional mutual funds. The
earnings from these funds happen when the markets fall and when markets do well these funds
tend to go into loss. These are generally meant only for those who are willing to incur massive
losses but at the same time can provide huge returns as well, as a result of the higher risk they
carry.

 ASSET ALLOCATION FUNDS:

The asset allocation fund comes in two variants, the target date fund and the
target allocation funds. In these funds, the portfolio managers can adjust the allocated assets to
achieve results. These funds split the invested amounts and invest it in various instruments like
bonds and equity.

 GIFT FUNDS:

Gift funds are mutual funds where the funds are invested in government
securities for a long term. Since they are invested in government securities, they are virtually
risk free and can be the ideal investment to those who don’t want to take risks.
  EXCHANGE TRADED FUNDS:

These are funds that are a mix of both open and close ended mutual funds and are traded
on the stock markets. These funds are not actively managed they are managed passively and can
offer a lot of liquidity. As a result of their being managed passively, they tend to have lower
service charges (entry/exit load) associated with them.

TYPES OF MUTUAL FUNDS BASED ON RISK:

 LOW RISK:

These are the mutual funds where the investments made are by those who do not
want to take a risk with their money. The investments in such cases are made in places like the
debt market and tend to be long term investments. As a result of them being low risk, the return
on these investments is also low. One example of a low risk fund would be gift funds where
investments are made in government securities.

Ex: balance fund, debt fund

 MEDIUM RISK:

These are the investments that come with a medium amount of risk to the investor.
They are ideal for those who are willing to take some risk with the investment and tend to
offer higher returns. These funds can be used as an investment to build wealth over a longer
period of time.

Ex: Large cap funds

  HIGH RISK:

These are those mutual funds that are ideal for those who are willing to take
higher risks with their money and are looking to build their wealth. One example of high risk
funds would be inverse mutual funds. Even though the risks are high with these funds, they
also offer higher returns.
Ex: small cap and mid cap funds

ADVANTAGES AND DIS-ADVANTAGES:

Mutual funds have advantages and disadvantages compared to investing

directly in individual securities:

Advantages of investing in mutual funds:

 Increased diversification: A fund diversifies holding many securities;

this diversification decreases risk.
 Daily liquidity: Shareholders of open-end funds and unit investment trusts may sell their
holdings back to the fund at regular intervals at a price equal to the net asset value of the
fund's holdings. Most funds allow investors to redeem in this way at the close of every
trading day.
 Professional investment management: Open-and closed-end funds hire portfolio managers to
supervise the fund's investments.
 Ability to participate in investments that may be available only to larger investors. For
example, individual investors often find it difficult to invest directly in foreign markets.
 Service and convenience: Funds often provide services such as check writing.
 Government oversight: Mutual funds are regulated by a governmental body

Transparency and ease of comparison: All mutual funds are required to report the same
information to investors, which makes them easier to compare
Disadvantages of investing in mutual funds:

 Subject to mutual fund fees and expenses

 Less control over timing of recognition of capital gains
 Less predictable income
 No opportunity to customize
14 Important Steps Taken by SEBI for Regulating Mutual Funds in India:

Important steps taken by SEBI for the regulation of mutual funds are listed
below:

 FORMATION:
Certain structural changes have also been made in the mutual fund industry,
as part of which mutual funds are required to set up asset management companies with fifty
percent independent directors, separate board of trustee companies, consisting of a minimum
fifty percent of independent trustees and to appoint independent custodians.

This is to ensure an arm’s length relationship between trustees, fund managers and custodians,
and is in contrast with the situation prevailing earlier in which all three functions were often
performed by one body which was usually the sponsor of the fund or a subsidiary of the sponsor.

Thus, the process of forming and floating mutual funds has been made a tripartite exercise by
authorities. The trustees, the asset management companies (AMCs) and the mutual fund
shareholders form the three legs. SEBI guidelines provide for the trustees to maintain an arm’s
length relationship with the AMCs and do all those things that would secure the right of
investors.
With funds being managed by AMCs and custody of assets remaining with trustees, an element
of counter-balancing of risks exists as both can keep tabs on each other.

 REGISTRATION:
In January 1993, SEBI prescribed registration of mutual funds taking into
account track record of a sponsor, integrity in business transactions and financial soundness
while granting permission.

This will curb excessive growth of the mutual funds and protect investor’s interest by
registering only the sound promoters with a proven track record and financial strength. In
February 1993, SEBI cleared six private sector mutual funds viz. 20th Century Finance
Corporation, Industrial Credit & Investment Corporation of India, Tata Sons, Credit
Capital Finance Corporation, Create Financial Services and Apple Industries

 DOCUMENTS:
The offer documents of schemes launched by mutual funds and the scheme
particulars are required to be vetted by SEBI. A standard format for mutual fund prospectuses is
being formulated.

 CODE OF ADVERTISEMENTS:
Mutual funds have been required to adhere to a code of advertisement
  ASSURANCE ON RETURNS:
SEBI has introduced a change in the Securities Control and
Regulations Act governing the mutual funds. Now the mutual funds were prevented from giving
any assurance on the land of returns they would be providing. However, under pressure from the
mutual funds, SEBI revised the guidelines allowing assurances on return subject to certain
conditions.

Hence, only those mutual funds which have been in the market for at least five years are allowed
to assure a maximum return of 12 per cent only, for one year. With this, SEBI, by default,
allowed public sector mutual funds an advantage against the newly set up private mutual funds.

As per basic tenets of investment, it can be justifiably argued that investments in the capital
market carried a certain amount of risk, and any investor investing in the markets with an aim of
making profit from capital appreciation, or otherwise, should also be prepared to bear the risks of
loss.

 MINIMUM CORPUS:
The current SEBI guidelines on mutual funds prescribe a minimum
start-up corpus of Rs.50 core for a open-ended scheme, and Rs.20 core corpus for closed-ended
scheme, failing which application money has to be refunded.

The idea behind forwarding such a proposal to SEBI is that in the past, the minimum corpus
requirements have forced AMCs to solicit funds from corporate bodies, thus reducing mutual
funds into quasi-portfolio management outfits. In fact, the Association of Mutual Funds in India
(AMFI) has repeatedly appealed to the regulatory authorities for scrapping the minimum corpus
requirements.
  INSTITUTIONALIZATION:
The efforts of SEBI have, in the last few years, been to
institutionalize the market by introducing proportionate allotment and increasing the minimum
deposit amount to Rs.5000 etc. These efforts are to channel the investment of individual
investors into the mutual funds.

 INVESTMENT OF FUNDS MOBILIZED:

In November 1992, SEBI increased the time limit from six

months to nine months within which the mutual funds have to invest resources raised from
the latest tax saving schemes. The guideline was issued to protect the mutual funds from the
disadvantage of investing funds in the bullish market at very high prices and suffering from
poor NAV thereafter

 INVESTMENT IN MONEY MARKET:

SEBI guidelines say that mutual funds can invest
a maximum of 25 per cent of resources mobilized into money-market instruments in the first six
months after closing the funds and a maximum of 15 per cent of the corpus after six months to
meet short term liquidity requirements.

Private sector mutual funds, for the first time, were allowed to invest in the call money market
after this year’s budget. However, as SEBI regulations limit their exposure to money markets,
mutual funds are not major players in the call money market. Thus, mutual funds do not have a
significant impact on the call money market.
  VALUATION OF INVESTMENT :
The transparent and well understood declaration or Net Asset Values
(NAVs) of mutual fund schemes is an important issue in providing investors with
information as to the performance of the fund. SEBI has warned some mutual funds
earlier of unhealthy market
 INSPECTION:
SEBI inspect mutual funds every year. A full SEBI inspection of all the 27
mutual funds was proposed to be done by the March 1996 to streamline their operations and
protect the investor’s interests. Mutual funds are monitored and inspected by SEBI to ensure
compliance with the regulations.

 UNDERWRITING:
In July 1994, SEBI permitted mutual funds to take up underwriting of
primary issues as a part of their investment activity. This step may assist the mutual funds in
diversifying their business.

 CONDUCT:
In September 1994, it was clarified by SEBI that mutual funds shall not offer
buy back schemes or assured returns to corporate investors. The Regulations governing Mutual
Funds and Portfolio Managers ensure transparency in their functioning

 VOTING RIGHT:
In September 1993, mutual funds were allowed to exercise their voting
rights. Department of Company Affairs has reportedly granted mutual funds the right to vote as
full-fledged shareholders in companies where they have equity investments.

\
 COMPANY PROFILE:

One fateful evening in the summer of 1982, 5 young men who worked for a renowned chartered
accountancy firm decided that it was time they struck out on their own to create an enterprise
that would someday become an iconic name in the financial services space.

They came from ordinary middle class backgrounds. They had two assets; one was their
education and the other an unquenchable desire to succeed. They had a lot stacked against them:
the environment was not conducive to entrepreneurship; technology was not fully supportive,
financial markets were largely unregulated; they were based out of Hyderabad while most key
players in the financial world were in Mumbai or other metros and the wolf was at the door. The
odds seemed insurmountable.

These remarkable young men’s “Never say die” approach held them in good stead over the
years. They stuck to their dreams, burnt the midnight oil, embraced technology and made it work
for them and through sheer dint of determination, eventually overcame all obstacles.

First came the registry business, followed by broking, and the rest became a lesson for every
young individual to emulate.
SERVICES OFFERED BY KARVY

The Karvy Group is today a well diversified conglomerate. Its businesses straddle the entire
financial services spectrum as well as data processing and managing segments. Since most of its
financial services were retail focused, the need to build scale and skill in the transaction
processing domain became imperative. Also during stressed environment in the financial
services segment, the non financial businesses bring in a lot of stability to the group’s businesses.

Karvy’s financial services business is ranked among the top-5 in the country across its business
segments. The Group services over 70 million individual investors in various capacities, and
provides investor services to over 600 corporate houses, comprising the best of Corporate India.

The Group offers stock broking, depository participant, distribution of financial products
(including mutual funds, bonds and fixed deposits), commodities broking, personal finance
advisory services, merchant banking & corporate finance, wealth management, NBFC (loans to
individuals, micro and small businesses), Data management, Forex & currencies, Registrar &
Transfer agents, Data Analytics, Market Research among others.

Karvy prides itself on remaining customer centric as all times through a combination of leading
edge technology, Professional management and a wide network of offices across India.

Karvy is committed to its quest as an Equal Opportunity Employer and believes in the rights for
differently-abled persons. We have over 12% employees who are challenged in some form in
one of our prominent businesses.
SUBSIDIARY COMPANIES OF KARVY

 Karvy Stock Broking LTD

Equity Broking, Depository Participant, Distribution of Financial Products (Mutual Funds,
FD and Bonds), Wealth Management Services, Currency Derivatives, Portfolio Management
Services
 Karvy Comtrade LTD
Commodities Broking
 Karvy Capital LTD( Formerly Karvy Capital Private LTD)
NBFC & Portfolio Manager
 Karvy Investment Advisory Services LTD (Formerly known as Karvy Insurance Broking
LTD)
Investment Advisory Services
 Karvy Holdings LTD
 Core Investment Company
 Karvy Middle East LLC
Wealth Management Products for NRI's
 Karvy Realty (India) LTD
Realty Services
 Karvy Financial Services LTD
Non Banking Financial Services
 Karvy Insurance Repository LTD
Insurance Repository services
 Karvy Forex & Currencies Private LTD
Currency and Forex services
 Karvy Consultants LTD
Consultancy and Advisory Services, Publications
 Karvy Computershare Private LTD
Registrar and Share Transfer agent
 Karvy Computershare W.L.L ( Formerly known as Fakhro Karvy Computershare W.L.L)
Agent for Custody & Registration of Securities, Registered Administrator
 Karvy Data Management Services LTD
Data Management Services
 Karvy Investor Services LTD
Merchant Banking and Corporate Finance
 Karvy Insights LTD
Market Research
 Karvy Analytics LTD
Analytics
 Karvy Solar Power LTD
Power Generation
 Karvy Global Services LTD
Business Process Outsourcing
 Karvy Global Services Inc, USA
Business Process Outsourcing
 Karvy Inc, USA
Institutional Broking

PROMOTERS & MANAGEMENT TEAM

Mr. C. Parthasarathy
Chairman & Managing Director

Mr. C. Parthasarathy is the Chairman and Managing Director of the diversified financial services
Karvy group. C Parthasarathy (CP as he is better known in the Industry), has the uncanny knack
of staying ahead of the curve and the foresight to spot opportunities that seem invisible on the
horizon for the others. Karvy’s entire history is a case study of turning adversity into
opportunity. CP is a chartered accountant by qualification, whose entrepreneurial energy drove
him to co-found Karvy in 1983 with a less-than-modest capital of Rs 150,000.

Mr. M. Yugandhar
Managing Director

Mr. M Yugandhar, Managing Director is a founder member of the KARVY Group. He is a

Fellow Member of the Institute of Chartered Accountants of India and has varied experience in
the field of financial services spanning over 30 odd years.
Mr. M. S. Ramakrishna
Director

Mr. M S Ramakrishna, Director, founder member of KARVY GROUP, he is the orchestrator of

technology initiatives such as the call center in the service of the customer.

MANAGEMENT TEAM

Mr. V.Mahesh
Managing Director – Karvy Data Management

Mr. V Mahesh is the Managing Director of Karvy Data Management and has work experience
spanning over 2 decades with in depth exposure to operations on most financial services
businesses. Commencing his professional stint with the Registry business where he has to his
credit managing over 300 IPOs and other forms of offerings, he was amongst the first few to
work closely on the Book Building process initiated by SEBI in 1995. After initially working
with MCS as an Assistant Vice President, he moved to Karvy. He was also responsible to
initiate the process of setting up the Depository participant business in Karvy and was
responsible for both the operations and the marketing of the business. He has been nominated by
the NSDL to various committees which addressed key changes to the overall processes and
policies for the Demat business.
Mr. V. Ganesh
CEO – Karvy Computershare

Mr. V Ganesh is a Chartered and Cost Accountant by profession and has over 2.5 decades of
experience in the financial services space and is part of Karvy Group’s leadership team. Before
joining KARVY, he was associated with ITC’s risk management and financial audit services
department. Earlier he was associated with Proctor and Gamble and was responsible for product
pricing and financial support functions for P&G’s soaps and health care businesses.

Mr. Sushil Sinha

Whole time Director - Karvy Comtrade

Mr. Sushil Sinha, the Country Head of Karvy Comtrade Ltd, has successfully made Karvy
Comtrade a force to reckon with in the marketplace. With over 10 years of expertise in the
broking sector, he is a well-known face today in the electronic and print media. Under his aegis,
the company has won numerous honours and awards nationwide, including the UTV Bloomberg
Leadership Award 2011 and India’s Best Market Analyst Award—for two consecutive years—
by Zee Business.
Mr. P. B. Ramapriyan
Vice President & Head - Financial Product Distribution

Mr. Ramapriyan is working with Karvy for over 2 decades; He has strength of sorts in the
distribution of financial products including Equity, Bonds, Fixed Deposits and Auto Finance. He
has successfully marketed several financial products for large number of corporate of various
sizes. He is also responsible for managing the Pan India Network of brokers and sub-brokers. He
has been instrumental in Karvy’s success in distribution of debt products.

Mr. Rajiv R. Singh

Vice President & Business Head - Karvy Stock Broking Limited

Mr. Rajiv R. Singh is the Vice President & Business Head of the Equity Broking business. He
has been associated with Karvy for more than a decade. He joined Karvy in 2001 and moved up
the corporate ladder with his sheer dedication, commitment and hard work.
Mr. J. Ramaswamy
Group Head - Corporate Affairs

Mr. Ramaswamy, the Group Head for Corporate Affairs, is the official spokesperson for the
Karvy Group. Mr. Ramaswamy has more than 25 years of experience in various spheres of the
financial services industry, of which 10 years has been in the Legal and Secretarial division of
Reliance, handling various public issues, mergers, monitoring performance of various
departments, liaising with regulatory bodies and outside agencies (viz., the stock exchange,
SEBI, DCA and others), and coordinating all the board meetings.

Mr. Deepak Gupta

Group Head - HR

Mr. Deepak Gupta brings with him over 20 years of experience in HR, spanning financial
services, ITes and manufacturing. Prior to joining Karvy, he was Chief People Officer, Human
Resources, with Bajaj Finance Limited, a Rahul Bajaj Group Company, based at Pune. He has
also had a successful career with a few prominent corporate, including SREI, Enam, CRISIL,
CEAT Financial Services and Reliance Industries.
Mr. G. Krishna Hari
Group Head - Finance

Mr. G. Krishna Hari holds a Bachelors degree in Commerce and is associate member of the
Institute of Chartered Accountants of India (ICAI). He has over 27 years of experience in the
areas of finance and accounts functions encompassing fund raising, financial reporting,
management accounting, and working capital management, taxation, budgeting and forecasting
and financial due diligence reviews for mergers & acquisitions and investment proposals.
BRILA SUN LIFE INSURANCE COMPANY
LIMITED:
COMPANY PROFILE:

Type : Private

Industry : Insurance

Founded : 2000

Founders : Aditya Vikram Birla

Headquarters : Elphinstone Road, Mumbai, India

Key people : Kumar Mangalam Birla (Chairman)

Pankaj Razdan (MD and CEO)
Amit Jain (Chief Financial Officer)

Rajesh Nambiar (Chief Marketing Officer)

Services : Insurance

Total assets : ₹300,000,000,000 (May 2015)

Parent : Aditya Birla Group and Sun Life Financial Inc.

Website : insurance.birlasunlife.com

Birla Sun Life Insurance Company Limited (BSLI) is a joint venture between the Indian
conglomerate Aditya Birla Group, and Sun Life Financial Inc., an international financial
services organizations from Canada. BSLI has a customer base of over two and half million
policy holders
HISTORY:

Birla Sun Life Insurance Company Limited was founded in 2000. The company
is based in Mumbai, India. It is a joint venture between Indian Aditya Birla Group and
Canadian Sun Life Financial Inc. In April 2016; Sun Life Financial increased their stake in Birla
Sun Life Insurance to 49%

The Aditya Birla Group is an Indian multinational conglomerate named

after Aditya Vikram Birla, headquartered in the Aditya Birla Centre in Worli, Mumbai, India. It
operates in 40 countries with more than 120,000 employees worldwide. The group was founded
by Seth Shiv Narayan Birla in 1857. The group interests in sectors such as viscose staple fibre,
metals, cement (largest in India), viscose filament yarn, branded apparel, carbon black,
chemicals, fertilizers, insulators, financial services, telecom (third largest in India), BPO and IT
services. The group had revenue of approximately US$41 billion in year 2015

Aditya Birla Financial Services Group (ABFSG) is the umbrella brand for all
the financial services business of The Aditya Birla Group. They have a strong presence across
the life insurance, asset management, lending (excluding Housing), housing finance, equity and
commodity broking, wealth management and distribution, online money management portal—
Aditya Birla Money My Universe, general insurance advisory and private equity and health
insurance businesses. ABFSG is committed to serve the end-to-end financial services needs of its
retail and corporate customers. In FY 2013–14, ABFSG reported consolidated revenue from
these businesses at just under ₹70 billion (US$1.1 billion) and profits of about ₹7.5
billion (US$120 million). Anchored by over 14,000 employees and trusted by over 6 million
customers, ABFSG has a nationwide reach through 1,500 points of presence and about 130,000
agents/channel partners.

Sun Life Financial, Inc. is a Canada-based financial services company

known primarily as a life insurance company. It is one of the largest life insurance companies in
the world, and also one of the oldest with the history spanning back to 1865. Sun Life Financial
has a strong presence in investment management with over CAD$734 billion in assets under
management operating in a number of countries. Sun Life had about $734 billion of assets under
management as of Dec. 31 2014 including mutual funds and insurance-unit holdings.

GROWTH:

BSLI is the first Indian Insurance Company to introduce "Free Look Period", by which
consumer can return the policy to an insurance company within this period after receiving the
policy “Free Look Period” was later made mandatory by Insurance Regulatory and Development
Authority of India for all other life insurance companies In 2013. Additionally, BSLI pioneered
the launch of Unit Linked Plan. BSLI has a policy of disclosing their portfolio on a monthly
basis On 5 February 2015, Birla Sun Life Insurance signed an IT outsourcing deal with
International Business Machines Corporation (IBM) with a view to leveraging mobility and
cloud solutions developed by IBM Research and the IBM India Software Lab
SOME OF SCHEMES AVALIABLE IN BSLI:
 Scheme
Inception Return Return Return
Name & Category
Date (6M) (1Y) (3Y)
Benchmark

Birla Sun Life

Active Debt Multi-
Fund of Funds 2.64 12.23 10.78
Mgr FoF - Dir (D) 02-Jan-13
- Debt NA NA NA
Crisil Composite
Bond Fund Index

Birla Sun Life

Active Debt Multi-
Fund of Funds 2.64 12.22 10.78
Mgr FoF - Dir (G) 02-Jan-13
- Debt NA NA NA
Crisil Composite
Bond Fund Index

Birla Sun Life

Active Debt Multi-
Fund of Funds 2.39 11.66 10.23
Mgr FoF (D) 29-Dec-06
- Debt NA NA NA
Crisil Composite
Bond Fund Index

Birla Sun Life

Active Debt Multi-
Fund of Funds 2.39 11.66 10.23
Mgr FoF (G) 29-Dec-06
- Debt NA NA NA
Crisil Composite
Bond Fund Index

Birla Sun Life

Advantage Fund - Equity - NA 26.24 19.28
02-Jan-13
Direct (D) Diversified NA 18.08 9.92
S&P BSE 200
 DSP GROUP:

COMPANY PROFILE:
 DSP Group, Inc

Type : Public

Traded as : NASDAQ: DSPG

S&P 600 Component

Industry : VoIP, Telecommunications, Communication

systems

Founded : 1987; 30 years ago

Headquarters : San Jose, California

Key people : Eliyahu Ayalon (Chairman),

Ofer Elyakim (CEO)

Products : IP Telephony, Media Gateways,

Wireless chipsets,
Mobile VoIP

Revenue : US$ 225.48 million (2010)

Operating income $ 9.68 million (2010)

:

Profit : $ 7.42 million (2010)

Number of 409 (2009)

employees :

Website : www.dspg.com
HISTORY:

DSP Group was founded in 1987 by Davidi Gilo, who served as the company's CEO and
Chairman until 1993.

DSP Group developed the world's first telephony answering device (TAD) speech processor in
1989. The company entered the digital cordless industry with the acquisition of Advanced Micro Devices'
(AMD) 900 MHz technology in 1999, and the subsequent development of 900 MHz narrow-band
cordless and 2.4 GHz multi-handset chipset solutions

In 1993 one of the company's co-founder and its CTO Shabtai Adlersberg started a new
company Audio Codes, with the initial investment provided by the DSP Group. Audio Codes grew to
become a leading provider of VoIP solutions, which had an initial public offering on the NASDAQ in
1999. In 2004 DSP Group sold all its holdings in Audio Codes making a significant profit on its initial
investment

In 1994 the DSP Group had an initial public offering on the NASDAQ.

In 1996 DSP Group spun off its cellular chip design and development division into a new company called
DSP Communications (DSPC). DSP Communications had an initial public offering on the NASDAQ the
same year. In 1999 Intel bought DSP Communications for $1.6 billion USD.

In November 2002, DSP's IP licensing division and the Irish company Parthus Technologies Plc were
merged to form a new company called CEVA, Inc.

DSP Group entered into the multimedia communications sector with the acquisition of Teleman
Multimedia in 2003. Incorporating VoIP and Wi-Fi technologies obtained through the acquisition of
Voice Pump and Bermai, DSP Group entered the residential multimedia communications over broadband
market with the 2006 development of a chipset integrating DECT and Wi-Fi technologies with an
application processor. DSP Group acquired NXP Semiconductors' cordless and VoIP terminals business
in 2007
DSP BLACK ROCK MUTUAL FUND:

Is a joint venture between the 150 year old Indian financial

firm, DSP Group and the world’s largest investment management firm, Blackrock We are one of
the premier asset management companies in India, with over 19 years of track record of
investment excellence.
The firm was known as DSP Merrill Lynch Fund Managers till 2008, when the name was
changed to DSP Blackrock Investment Managers Pvt Ltd, to reflect the business realignment
with Blackrock’s takeover of Merrill Lynch’s investment management division across the world.

DSP Blackrock Investment Managers, since May 2014, also manages DSP Blackrock
Alternative Investment Fund (AIF) Category III (“The Fund”), a SEBI-registered Category III
AIF. The Fund manages various open and closed ended schemes with different strategies,
including long/short, under this Fund. (Read on the Disclaimers for essential legal information
regarding the Fund).

DSP GROUP:

The DSP Group, headed by Mr. Hemendra Kothari, is one of the oldest and most
respected financial services firms in India. The firm commenced its stock broking business in the
1860s and the family behind the group has been very influential in the growth and
professionalization of capital markets and money management business in India.
BLACK ROCK:

Blackrock is the world’s largest investment management firm and is trusted to manage more
money than any other investment firm in the world. Millions of retail investors from around the
world, governments, large foundations and companies including 94 of the Fortune 100 and 20 of
the top 25 insurers globally trust Blackrock with their money.

People at Blackrock are known to be passionate about their work and intensely focused on
performing at the highest levels. To get there, they strive to out-think and out-work competitors
and find the best balance of risk and return across all investment styles on behalf of clients.
Today, Blackrock has a deep presence in every major capital market in the world, which results
in greater insights into increasingly interconnected financial markets.
COMPARISION ON BRILA SUN LIFE AND DSP GROUP
MUTUAL FUNDS SCHEMES:
Birla Sun Life Small and Midcap Fund - Direct Plan (G): 38.910 ( fund value):

Returns (NAV as on 21 Jun, 2017)

Period Returns (%) Rank #
1 mth 1.4 113
3 mth 12.2 44
6 mth 32.4 23
1 year 38.5 23
2 year 27.5 5
3 year 26.9 22
5 year - -

ABSOLUTE RETURNS:

Year Qtr 1 Qtr 2 Qtr 3 Qtr 4 Annual

2017 21.1 - - - -

2016 -8.3 15.7 10.5 -9.7 9.7

2015 3.1 -1.6 2.1 7.0 13.5

2014 6.8 32.5 4.9 11.7 67.3

2013 -11.8 1.6 -4.4 19.1 3.7

DSP Black Rock Micro Cap Fund - Direct Plan (G):64.047( fund value) :

Returns (NAV as on 21 Jun, 2017)

Period Returns (%) Rank

#

1 mth 2.8 74

3 mth 11.6 49

6 mth 25.9 61

1 year 35.6 35

2 year 26.9 6

3 year 34.5 1

5 year - -

Absolute Returns (in %):

Year Qtr 1 Qtr 2 Qtr 3 Qtr 4 Annual

2017 15.8 - - - -

2016 -8.0 16.1 7.6 -4.7 12.6

2015 7.3 -1.1 3.5 6.0 20.2

2014 9.2 36.8 16.3 16.2 101.0

2013 -16.0 -0.5 -4.3 25.1 3.5

INTERPRETATION:

 Result in the 2017 last month back DSP group has given high result then BSLI

 While it compare with last six months returns BSLI has given high returns
then DSP group

 When it come to absolute result when we take in consideration of past few

years DSP group has little bit high result then BSLI

Birla Sun Life Small and Midcap Fund (G):

PLAN: Regular 37.231 (fund value):

Returns (NAV as on 22 June 2017):

Period Returns (%) Rank

#
1 mth 1.5 121
3 mth 12.0 47
6 mth 32.9 26
1 year 37.1 25
2 year 25.2 7
3 year 25.5 31
5 year 27.0 18

Absolute Returns (in %):

Year Qtr 1 Qtr 2 Qtr 3 Qtr 4 Annual

2017 20.8 - - - -

2016 -8.5 15.5 10.3 -9.9 8.8

2015 2.9 -1.8 1.9 6.8 12.7
2014 6.6 32.2 4.6 11.4 65.7
2013 -11.0 1.4 -4.6 18.9 4.1
2012 16.7 -2.3 7.6 5.7 32.5
DSP Blackrock Micro Cap Fund :

Regular Plan (G) 61.932 9(fund value):

Returns (NAV as on 22 June 2017):

Period Returns (%) Rank

#
1 mth 3.4 69
3 mth 11.8 49
6 mth 26.5 64
1 year 34.6 38
2 year 24.7 10
3 year 33.4 3
5 year 32.8 2

Absolute Returns (in %):

Year Qtr 1 Qtr 2 Qtr 3 Qtr 4 Annual

2017 15.6 - - - -

2016 -8.2 15.9 7.4 -4.9 11.8

2015 7.1 -1.2 3.3 5.8 19.3
2014 9.0 36.6 16.1 16.1 99.7
2013 -15.8 -0.7 -4.5 24.9 3.2
2012 20.0 0.4 9.6 4.5 40.6
How to choose the right mutual fund:

With so many different types of mutual funds available in the market, picking one that suits
specific investment needs the most is not an easy task. The simplest advice that can be given in
that regard is to first understand your own needs. The next step would be to figure out what your
goal is? Is it to build wealth quickly, at a moderate pace or at a slow pace. Once that is decided
the last main thing to consider is the risk you are willing to take. The highest returns are general
observed to come from the funds offering the highest risks. So if you want returns quickly and
are willing to take risks than that is the fund to go for. If your objective is to build wealth
Slowly then going in for a medium or low risk mutual fund is ideal.

Since mutual funds always come with a factor of risk associated with them, no matter how small,
it is imperative that investors read their policy documents carefully before investing. It would
also be a good idea to read the document to ensure that they, the investors, have understood
exactly what they have invested in and all the facilities that are available to them with that
investment
SUGGESTIONS:

 There is need to build awareness of the new funds among the investors with constantly
being in contact with them

 AMC’S should go for increasing more awareness about different facilities of investment
such as SIP&STP among investors

 Investors are never going to accept the entry load during .NFO so such type of activity
should be avoided as much as possible

 The company should advertise their tax saving plan more so that they can attract more
customers
Conclusion:

 The mutual fund investors prefer more of the equity as they want more return on their
money. They avoid going in the debt fund because they can get same amount of return
on their banks that is also without taking any risk

 Usually people preferred to invest in mutual fund during NFO rather than seeing the
performance of mutual fund scheme the scheme .sometimes sue to lack of detailed
awareness about mutual fund schemes which can easily be understood by the investors

 Investors fell that the AMC should go for more promotional activities & should try to
come up with new innovative schemes which can easily be understood by the investors
 Even after seeing the market crash in May2006 people still thinks that mutual fund is
much reliable way to invest in stock market .so investors are not going for redemption
during crash &were ready to wait. In fact during the crash time many people were ready
to invest in mutual fund

 People will not accept the entry load if the company would any such type loads during
NFO because during NFO the investors were not sure whether the given scheme can
really give them better return or not
Limitations of study:

 The lack of information for the analysis part

 Though I tried to collect some primary data but they ware too inadequate for the purpose
of the study
 Time ate critical factors limiting the study
 The data provided not the prospects they not be 100% correct as they too have their
limitations
 The study id limited to selected mutual funds schemes

Bibliography:

Website:

 https://en.wikipedia.org/wiki/Mutual_fund

 https://www.amfiindia.com

 http://www.moneycontrol.com

 https://www.dspg.com

 https://en.wikipedia.org/wiki/Birla_Sun_Life_Insurance_Company_Limited