ARYABHATTA INSTITUTE OF MANAGEMENT :

ARYABHATTA INSTITUTE OF MANAGEMENT Presentation of Research

Methodology Topic:-Comparative analysis of mutual fund of HDFC & ICICI Submitted
To:- Submitted By:- Mr. Kamaljeet Singh Parneet Kaur Lech. Of Research Methodology
175 MBA

Concept :

What is mean by mutual fund?

Mutual funds are pools of money that are managed by an investment company. They
offer investors a variety of goals, depending on the fund and its investment charter.

Mutual Fund in India :

Mutual Fund in India The origin of mutual fund industry in India is with the introduction
of the concept of by UTI in the year 1963. Through the growth was slow, but it
accelerated from the year 1987 when non-UTI players entered in industry. The mutual
fund industry goes through four phases:-
First phase 1964-87 (Establishment of UTI).
Second phase 1987-93 (Entry of public sector funds).
Third phase 1993-2003 (Entry of a private sector funds).
Fourth phase since feb.2003 (Bifurcated of UTI).

Profile of HDFC :

Profile of HDFC Housing Development Finance Corporation Limited, more popularly

known as HDFC Bank Ltd, was established in the year 1994. HDFC mutual fund was set
up on June 30, 2000 with two sponsors namely Housing Development Finance
Corporation ltd. and Standard Life Insurance ltd. HDFC mutual fund came into existence
on 10 Dec. 1999 and got approval from the SEBI on 3rd July 2000.

Profile of ICICI :

Profile of ICICI The mutual fund of ICICI is a joint venture with Prudential PLC. Of
America, one of the largest life insurance companies in the USA. Prudential ICICI
mutual fund was set up on 13th of Oct. 1993 with two sponsors. ICICI Bank started as a
wholly owned subsidiary of ICICI Limited, an Indian financial institution, in 1994.
Need of the study :

The need of study arises for learning the variables available that distinguish the mutual
fund of two companies. To know the risk & return associated with mutual fund. To
choose best company for mutual investment between HDFC & ICICI. To project mutual
fund as the ‘productive avenue for investing activities.

Scope of the study :

To make people aware about concept of mutual fund. To provide information regarding
advantages and demerits of mutual fund. To advice where to invest or not to invest. To
provide information regarding types of mutual fund which is beneficial for whom.

Objectives :

To analysis which provides better returns from HDFC &ICICI. To analyze the concept
and parameters of mutual fund. To know how many people are satisfied by their
investment (in HDFC or ICICI). To know people behavior regarding risk factor involved
in mutual fund.

Slide 9:

Research refers to search for knowledge. One can also define research as a scientific and
systematic search for pertinent information on a specific topic. It is an art of scientific
investigation.
Research Methodology:- It is the way to systematically solve a problem. The
methodology adopted in this study is explained below:-

Research Design :

Problem Defining: In a competitive situation with multiple mutual funds operating in

Indian market, it is necessary to know about the performance of different mutual funds as
the performance of mutual fund decides about the future of Mutual Fund Company. In
this study my focus is upon performance of in. Literature vestors regarding HDFC
&ICICI. This is my problem to be studied for research Survey:
Literature survey : I have used newspapers, magazines related to business & finance &
apart from websites.
Type of research: The research is qualitative & descriptive in nature. Qualitative
research is that talk about the quality of the subject to be researched and Descriptive
research is one that describes things as exists in present.
Data collection Design :

Sources of data =
Primary Sources – I have used questionnaire as primary source for collecting data for
my study.
Secondary sources – I had collected my secondary data from websites & journals.
Sampling = It represents whole population. It is the processes of choosing a sample from
whole population .I have choose a sample of high class & middle class people who have
invested in mutual funds as a sample.

Slide 12:

Tools = I have used some charts (Pie chart, column chart, cylinder chart, cone chart)
and hypothesis tests (chi-square one sample T- test etc.)
Sampling Size = It represents that how many candidates you’ve chosen to be filled up
your questionnaire or candidates upon whom you can study. I had chosen sample of 100
candidates.
Sampling Techniques = Deliberate & Convenience Sampling.
Data Interpretation = Data interpretation is that in which we analysis the whole
collected data & tries to give it in simple words to be understandable.

Analysis :

1. Do you invest in mutual fund?

1. yes 2.no

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2. With which company do you have invested in mutual funds?

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3. What is your age? .

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4. What is your income? (Yearly based)

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5. From where you come to know about this company’s mutual fund schemes?
Slide 24:

6. What is the time duration of your investment?

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7. Are you satisfied by service of the company’s employees / people’s behavior?

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8. What is your risk profile?

Slide 30:

9. What you feel about the company norms, documentation & formalities?

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10. What you say which provides better returns?

Slide 34:

11. Would you like to exchange your investment with one another between HDFC &
ICICI?

Findings :

Findings Investors have more faith HDFC’s mutual fund. As the age increases investors
are much satisfied, see more risk & become more risk adverse. Old people &Widows
prefer lower risk. Investors are not highly satisfied by company rules & employee
behavior. Investors think that HDFC provides better returns than ICICI.

Limitations :

Limitations Sample limitation: - which sample is taken by me is very small in size to

Compare mutual fund of two companies. Reliability: - The data collected by me is not
much reliable because many investors chosen by me have invested in HDFC. Parameters:
- All the parameters have not been taken. Time limitation: - I had the shortage of time
because of that I was not able to do my study in a good manner. Awareness: - Investors
chosen for study are not fully aware of all the terms and conditions related to mutual fund
.So, it is very difficult to construct right information from them.
Recommendations / Suggestions: :

Recommendations / Suggestions: ICICI bank should try to provide better returns to its
investors as compare to HDFC. Both companies should try to invest in better securities
for better profits. Both companies should try to satisfy their customer by better customer
service or by improving customer relationship management. Companies should try to
make people initiative towards risk. Investors should be made fully aware of the concept
of mutual fund & all the terms and conditions. Both should more emphasize on
advertising, as it is the most Powerful tool to position an brand in the minds of customers.

Conclusion :

Conclusion To conclude we can say mutual fund is a best investment vehicle for old &
widow, as well as to those who want regular returns on their investment. Mutual fund is
also better and preferable for those who want their capital appreciation. Both the
companies are doing considerable achievements in mutual fund industry. There are also
so many competitors involved those affects on both companies.

Annexure :

Name ________________________ Age _________

Adress_____________________________________
Pin ___________ Sex _________ Phone _________
1. Do you invest in mutual fund?
Yes No .
2. With which company do you have invested in mutual funds?
HDFC ICICI
Reliance LIC
SBI Kotak Mahindra
Others Please specify Please specify
3. What is your age?
15-25
25-35
35-45
above 45 .
4. What is your income? (Yearly based)
1 lakh 2 - 4lakh 4-5 lakh more than 5
5. From where you come to know about this company’s mutual fund schemes?
Family members & relatives
Friends & peers
Company’employes
Others Please specify
 6. What is the time duration of your investment?
0-1 year 1-2 year 2-4year more than 4 .
7. Are you satisfied by service of the company’s employees / people’s behavior?
Highly satisfied
Satisfied
Neutral
Dissatisfied
Highly dissatisfied .

8. What is your risk profile?

Innovator
Moderator
Risk adverse
9. What you feel about the company norms, documentation & formalities?
Highly satisfied
Satisfied
Neutral
Dissatisfied
Highly dissatisfied
10. What you say which provides better returns?
HDFC
ICICI
11. Would you like to exchange your investment with one another between HDFC &
ICICI?
YES NO