A

PROJECT REPORT

ON

“Comparative analysis of mutual fund and other investment product”

For
“N.J. India Invest Pvt ltd”

Submitted to
C K SHAH VIJAPURWALA INSTITUTE OF MANAGEMENT

IN PARTIAL FULFILLMENT OF THE

REQUIREMENT OF THE AWARD FOR THE DEGREE OF
MASTER OF BUSINESS ADMINISTRATION

Under
Gujarat Technological University

UNDER THE GUIDANCE OF

Faculty Guide Company Guide

Mr. GaurangBadheka Mr. Rohit Patel
Assistant professor Unit Manager

Submitted by
(Kaval Devendra Bhatt)
Enrollment No.:137050592034
M.B.A – SEMESTER III

C K Shah Vijapurwala Institute of Management

M.B.A PROGRAMME
Affiliated to Gujarat Technological University
Ahmedabad
July 2014
Company Certificate
Institute Certificate
 PREFACE

With the respect and desire, I have pleasure to submit my report to Gujarat
Technological University.

MBA is a specialized course. The main objective of doing MBA is developing the
Managerial skills, which helps us to become a decent manager in life. In the
Managerial field one cannot create success stories if he is not a good learner. One
needs to be a good learner to sharpen his facts in the specific field to accomplish
and achieve desired goals and heights.

As a part of our MBA curriculum, we are required to undergo summer training to gain
practical on the job experience of the different subjects.

This is a report related to my summer project in NJ India Invest Pvt. Ltd on the topic
“Analysis of Investment Options in NJ India Invest Pvt. Ltd.”.
 ACKNOWLEDGMENT

Through this acknowledgment, I express my sincere gratitude towards all those

people who have helped me in the preparation of this project, which has been a
learning experience.

I take the opportunity, while presenting this project report and to express my deep
gratitude to all those who afford their valuable help and time to help me to complete
the “summer Training” successfully. A number of people provided me their
assistance, encouragement, and enthusiasm. Without them this project report would
not have been possible.

I appreciate the co-operation of Mr. Rohit Patel (Jr. Unit Manger), Mr. Mehul
Trivedi (Branch Manager) and other employees Of Sales department for taking
out precious time from their busy schedule providing me with information which
has helped me to understand the concept of the Marketing department and
helped for my report.

I am immensely thankful to Dr. Rajesh Khajuria (Director, CKSVIM) & my guiding

faculty Mr. Gaurang Badheka and all faculty members for showing me right
directions, guidance & suggestions to complete my project.
 DECLARATION

I, Kaval Devendra Bhatt, hereby declare that the report for “Summer Internship Project”
entitled “Comparative analysis of mutual fund and other investment product” is a result
of my own work and my indebtedness to other work publications, references, if any, have
been duly acknowledged.

Place : Vadodara (K.D.Bhatt)

Date : (Kaval Devendra Bhatt)
 EXECUTIVE SUMMARY

The project titled “Analysis of investment options in NJ India Invest Pvt. Ltd.”. Today
an investor is interested in tracking the value of his investments, whether he invests
directly in the market or indirectly through Mutual Funds. This dynamic change has
taken place because of a number of reasons. With globalization and the growing
competition in the investments opportunity available he would have to make guided
and rational decisions on whether he gets an acceptable return on his investments in
the funds selected by him, or if he needs to switch to another fund. In order to
achieve such an end the investor has to understand the basis of appropriate
preference measurement for the fund, and acquire the basic knowledge of the
different measures of evaluating the performance of the fund. Only then would he be
in a position to judge correctly whether his fund is performing well or not, and make
the right decision. This project is undertaken to help the investors in tracking the
performance of their investments in Mutual Funds and has been carried out with the
objective of giving performance analysis of Mutual Fund. The methodology for
carrying out the project was very simple that is through secondary data obtained
through various mediums like fact sheet of the funds, the Internet, Business
magazines, Newspaper, etc. the analysis of Mutual Funds has been done with
respect to its various parameters. I hope NJ INDIA INVEST PVT. LTD., Udaipur will
recognize this as well as take more references from this project report.
 CONTENT

SR. PARTICULARS PAGE

NO. NOS.
PART – I GENERAL INFORMATION 11
1 1.1 About the Industry 12
Industry Overview 13
History 14
1.2 World Market 16
1.3 Indian Market 18
1.4 Growth of the industry 19
2 2.1 About major Companies in the Industry 20-23
3 3.1 Company Profile
Introduction
24
Lineage
Vision & Mission 25
Management Team 26
Corporate Governance 27
Product Basket
28
Types of mutual fund
29-34
PART – II PRIMARY STUDY 35
4 4.1 Introduction of the Study 36-39
4.2 Background of the Study 40
4.3 Problem Statement
4.4 Importance of the study 41
4.5 Objectives of the Study 41
42
5 Research Methodology 43
5.1 Research Design 44
5.2 Source/s of Data
5.3 Data Collection Method 44
5.4 Population 44
5.5 Sampling Method 45
5.6 Sampling Frame
45
5.7 Date Collection Instrument
5.8 Model Specification / Data Processing 45

6 Data Analysis and Interpretation 46-63

7 Results and Findings 64-65
8 Limitations of the Study 66
9 Conclusion 67
10 Oaps report 68
11 Bibligrophy 69
12 Annexure 70-73
13 Checklist 74
 PART – I

GENERAL INFORMATION
 1.1 ABOUT THE INDUSTRY

INDUSTRY OVERVIEW

MUTUAL FUND

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.

A Mutual Fund is a body corporate registered with the Securities and Exchange
Board of India (SEBI) that pools up the money from individual/corporate investors
and invests the same on behalf of the investors/unit holders, in Equity shares,
Government securities, Bonds, Call Money Markets etc, and distributes the profits. In
the other words, a Mutual Fund allows investors to indirectly take a position in a
basket of assets. Mutual Fund is a mechanism for pooling the resources by issuing
units to the investors and investing funds insecurities in accordance with objectives
as disclosed in offer document. Investments in securities are spread among a wide
cross-section of industries and sectors thus the risk is reduced. Diversification
reduces the risk because all stocks may not move in the same direction in the same
proportion at same time. Investors of mutual funds are known as unit holders.

The investors in proportion to their investments share the profits or losses. 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 Exchange Board of India (SEBI) which regulates securities
markets before it can collect funds from the public.

Characteristics:

 A mutual fund is managed by investment professionals and other service

providers, who earn a fee for their services, from the fund.

 The pool of funds is invested in a portfolio of marketable investments. The

value of the portfolio is updated every day.

 A mutual fund is managed by investment professionals and other service

providers, who earn a fee for their services, from the fund.

 The investor's share in the fund is denominated by 'units'. The value of the
units changes with change in the portfolio's value, every day. The value of one
unit of investment is called the Net Asset Value or NAV.
History of the Indian Mutual Fund Industry

The mutual fund industry in India started in 1963 with the formation of Unit Trust of
India, at the initiative of the Government of India and Reserve Bank of India. The
history of mutual funds in India can be broadly divided into four distinct phases.

 First Phase - 1964-1987

Unit Trust of India (UTI) was established in 1963 by an Act of Parliament. It

was set up by the Reserve Bank of India and functioned under the Regulatory
and administrative control of the Reserve Bank of India. In 1978 UTI was de-
linked from the RBI and the Industrial Development Bank of India (IDBI) took
over the regulatory and administrative control in place of RBI. The first
scheme launched by UTI was Unit Scheme 1964. At the end of 1988 UTI had
Rs. 6,700 crores of assets under management.

 Second Phase - 1987-1993 (Entry of Public Sector Funds)

1987 marked the entry of non-UTI, public sector mutual funds set up by public
sector banks and Life Insurance Corporation of India (LIC) and General
Insurance Corporation of India (GIC). SBI Mutual Fund was the first non-UTI
Mutual Fund established in June 1987 followed by Canbank Mutual Fund
(Dec 87), Punjab National Bank Mutual Fund (Aug 89), Indian Bank Mutual
Fund (Nov 89), Bank of India (Jun 90), Bank of Baroda Mutual Fund (Oct 92).
LIC established its mutual fund in June 1989 while GIC had set up its mutual
fund in December 1990.

At the end of 1993, the mutual fund industry had assets under management of
Rs. 47,004 crores.

 Third Phase - 1993-2003 (Entry of Private Sector Funds)

With the entry of private sector funds in 1993, a new era started in the Indian
mutual fund industry, giving the Indian investors a wider choice of fund
families. Also, 1993 was the year in which the first Mutual Fund Regulations
came into being, under which all mutual funds, except UTI were to be
registered and governed. The erstwhile Kothari Pioneer (now merged with
Franklin Templeton) was the first private sector mutual fund registered in July
1993.

The 1993 SEBI (Mutual Fund) Regulations were substituted by a more

comprehensive and revised Mutual Fund Regulations in 1996. The industry
now functions under the SEBI (Mutual Fund) Regulations 1996.

The number of mutual fund houses went on increasing, with many foreign
mutual funds setting up funds in India and also the industry has witnessed
severalmergers and acquisitions. As at the end of January 2003, there were
33 mutual funds with total assets of Rs. 1,21,805 crores. The Unit Trust of
 India with Rs. 44,541 crores of assets under management was way ahead of
other mutual funds.

 Fourth Phase - since February 2003

In February 2003, following the repeal of the Unit Trust of India Act 1963 UTI
was bifurcated into two separate entities. One is the Specified Undertaking of
the Unit Trust of India with assets under management of Rs. 29,835 crores as
at the end of January 2003, representing broadly, the assets of US 64
scheme, assured return and certain other schemes. The Specified
Undertaking of Unit Trust of India, functioning under an administrator and
under the rules framed by Government of India and does not come under the
purview of the Mutual Fund Regulations.

The second is the UTI Mutual Fund, sponsored by SBI, PNB, BOB and LIC. It
is registered with SEBI and functions under the Mutual Fund Regulations.
With the bifurcation of the erstwhile UTI which had in March 2000 more than
Rs. 76,000 crores of assets under management and with the setting up of a
UTI Mutual Fund, conforming to the SEBI Mutual Fund Regulations, and with
recent mergers taking place among different private sector funds, the mutual
fund industry has entered its current phase of consolidation and growth.
 1.2 WORLD MARKET
World Market of Mutual Fund

A mutual fund is a type of professionally-managed collective investment scheme

that pools money from many investors to purchase securities. While there is no legal
definition of mutual fund, the term is most commonly applied only to those collective
investment schemes that are regulated, available to the general public and open-
ended in nature.

The term mutual fund is less widely used outside of the United States. For collective
investment schemes outside of the United States, see articles on specific types of
funds including open-ended investment companies, unitized insurance funds, unit
trusts and Undertakings for Collective Investment in Transferable Securities. In the
United States, mutual funds must be registered with the Securities and Exchange
Commission, overseen by a board of directors or board of trustees and managed by
a registered investment advisor. They are not taxed on their income if they comply
with certain requirements. Mutual funds have both advantages and disadvantages
compared to direct investing in individual securities. They have a long history in the
United States. Today they play an important role in household finances. There are 3
types of U.S. mutual funds: open-end, unit investment trust, and closed-end. The
most common type, the open-end mutual fund, must be willing to buy back its shares
from its investors at the end of every business day. Exchange-traded funds are
open-end funds or unit investment trusts that trade on an exchange. Open-end funds
are most common, but exchange-traded funds have been gaining in popularity.

Mutual funds are classified by their principal investments. The four largest categories
of funds are money market funds, bond or fixed income funds, stock or equity funds
and hybrid funds. Funds may also be categorized as index or actively-managed.

Investors in a mutual fund pay the fund’s expenses. There is controversy about the
level of these expenses. A single mutual fund may give investors a choice of
different combinations of expenses by offering several different types of share
classes.

In the United States, a mutual fund is registered with the Securities and Exchange
Commission (SEC) and is overseen by a board of directors (if organized as a
corporation) or board of trustees (if organized as a trust). The board is charged with
ensuring that the fund is managed in the best interests of the fund's investors and
with hiring the fund manager and other service providers to the fund.

The fund manager, also known as the fund sponsor or fund management company,
trades (buys and sells) the fund's investments in accordance with the fund's
investment objective. A fund manager must be a registered investment advisor.
Funds that are managed by the same fund manager and that have the same brand
name are known as a "fund family" or "fund complex". Mutual funds are not taxed on
their income as long as they comply with requirements established in the Internal
Revenue Code. Specifically, they must diversify their investments, limit ownership of
voting securities, distribute most of their income to their investors annually, and earn
most of the income by investing in securities and currencies. Mutual funds pass
taxable income on to their investors annually. The type of income they earn is
unchanged as it passes through to the shareholders. For example, mutual fund
distributions of dividend income are reported as dividend income by the investor.
There is an exception: net losses incurred by a mutual fund are not distributed or
passed through to fund investors.

Mutual funds may invest in many kinds of securities. The types of securities that a
particular fund may invest in are set forth in the fund's prospectus, which describes
the fund's investment objective, investment approach and permitted investments.

Advantages and Disadvantages

Mutual funds have advantages compared to direct investing in individual securities.

These include:
 Increased diversification
 Daily liquidity
 Professional investment management
 Ability to participate in investments that may be available only to larger
investors
 Service and convenience
 Government oversight
 Ease of comparison

Mutual funds have disadvantages as well, which include:

 Fees
 Less control over timing of recognition of gains
 Less predictable income
 No opportunity to customize
 1.3 INDIAN MARKET

Indian Market of Mutual Fund Industry

The first introduction of a mutual fund in India occurred in 1963, when the
Government of India launched Unit Trust of India (UTI). Until 1987, UTI enjoyed a
monopoly in the Indian mutual fund market. Then a host of other government-
controlled Indian financial companies came up with their own funds. These included
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.
Despite being available in the market for over two decades now with assets under
management equaling Rs 7,81,71,152 Laths (as of 28 February 2010) (Source:
Association of Mutual Funds, India), 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. This report is based on a
survey of approximately 10,000 respondents in 15 Indian cities and towns as of
March 2010. There are 43 Mutual Funds recently.
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 how or where to invest in such assets.
On the other hand, among those who invested, close to nine out of ten respondents
did so because they felt these assets were more professionally managed than other
asset classes. Exhibit 2 lists some of the influencing factors for investing in mutual
funds.
 1.4 GROWTH OF INDUSTRY

Growth of mutual fund business in India in the four decades from 1964, when UTI was set upis given
in the table below:

Period(Year) Aggregate investment Period(Year) Aggregate investment

in Crores of Rupees in Crores of Rupees
1964-69 65 1992-93 46988.02
1969-74 172 1993-94 61301.21
1974-79 402 1994-95 75050.21
1979-84 1261 1995-96 81026.52
1986-87 4563.68 1996-97 80539.00
1987-88 6738.81 1997-98 68984.00
1988-89 13455.65 1998-99 63472.00
1989-90 19110.92 1999-00 107966.10
1990-91 23060.45 2000-01 94587.00
1991-92 37480.20 2001-02 94571.00

NOTE: Industry AUM tripled from 1.50 lac crore 2003 to 4.50 lac crore in Nov. 08.
 2.1 MAJOR COMPANIES IN THE INDUSTRY

Major Mutual Fund Companies in India

 Birla Sun Life Mutual Fund :-

Birla Sun Life Mutual Fund is the joint venture of Aditya Birla group and Sun Life Financial.
Sun Life Financial is a global organization evolved in 1871 and is being represented in
Canada, USA, the Philippines, Japan, Indonesia and Bermuda apart from India. Birla Sun
Life Mutual Fund follows a conservative long-term approach to investment. Recently it
crossed AUM of Rs. 62,367crores.

 BOB Mutual Fund :-

Bank of Baroda Mutual Fund or BOB Mutual Fund was setup on October 30, 1992 under
the sponsorship of Bank of Baroda. BOB Asset Management Company Limited is the AMC
of BOB Mutual Fund and was incorporated on November 5, 1992. Deutsche Bank AG is the
custodian.

 HDFC Mutual Fund:-

HDFC Mutual Fund was setup on June 30, 2000 with two sponsorers namely Housing
Development Finance Corporation Limited and Standard Life Investments Limited.

 HSBC Mutual Fund:-

HSBC Mutual Fund was setup on May 27, 2002 with HSBC Securities and Capital Markets
(India) Private Limited as the sponsor. Board of Trustees, HSBC Mutual Fund acts as the
trustee Company of HSBC Mutual Fund.

 ING Vysya Mutual Fund:-

ING Vysya Mutual Fund was setup on February 11, 1999 with the same named Trustee
Company. It is a joint venture of Vysya and ING. The AMC, ING Investment Management
(India) Pct. Ltd. was incorporated on April 6, 1998
  ICICI Prudential Mutual Fund:-

The mutual fund of ICICI is a joint venture with Prudential Plc. of America, one of the largest life
insurance companies in the US of A. Prudential ICICI Mutual Fund was setup on 13th of October,
1993 with two sponsorers, Prudential Plc. and ICICI Ltd. The Trustee Company formed is Prudential
ICICI Trust Ltd. and the AMC is Prudential ICICI Asset Management Company Limited incorporated
on 22nd of June, 1993.

 Sahara Mutual Fund:-

Sahara Mutual Fund was setup on July 18, 1996 with Sahara India Financial Corporation
Ltd. as the sponsor. Sahara Asset Management Company Private Limited incorporated on
August 31, 1995 works as the AMC of Sahara Mutual Fund. The paid-up capital of the AMC
stands at Rs. 25.8 crores.

 SBI Mutual fund:-

State Bank of India Mutual Fund is the first Bank sponsored Mutual Fund to launch off fund,
the India Magnum Fund with a corpus of Rs. 225 cr. approximately. Today it is the largest
Bank sponsored Mutual Fund in India. They have already launched 35 Schemes out of
which15 have already yielded handsome returns to investors. State Bank of India Mutual
Fund has more than Rs. 37417 Crores as AUM. Now it has an investor base of over 8 Lac
spread over 18 schemes.

 Tata Mutual Fund:-

Tata Mutual Fund (TMF) is a Trust under the Indian Trust Act, 1882. The sponsors for Tata
Mutual Fund are Tata Sons Ltd. and Tata Investment Corporation Ltd. The investment
manager is Tata Asset Management Limited and its Tata Trustee Company Pvt. Limited.
Tata Asset Management Limited's is one of the fastest in the country with more than
Rs.21,935 crores (as on April 30, 20) of AUM.

 Kotak Mahindra Mutual fund:-

Kotak Mahindra Asset Management Company (KMAMC) is a subsidiary of KMBL. It is

presently having more than 1,99m,818 investors in its various schemes. KMAMC started its
operations in December 1998. Kotak Mahindra Mutual Fund offers schemes catering to
investors with varying risk - return profiles. It was the first company to launch dedicated gilt
Scheme investing only in government securities.

 UTI Mutual Fund:-

 UTI Asset Management Company Private Limited, established in Jan 14, 2003, manages
the UTI Mutual Fund with the support of UTI Trustee Company Private Limited. UTI Asset
Management Company presently manages a corpus of over Rs.20000 Crore. The
sponsorers of UTI Mutual Fund are Bank of Baroda (BOB), Punjab National Bank (PNB),
State Bank of India (SBI), and Life Insurance Corporation of India (LIC). The schemes of UTI
Mutual Fund are Liquid Funds, Income Funds, Asset Management Funds, Index Funds,
Equity Funds and Balance funds.

 Reliance Mutual Fund:-

Reliance Mutual Fund (RMF) was established as trust under Indian Trusts Act, 1882. The
sponsor of RMF is Reliance Capital Limited and Reliance Capital Trustee Co. Limited is the
Trustee. It was registered on June 30, 1995 as Reliance Capital Mutual Fund which was
changed on March 11, 2004. Reliance Mutual Fund was formed for launching of various
schemes under which units are issued to the Public with a view to contribute to the capital
market and to provide investors the opportunities to make investments in diversified
securities.

 Franklin Templeton India Mutual Funds:-

The group, Frnaklin Templeton Investments is a California (USA) based company with a
global AUM of 34003 crores (as of June 30). It is one of the largest financial services
groupsin the world. Investors can buy or sell the Mutual Fund through their financial advisor
or through mail or through their website. They have Open end Diversified Equity schemes,
Open end Sector Equity schemes, Open end Hybrid schemes, Open end Tax Saving
schemes, Open end Income and Liquid schemes, closed end Income schemes and Open
end fund of funds schemes to offer.

 Morgan Stanley mutual : -

Morgan Stanley is a worldwide financial services company and its leading in the market
insecurities, investment management and credit services. Morgan Stanley Investment
Management (MISM) was established in the year 1975. It provides customized asset
management services and products to governments, corporations, pension funds and non-
profit organizations. Its services are also extended to high net worth individuals and retail
investors. In India it is known as Morgan Stanley Investment Management Private Limited
(MSIM India) and its AMC is Morgan Stanley Mutual Fund (MSMF). This is the first close
end diversified equity scheme serving the needs of Indian retail investors focusing on a long-
term capital appreciation
 Escorts mutual Fund:-

Escorts Mutual Fund was setup on April 15, 1996 with Excorts Finance Limited as its
sponsor. The Trustee Company is Escorts Investment Trust Limited. Its AMC was
incorporated on December 1, 1995 with the name Escorts Asset Management Limited.
 Benchmark Mutual Funds:-

Benchmark Mutual Fund was setup on June 12, 2001 with Niche Financial Services Pvt.
Ltd. as the sponsorer and Benchmark Trustee Company Pvt. Ltd. as the Trustee Company.
Incorporated on October 16, 2000 and headquartered in Mumbai, Benchmark Asset
Management company Pvt. Ltd. is the AMC.

 Canara Robeco Mutual Funds:-

Canbank Mutual Fund was setup on December 19, 1987 with Canara Bank acting as the
sponsor. Canbank Investment Management Services Ltd. incorporated on March 2, 1993 is
the AMC. The corporate office of the AMC is in Mumbai.

 LIC Mutual Funds:-

Life Insurance Corporation of India set up LIC Mutual Fund on 19th June 1989. It contributed
Rs. 2 Crores towards the corpus of the Fund. LIC Mutual Fund was constituted as a Trust in
accordance with the provisions of the Indian Trust Act, 1882. . The Company started its
business on 29th April 1994. The Trustees of LIC Mutual Fund have appointed Jeevan Bima
Sahayog Asset Management Company Ltd as the Investment Managers for LIC Mutual
Fund.
 3.1 COMPANY PROFILE

Introduction

NJ Wealth – Financial Products Distributers Network, One Of India’s leading and

most successful network of distributors in the financial services industry.
Started in 2003, NJ Wealth seeks to reach out to the common man and extend the
opportunity to create wealth through an empowered network of financial products
distributors – the NJ Wealth Partners. To its Partners, NJ Wealth provides a full
service, comprehensive business platform with end-to-end solutions critical for
success in financial products distribution practice. With its compelling set of offerings
covering every area of distribution practice, NJ Wealth has managed to successfully
transform the lives of many small and big distributors.

To the common man, NJ Wealth offers a comprehensive wealth management

platform with a wide choice of financial and non-financial products. Backed by high
levels of excellence in operational and service standards, NJ Wealth offers
customers of its Partners, with solutions that truly make a difference.
Driven by the strong vision of 'Creating Wealth and Transforming Lives', NJ Wealth's
constant endeavor is to build on the ideas that are meaningful & effective in scaling
business challenges, seizing available opportunities and serving the interests of the
customer.
The NJ Wealth family has grown steadily and today it has over 19,000 NJ Wealth
Partners, spread across 97 branches in 21 states in India with over 19 lac +
investors, and over INR 13,500crores of mutual fund assets under advice.
Irrespective of the numbers though, it is trust in us which fuels the passion for
creating solutions with excellence that touch many lives, day after day.
Lineage
NJ Wealth – Financial Products Distributors Network has a strong lineage as a part
of NJ Group. NJ India Invest Pvt. Ltd. is today the flagship company of NJ Group, the
journey of which began in 1994. The idea then was to cater to the growing needs of
customers in an evolving financial services industry. Today, with nearly two decades
of untiring efforts, NJ has not only managed to build a strong business, but has also
earned the trust and respect of various stakeholders in the industry. The financial
products distribution business of NJ Wealth Network, formerly known as NJ Fundz
Network, lies at the heart of NJ Group.
Over the last few years, NJ Group has expanded into other businesses, and today it
also has presence in businesses of asset management, real estate, insurance
broking, training & development and technology. NJ Wealth leverages from
opportunities and services offered by the group's other businesses to seamlessly
add more value to its customers. NJ Wealth also draws great inspiration from the
vision of NJ Group, which is to be leaders in all its businesses driven by customer
satisfaction, commitment to excellence and passion for continued value creation for
all stakeholders.

VISION & MISSION OF NJ India invest:

Vision:
To be the leader in our field of business through,

 Total Customer Satisfaction

 Commitment to Excellence
 Determination to Succeed with strict adherence to compliance
 Successful Wealth Creation of our Customers

Mission:
Ensure creation of the desired value for our customers, employees and associates, through
constant improvement, innovation and commitment to service & quality. To provide solutions
which meet expectations and maintain high professional & ethical standards along with the
adherence to the service commitments.

Management Team
Mr. Neeraj Choksi & Mr. Jignesh Desai (R) (Promoters) are the two first
generation entrepreneurs who began the journey of NJ in 1994. The promoters of NJ
Group were friends since their college years and the bond between Mr. Neeraj
Choksi& Mr. Jignesh Desai has been instrumental in the success of NJ.
Driven by their passion for financial well-being of customers & the mission for
transforming lives, the promoters started NJ Wealth, previously known as - NJ Fundz
Network, in the year 2003. With their strong vision and guidance, NJ Wealth
Financial Products Distributors Network is on the forefront of innovation & growth.
Both believe that the trust of their distributors and investors has played a very
important role in NJ's journey. The desire is to help the masses access the best of
the financial products & services and thereby positively transform their lives. This is
also the responsibility and the vision that the entire team at NJ believes in.
Leadership Team
The senior leadership team at NJ brings together a team of people with wide
experience and knowledge in the financial services domain. The key senior
members of NJ are:
Sales Team:

Mr. Misbah Baxamusa

Misbah Baxamusa is the National Sales Head for NJ Wealth Distributor Network. One of
the oldest in team NJ, he has over 16 years of rich experience in the financial services
industry. An MBA by education, Misbah is known for his deep understanding of the
distribution practices and its challenges.

Mr. Manish Gadhvi

Manish Gadhvi, is the Zonal Sales Head for Mumbai, Andra Pradesh and Tamil Nadu.
With over 10 years of experience in the financial services industry, Manish has a result
oriented focussed approach on the distribution business.

Mr. Prashant Kakkad

Prashant Kakkad, is the Zonal Sales Head for North India, North Gujarat & Saurashtra and
is based in Rajkot. One of the earliest in team NJ, he has a rich experience of over 13
years in the financial services industry. Parshant has hands on approach to business and
is someone who knows the pulse of the markets.

Mr. Safaraz Patel

Sarfaraz Patel is the Zonal Sales Head for South Gujarat, MP and Maharashtra (ex.
Mumbai). With over 9 years of experience in the financial services industry, Sarfaraz is
aggressive in getting things done on ground.

Mr. Tushar Bhajantri

Tushar Bhajantri is the Zonal Sales Head for South India and is based in Bangalore.
With a rich experience of over 11 years in the financial services industry, Tushar has a
methodological approach to the distribution business.

Mr. Vinay Baraiya

Vinay is responsible for business in large part of Gujarat. With over 12 years of
experience in the financial services industry, Vinay is known for his strong relationship
management skills.

Product Team

Mr. Husaini Kanchwala

Husaini Kanchwala is the Product Head for Investments, having been a part of sales
earlier. With an experience over 8 years in the financial services industry, Husaini is
responsible for investment product promotions and tie-ups with manufacturers.

Mr. Jignesh Desai

Jignesh Desai is the Product Head for Real Estate having joined NJ 6 years back after
being an entrepreneur in the realty industry. With an experience of over 15 years, Jignesh
is the person with sound grip on the realty market.

Corporate Governance
NJ believes that trust is key for sustainability of any business. As a part of the NJ Group,
NJ Wealth has a very strong philosophy of corporate and self governance. They believe
that they have great duty towards to all their stakeholders – employees, customers and
vendors to business partners, authorities, and the community at large. NJ Wealth is
committed to ensure that the interests of all stakeholders are best served with true spirit
of prudent, rationale and ethical business practices.
As a part of NJ Group, NJ Wealth has strong policy, process, systems oriented culture
and practices, which collectively cover various aspects of governance. NJ Wealth is also
committed to follow appropriate due diligence, compliance and risk management
practices in all its activities. It is committed to provide its customers with the highest
feasible quality of services. The customers are requested to raise any complaint or
grievance through the right channels communicated for quick resolution.
 PRODUCT BASKET

The following is broadly the product basket available to NJ Wealth Partner on

eligibility / registration basis. The NJ Wealth Distributors can engage in active
distribution of the following products to their clientele through NJ.
1. Mutual Funds
NJ has tie-ups with all Asset Management Companies (AMCs) and all mutual
funds schemes are part of the product basket. Eligible Partners can offer any
mutual fund scheme to their client from day one of their association with NJ.
The customers have a single window access to any mutual fund product /
scheme they would like to access.
2. Capital Market – Direct Equity & ETFs
NJ is a SEBI registered member for NSE & BSE and capital markets. Clients
of NJ Demat & Trading Account service have access to capital market
products of direct equity stocks and Exchange Traded Funds (ETFs). One can
undertake transaction online or through Call & Transact facility.
3. Fixed Income
NJ has also entered into tie-ups with leading companies / institutions for
distribution of fixed income products, namely Non-Convertible Debentures,
Infrastructure / RBI Bonds, Company Deposits, etc. The availability of fixed
income products in addition to mutual funds makes the product basket even
more attractive.
4. Portfolio Management Services (PMS)
NJ has its own PMS offerings with NJ Advisory Services Pvt. Ltd., a group
company, being a PMS Service provider. The existing strategies have mutual
funds as the underlying, one of very few in the industry. In addition to this,
PMS products by other leading PMS Service providers also regularly form a
part of the product basket with Partners. Clients can subscribe to the PMS
products of NJ / other providers through their Partners. Access to NJ PMS
products is exclusively available for NJ Partners only.
5. Real Estate
In addition to the investment products, NJ Partners and clients also have
access to the real estate properties across India. NJ regularly enters into tie-
ups with leading developers in India for distribution of their products. In
addition to this, exclusive projects handled by NJ Realty are available to
clients only through eligible NJ Partners. The exclusive projects are those
where NJ Realty is actively engaged in project management, execution and/or
distribution.
 TYPES OF MUTUAL FUND :-
 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.

 Close-ended fund/scheme :-

A close-ended fund or scheme has a stipulated maturity period eg five and

seven years. The fund is open for subscription only during a specified period
at the time of launch of the scheme. Investors can invest in the scheme at
the time of the initial public issue and thereafter they can buy or sell the units
of the scheme on the stock exchanges where the units are listed. In order to
provide an exit route to the investors, some close-ended funds give an
option of selling back the units to the mutual fund through periodic
repurchase at NAV related prices. SEBI Regulations stipulate that at least
one of the two exit routes is provided to the investor ie either repurchase
facility or through listing on stock exchanges. These mutual funds schemes
disclose NAV generally on weekly basis.

 Categorization by 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 close-ended schemes as described earlier. Such schemes
may be classified mainly as follows:
1) Growth/Equity oriented schemes :-

The aim of growth funds is to provide capital appreciation over the medium to
long- term. Such schemes normally invest a major part of their corpus in
equities. Such funds have comparatively high risks. Theseschemes provide
different options to the investors like dividend option, capital appreciation, etc
and the investors may choose an option depending on theirpreferences. The
investors must indicate the option in the application form. The mutual funds
also allow the investors to change the options at a later date. Growth
schemes are good for investors having a long-term outlook seeking
appreciation over a period of time.

2) Diversified Equity Fund : -

Diversified equity funds are the most popular amonginvestors. They invest in many stocks
across many sectors, and because they havethe freedom to chop and churn their portfolios
as they like, diversified equity funds area good proxy to the stock market. If a general
exposure to equities is what you want,they are a good option. They can invest in all listed
stocks, and even in unlistedstocks. They can invest in which ever sector they like, in what
ever ratio they like.

3) Equity :-
Linked Savings Schemes (ELSS): Equity ± linked savings schemes (ELSS)are diversified
equity funds that additionally offer income tax benefits to individuals.ELSS is one of the many
section 80c instruments, along with the more popular debtoptions like the PPF, NSC and
infrastructure bonds. In this Section 80c grouping.ELSS is unique. Being the only instrument
to offer a total equity exposure

4) Index Fund: -
An index fund is a diversified equity fund; with a difference- a fundmanager has absolutely no
say in stock selection. At all times, the portfolio of an indexfund mirrors an index, both in its
choice of stocks and their percentage holding. As of March 2004, equity index funds tracked
either the Sensex or the Nifty. So, an indexfund that mirrors the Sensex will invest only in the
30 Sensex stocks, which too in thesame proportion as their weight age in the index.

5) Sector Fund:-
Sector funds invest in stocks from only one sector, or a handful of sectors. The objective is to
capitalize on the story in the sectors, and offer investors awindow to profit from such
opportunities. It is a very narrow focus, because of whichsector funds are considered the
riskiest among all equity funds.

6) Mid - Cap Fund:-

 These are diversified funds that target companies on the fast ±growth trajectory. In the long
run, share prices are driven by growth in a company’s turnover and profits. Market players
refer to them as µmid-sized companies and µmid-cap stocks with size in this context being
benchmarked to a company’s market value.So, while a typical large cap stock would have a
market capitalization of over Rs 1,000crores, a mid-cap stock would have a mark

Mutual Fund Equity schemes have delivered very attractive returns in last 5 years, giving
over 51% returns annually

 DEBT FUNDS :-

These Funds invest a major portion of their corpus in debt papers. Government authorities,
private companies, banks and financial institutions are some of the major issuers of debt
papers. By investing in debt instruments, these funds ensure low risk and provide stable
income to the investors.

 Debt funds are further classified as

1.) Gilt Funds: -

Invest their corpus in securities issued by Government, popularly known as go I debt papers.
These Funds carry zero Default risk but are associated with InterestRate risk. These
schemes are safer as they invest in papers backed by Government.

2.) Income Funds: -

Income funds aim to maximize debt returns for the medium to longer term. Invest a major
portion into various debt instruments such as bonds, corporatedebentures and Government
securities.

3.) MIPs: -

Invests around 80% of their total corpus in debt instruments while the rest of theportion is
invested in equities. It gets benefit of both equity and debt market. Thesescheme ranks
slightly high on the risk-return matrix when compared with other debtschemes .

4.) Short Term Plans(STPs): -

 Meant for investors with an investment horizon of 3-6months. These funds primarily invest in
short termpapers like Certificate of Deposits.(CDs) and Commercial Papers (CPs). Some
portion of the corpus is also invested incorporate debentures

5.) Liquid Funds :-

Also known as Money Market Schemes, These funds are meant toprovide easy liquidity and
preservation of capital. These schemes invest in shortterminstruments like Treasury Bills,
inter-bank call money market etc. These funds aremeant for short-term cash management
of corporate houses and are meant for aninvestment horizon of 1day to 3 months. These
schemes rank low on risk-return.

Matrix and are considered to be the safest amongst all categories of mutual funds.

7. ) Floating Rate Funds: -

These income funds are more insulated from interest rate thantheir conventional peers. In
other words, interest rate changes, which cause the NAVof a conventional debt fund to go
up or down, have little, or no, impact on NAVs of floating rate funds.

 HYBRID FUNDS :-

 BALANCED FUNDS:-

These funds, as the name suggests, are a mix of both equityand debt funds. 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 theproportion indicated in their offer documents.
These are appropriate for investorslooking for moderate growth. They generally invest 40-
60% in equity and debtinstruments. These funds are also affected because of fluctuations in
shares prices inthe stock markets. However, NAVs of such funds are likely to be less
volatilecompared to pure equity funds. Following are balanced funds classes:-a. Debt-
oriented funds -Investment below 65% in equities.b. Equity-oriented funds -Invest at least
65% in equities, remainingin debt.

Growth and Income Fund:-

Funds that combine features of growth funds andincome funds are known as Growth-and-
Income Funds. These funds invest incompanies having potential for capital appreciation and
those known for issuinghigh dividends. The level of risks involved in these funds is lower than
growthfunds and higher than income funds.

 Asset Allocation Fund:-

 Mutual funds may invest in financial assets like equity,debt, money market or non-financial
(physical) assets like real estate, commoditiesetc.. Asset allocation funds adopt a variable
asset allocation strategy that allows fundmanagers to switch over from one asset class to
another at any time depending upon their

 Outlook for specific markets. In other words, fund managers may switch over to equityif they
expect equity market to provide good returns and switch over to debt if theyexpect debt
market to provide better returns.

.
 PART – II

PRIMARY STUDY
 4.1 INTRODUCTION OF THE STUDY

WHY COMAPARATIVE ANALYSIS OF MUTUAL FUNDS?

All over the world, mutual fund is one of the most popular instruments for investment. Its
popularity with consumer has dramatically increased over the last couple of years world wide
mutual fund has a long and successful history. The mutual fund industry in India is regulated
by Association of Mutual Funds in India (AMFI). The mutual fund industry in India is of
493,287 crores approx.
In twenty years of operation, the fund has launched 38 schemes and successfully redeemed
fifteen of them. In the process it has rewarded its investors handsomely with consistently high
returns. A total of over 4.6 million investors have reposed their faith in the wealth generation
expertise of the Mutual Fund.
Today, the fund manages over Rs. 28500 crores of assets and has a diverse profile of
investors actively parking their investments across 36 active schemes.

INTRODUCTION OF MUTUAL FUNDS

Mutual fund is a buzz in the market these days. The mutual fund industry is burgeoning, it is
completely untapped market. Only 5% of total potential of this industry has been grabbed.
Hence this industry has a lot of opportunities in it. That’s why it is so much interactive.
As Indian economy is growing at the rate of 8% per annum, we can see its effect in all areas.
The Indian stock market and companies have become lucrative for foreign investors. More
and more fund is pouring in our country. This is increasing liquidity in the market and hence
increasing the money in the hands of people and thus investment. As the future prospects for
Indian companies are bright, they have lots of opportunities to expand their business
worldwide, the investment in Indian companies. 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 invested by the fund manager in different types of securities depending upon
the objective of the scheme.
A mutual fund is the ideal investment vehicle for today’s complex and modern financial
scenario. Markets for equity shares, bonds and other fixed income instruments, real estate,
derivatives and other assets have become mature and information driven.

The mutual fund in its present form is a 20th century phenomenon. In fact, mutual funds
gained popularity only after the Second World War. Globally, there are thousands of firms
offering tens of thousands of mutual funds with different investment objectives. Today,
mutual funds collectively manage almost as much as or more money as compared to banks.

In India, as in most countries, these sponsors need approval from a regulator, SEBI
(Securities exchange Board of India) in our case. SEBI looks at track records of the sponsor
and its financial strength in granting approval to the fund for commencing operations.

In the Indian context, the sponsors promote the Asset Management Company also, in which it
holds a majority stake. In many cases a sponsor can hold a 100% stake in the Asset
Management Company (AMC). E.g. Birla Global Finance is the sponsor of the Birla Sun
Life Asset Management Company Ltd., which has floated different mutual funds schemes
and also acts as an asset manager for the funds collected under the schemes.
 COMPARISION OF BANK F.D VERSES MUTUAL FUND

Bank fixed deposit are similar to company fixed deposits.the major differences in that banks
are generally more stringenetly regulated than companies.They even operate under stricter
requirements regarding statury Liquidity ratio(SLR) and cash reserav ratio(CSR).

While the are above causes for comfort , bank deposit too are subject to default risk .However
the given political and economc impact of bank defaults , the government as well as
RESERVE BANK OF INDIA(RBI) try to ensure that banks do not fail.

Further, bank deposits upto rs 1,00,000 are protected by the deposit insurance credit gurantee
corporation(DICGC) so long as a bank has paid the required insurance premium of 5 paisa
per annum for every rs 100 deposites.the monetary selling of rs 1,00,000 its all for deposites
in all the branches of the bank held by the depositer in the same capacity and right.

BANKS F.D MUTUAL FUNDS

Returns Low Better
Administrative exp High Low
Risk Low Moderate
Investment option Less More
Network High peneration Low but improving
Quality of assets Not transparent Transparent
Intreset caluation Quartely Every month

i.e, 3,6,9 & 12

Account Needed Not needed

Liquidity At a cost Better

TABLE NO 1
 COMPARISION OF INSURANCE VERSES MUTUAL FUND

Insurance is a hedage against risk – and to really investment option.so it would wrong to
compare insurance aganiest any other finiencial product.

Occasionally on account of market inefficiencies or mis-pricing of products in india and there

insurance have products have offered return that is higher then comparable “safe” fixed
return security thus you are effectively paid for getting insurance.such oppournities are not
sustanible in the long run.
 4.2 BACKGROUND OF THE STUDY

NJ INDIA INVEST PVT LTD had given me to do a market research on “COMPARATIVE

ANALYSIS OF MUTUAL FUND AS A INVESTMENT”.

I was being allotted 6 weeks to conduct the market research where in our sample size given
NJ INDIA INVEST PVT LTD was 100 respondents

In our research I had to visit 100 respondents.

MUTUAL FUND segment is the one of investment option where one can systematically is
small amount of sip money every month for long period of time.

The best time to get invested into the mutual fund market is for long term .The investor can
mutual funds , but getting invested for more years for long term would fetch huge amount
to investors.
 4.3 PROBLEM STATEMENT

“To study comparative analysis of mutual fund and other investment

product”

4.4 IMPORTANCE OF THE STUDY

The main aim of making money is to enjoy future uncertainties. Thus, MUTUAL FUND
segment will help the investors to enjoy life.

To plan retirement and the education of children MUTUAL FUND INVESTMENT will play vital
role.

The study will help the in right mind-sets of the investors and can protect their money from loss.

Dedication towards work and strategies can be developed by studying this project.

MUTUAL FUND being an investment tool will serve all the purpose of wealth management and
make the portfolio strong. Education is prerequisite for wealth. It will build smartness,
knowledge and experience of the avenues which one choose investing the money.
 4.5 OBJECTIVE OF THE STUDY
There are different objectives of the study which are as under:

1) To know the awareness of mutual fund among people.

2) To see the intrest of people investing in mutual fund.

3) To know the investment behaviour of investors in mutual funds according to

different age groups.

4) To ascertain the percentage of income the investor invest in mutual funds.

5) To know the different attitudes of people regarding risk, rate of return , time of
period of investment.

6) To know the investor preferred financial product for investment.

5 RESEARCH METHODLOGY
5.1 Research Design

The Research design used in this study is Descriptive Design.

5.2 Source of Data

Primary Data are collected by using the survey method of data collection.

Secondary Data are collected from internet, magazines, reports, articles and
journals.

5.3 Data Collection Method

The Survey method is used for the data collection. The data which is collected directly from
respondent to the best of my knowledge and belief of such research is Primary data. My
analysis is mainly based on the responses of the respondents

5.4 Population
The population of this study is all respondents of the Vadodara Study

5.5 Sampling Design

The Sample Design is a definite plan for obtaining a sample from a given population. It is
very true that its difficult to do the research with the whole universe. So far as my research
is concerned, I have taken sample size of 100 respondents and I have adopted the technique
of Convenience.
5.6 Mode of Contact

The mode of contact is done personally & telephonic.

5.7 Sampling Unit

Individual .

5.8 Sample Size

100 Respondants.

5.9 Area
The Research is been done within the Vadodara City .

5.10 Data collection of instrument

Structured questionnaire.

5.11 Model Specification / Data Processing

Microsoft excel

5.12 Sampaling Frame

The sampling frame consists of the partners of the NJ India Invest Private Limited.

5.13 SAMPLING METHOD :-

The sampling method used for used is stratified random sampling method.
6 DATA ANALYSIS AND INTERPRETATION
 DEMOGRAPHIC DETAILS

GENDER
[ ] Male [ ] Female

GENDER
90 84
80
70
60
50
40
GENDER
30
20 16
10
0
Male Female

GRAPH A 1

Here is the graph of the 100 respondents among them 84 were male and 16 female
who had filled up the questionnaire.
 Age

[ ] 18-25 [ ] 26-35
[ ] 36-45 [ ] 46-55
[ ] Above 55

Age
50 46
45
40
35
30
25 20 20
20 Age
15
10 8
6
5
0
18-25 26-35 36-45 46-55 Above 55

GRAPH NO B 1

From the above graph we can say that :

There are 6 respondent who are in the age 18-25,

20 respondents in the age between 26-35,

46 respondents in the age between 36-45,

20 respondent in the age between 46-55,

8 responent who are more than 55 years.

Occupation :
[ ] Service [ ] Student

[ ] Business [ ] Professional

Occupation
90 82
80
70
60
50
40 Occupation
30
20 14
10 2 2
0
Service Student Business Professional

GRAPH C 1

Here most of the respondents are 82 service people and 2 of them student, while 14 business
owner respondents and 2 respondent professional. also start investing in Mutual fund market
and as an when the students gets knowledge market, they should start investing in the market
so that high return can be obtained in the long run.
1) Do you have any investment?

A) Yes B ) No

No. of respondents
120
100
100

80

60
no of respondents
40

20
0
0
yes no

GRAPH NO 1.1

From the above graph we can say that all the 100 respondents have investment.
2 ) Do you prefer mutual fund as a investment ?

[ ] Least Preferred [ ] Natural

[ ] Not preferred [ ] Preferred
[ ] Most preferred

No. of respondents
90 85
80
70
60
50
40
30 No of respondents
20 10
10 1 4
0
0
Least Not Neatural Preferred Most
preferred preferred preferred

GRAPH 2.2

From the above graph we can depict that 1 respondents are Least Preferred and
other 0 also not preferred whereas 85 respondents are Preferred Mutual Fund as
investment option.
3 ) Do you prefer Fixed Deposit as a investment ?

[ ] Least Preferred [ ] Neutral

[ ] Not preferred [ ] Preferred
[ ] Most preferred

No. of respondent
45 40
40 38
35
30
25 20
20
15 No of respondent
10
5 2
0
0
Least Not Neatural Preferred Most
Preferred preferred Preferred

GRAPH 3.3

From the above graph we can depict that 2 respondents are Least Preferred and
other 0 also not preferred whereas 40 respondents are Preferred Fixed Deposit as
investment option.
4 ) Do you prefer Real Estate as a investment ?

[ ] Least Preferred [ ] Neatural

[ ] Not preferred [ ] Preferred
[ ] Most preferred

No. of respondent
50 45
45 40
40
35
30
25
20 15 No of respondent
15
10
5 0 0
0
Least Not Neatural Preferred Most
Preferred preferred Preferred

GRAPH 4.1

From the above graph we can depict that 0 respondents are Least Preferred and
other 0 also not preferred whereas 45 respondents are most Preferred Real Estate
as investment option.
5 ) Do you prefer Insaurance as a investment ?

[ ] Least Preferred [ ] Neatural

[ ] Not preferred [ ] Preferred
[ ] Most preferred

No. of respondent
40 36
35 32
30 28
25
20
15 No of respondent
10
5 2 2
0
Least Not Neatural Preferred Most
Preferred preferred Preferred

GRAPH 5.1

From the above graph we can depict that 2 respondents are Least Preferred and
other 2 also not preferred whereas 36 respondents are most Preferred Insurance as
investment option.
 6) What is your total annual income ?
[ ] < 3,00,000 [ ] 3 lakh to 5 lakh

[ ] 5 lakh to 10 lakh [ ] More than 10 lakh

Income
80
67
70
60
50
40
30 Income
20
20 11
10 2
0
< 3,00,000 3 lakh to 5 lakh 5 lakh to 10 More than 10
lakh lakh

GRAPH 6.1

Here 2 respondent whose income is more than 10 lakhs and in this range there would just the
business owners and Professional people. 20 respondents are having the income between 5 lakh
– 10 lakh. 67 respondents income is between 3 lakh- 5 lakh. 11 respondents income is below 3
lakh would fall in.
7) How much percentage of income do you invest ?

[ ] < 10 % [ ] 10-20 %
[ ] 20-30 % [ ] More than 30 %

No. of respondents
70 63
60
50
40
30
20 No of respondents
20
10
10 7

0
< 10% 10-20 % 20-30 % More than
30 %

GRAPH 7.1

From the above graph we can depict that 63 respondents are invest 10-20 % of
their income whereas 7 respondents are invest More than 30 % of their income.
 8) Rank the following investment option based on that return ?

[ ] Fixed Deposit [ ] Direct Equity

[ ] Insurance [ ] Mutual fund

[ ] Real Estate

45 40
39
40 36
34 34
35
29 Fixed Deposit
30 26
25 22 21 Direct Equity
20 19
20 18
16 16 16 16 Insurance
14 13
15 12 11 11
10 10 10 Mutual fund
10 7
5 Real Estate
0
1 2 3 4 5

GRAPH 8.1

From the above graph we can say that 1 st rank as a mutual fund where as 5 th rank Real
Estate as return investment option.
 9) Rank the investment option as based on risk ?

[ ] Mutual Fund [ ] Direct Equity

[ ] Insurance [ ] Real Estate
[ ] Fixed Deposit

45
39
40
36
35 33 33

30 Real Estate
24 23 24
25 22 Fixed Deposit
20
20 18 17 Mutual fund
16
13 14 14
15 12 12 Direct equity
11 11
10 8 insurance

5
0
1 2 3 4 5

GRAPH 9.1

From the above graph we can say that 1 st rank as a mutual fund where as 5 th rank Fixed
Deposit as risk investment option.
10) At the time of investment which factor you consider most ?

[ ] Risk Factor [ ] Return

[ ] Tax Benefit [ ] Lump sum or sip
[ ] Liquidity [ ] Marketability

No. of respondents
60
50
50
40
30
20 11 14 13 10
10 2 No of respondents
0

GRAPH 10.1

From the above graph we can depict that 50 respondents are return of their income
whereas 2 respondents are invest Marketability of their income
11) In this highly volatile market do you think mutual fund are a

Deginitation for investment ?

[ ] Yes [ ] no

No.of respondents
120
100
100

80

60
No of respondents
40

20
0
0
Yes no

GRAPH 11.1

From the above graph we can say that all the 100 respondents volatile high market
as mutual fund investment.
12 ) If yes, which type of mutual fund you normally option for?

[ ] Growth fund [ ] income fund

[ ] Balance fund [ ] Tax saving fund

No. of respondents
40 37
35
30
25 22 22
19
20
15 No of respondents
10
5
0
Growth Fund Income Fund Balance Fund Tax saving
fund

GRAPH 12.1

From the above graph we can depict that 19 respondents are Growth Fund
whereas 37 respondents Tax Saving Fund investment in mutual option.
13) How long would you like to hold your mutual fund as a investment?

[ ] 1 to 3 yrs [ ] 4 to 6 yrs

[ ] 7 to 10 yrs [ ] More than 10 yrs

No. of respondents
40 36
35
30
30 28
25
20
15 No of respondents
10 6
5
0
1 to 3 yrs 4 to 6 yrs 7 to 10 yrs more tha 10
yrs

GRAPH 13.1

From the above graph we can depict that 6 respondents is 1 to 3 yrs whereas 36
respondents 4 to 6 yrs in hold your mutual fund investment option.
14) Which factor prevent you to invest in mutual fund ?

[ ] Bitter past experience [ ] Lack of knowldage

[ ] Lack of confidence in service being provided

[ ] Difficulty in selection scheme

[ ] Inefficient investment advisior

No. of respondents
40 33 34
35 28
30
25
20
15
10 3
5 2
0 No of respondents

GRAPH 14.1

From the above graph we can depict that 34 respondents is lack of knowldage
whereas 2 respondent inefficient investment advisior invest in mutual fund.
 7 RESULT AND FINDINGS

The main reason for their investment is to get High Gain and Quick Return, around
100% who were investing in market.

The objective of getting quick returns in short term pulls the clients for intraday trading. They
should invest in mutual fund which gives not only high returns but also high dividend.

The research plays a important role in advising the clients/people where to invest and what to
invest. Fundamental analysis and technical analysis helps the clients to get the idea regarding
investment.

This study also proves that respondents also invest their valuable money in for getting long term
gain, as they don’t want to take high risk in market.

From the above graph we can say that all the 100 respondents have investment.

From the above graph we can depict that 1 respondents are Least Preferred and other 0 also not
preferred whereas 85 respondents are Preferred Mutual Fund as investment option

From the above graph we can depict that 2 respondents are Least Preferred and other 0 also not
preferred whereas 40 respondents are Preferred Fixed Deposit as investment option.

From the above graph we can depict that 0 respondents are Least Preferred and other 0 also not
preferred whereas 45 respondents are most Preferred Real Estate as investment option.

From the above graph we can depict that 2 respondents are Least Preferred and other 2 also not
preferred whereas 36 respondents are most Preferred Insurance as investment option.

From the above graph we can depict that 63 respondents are invest 10-20 % of their income
whereas 7 respondents are invest More than 30 % of their income.

From the above graph we can say that 1 st rank as a mutual fund where as 5 th rank Real Estate
as return investment option.

From the above graph we can say that 1 st rank as a mutual fund where as 5 th rank Fixed
Deposit as risk investment option.

From the above graph we can depict that 50 respondents are return of their income whereas 2
respondents are invest Marketability of their income.
From the above graph we can depict that 0 respondents are Least Preferred and other 4 also
not preferred whereas 60 respondents are Preferred cretria of investment in mutual fund
option.

From the above graph we can say that all the 100 respondents volatile high market as mutual
fund investment.

From the above graph we can depict that 19 respondents are Growth Fund whereas 37
respondents Tax Saving Fund investment in mutual option.

From the above graph we can depict that 6 respondents is 1 to 3 yrs whereas 36 respondents 4
to 6 yrs in hold your mutual fund investment option.

From the above graph we can depict that 34 respondents is lack of knowldage whereas 2
respondent inefficient investment advisior invest in mutual fund.

Here is the graph of the 100 respondents among them 84 were male and 16 female who had
filled up the questionnaire.

There are 6 respondent who are in the age 18-25,20 respondents in the age between 26-
35,46 respondents in the age between 36-45,20 respondent in the age between 46-55,8
responent who are more than 55 years.
 8 LIMITATION OF THE STUDY

THERE ARE FEW LIMITATIONs WHICH ARE RELATED TO THIS STUDY AND MADE IT
DIFFICULT TO TAKE UP THE RESEARCH. FOLLOWING ARE THE REASONS:

.The lack of information source for the analysis part.

Through i tried to collect some primary data but there were too inadiquete for the
purpose of the study.

Being a trainee, I was not given the authority to handle any transaction myself but
under the guidance of some superior.
 9 conclusion

It was good working with nj india invest pvt ltd., that gave me corporate exposure
.while conducting the research i came to end result with the following objective that
stated for getting quick returns in short term pulls the clients for intraday trading. Investors
should invest in mutual fund which gives not only high returns but also high dividend.Thus the
purpose of nj was served.
 OAPS REPORT

Report
D i g i t a l s i g n e d

Author: Mankind
Processing date: Thu, 24.7.2014 9:56:36 CEST

A total of 415 fragments were analysed. As a result 35 fragments (8.4%) were

found in other documents. In the document preview below the fragments are
marked light blue and clickable.

Cross reference documents

Following list of found documents is grouped by document titles and ordered by

found fragements. With a mouseclick on "x fragments" the relevant fragments in
the document are colored blue and the window scrolls to the first location. Click
on "x fragments" again resets the special marks.

13 fragments were found in a text with the title: "Mutual funds in India",
located on:
http://en.wikipedia.org/wiki/Mutual_funds_in_India

9 fragments were found in a text with the title: "Rayleigh Distribution

Definition", located on:
http://ioboa.in/rv31032010.pdf
http://www.thunderbird.edu/wwwfiles/pdf/knowledge_network/ctrs_excellence/t
gpec/tpec_resume_book_2010.pdf
http://www.amfiindia.com/.\spages\sai41.pdf
http://goapsc.gov.in/judgement.pdf
http://www.hydro.mb.ca/regulatory_affairs/electric/gra_08_09/information_requ
ests/Appendix_48-AirSource Power Fund-Prospectus_dated_October 28-2004.pdf
http://cop.senate.gov/documents/cop-021110-report.pdf
http://www.aapna.org/Ayurvedic Surgical Management of Hemorrhoids.pdf
http://ohio-olca.org/contrib/conf/documents/KCBIB2009.doc

4 fragments were found in a text with the title: "Mutual fund", located on:
http://en.wikipedia.org/wiki/Mutual_fund

2 fragments were found in a text with the title: "Trade in Financial Services:
India's Opportunities and Constraints", located on:
http://www.eSocialSciences.com/data/articles/Document1362010400.2680323.p
df

1 fragment found in a text with the title: "Further evidence on the link
between finance and growth: An international analysis of community
banking and economic performance", located on:
http://129.3.20.41/eps/fin/papers/0404/0404017.pdf
http://129.3.20.41/eps/fin/papers/0404/0404016.pdf
1 fragment found in a text with the title: "Bank ownership type and banking
relationships", located on:
http://www-
wds.worldbank.org/servlet/WDSContentServer/WDSP/IB/2006/02/22/00001640
6_20060222120258/Rendered/PDF/wps3862.pdf

1 fragment found in a text with the title: "Further evidence on the link
between finance and growth : an international analysis of community
banking and economic performance", located on:
http://www-
wds.worldbank.org/servlet/WDSContentServer/WDSP/IB/2003/08/30/00009494
6_03081604010182/Rendered/PDF/multi0page.pdf

1 fragment found in a text with the title: "Further evidence on the link
between finance and growth: an international analysis of community
banking and economic performance", located on:
http://www.federalreserve.gov/pubs/feds/2003/200347/200347pap.pdf

1 fragment found in a text with the title: "Electricity sector in India", located
on:
http://en.wikipedia.org/wiki/Electricity_sector_in_India

1 fragment found in a text with the title: "INFLATION AND MACHINERY

COST BUDGETING", located on:
http://ageconsearch.umn.edu/bitstream/30023/1/11020083.pdf

1 fragment found in a text with the title: "Modified Neural Network

Algorithms for Predicting Trading Signals of Stock Market Indices",
located on:
http://downloads.hindawi.com/journals/ads/2009/125308.pdf

1 fragment found in a text with the title: "Electron spin resonance of free
radicals formed from DNA and its constituents on X-ray irradiation :
influence of matrices, additives, dose, temperature and time", located on:
http://scidok.sulb.uni-saarland.de/volltexte/2009/2083/pdf/CPALPhD2009.pdf

1 fragment found in a text with the title: "Declaration

/asmi_jrangarajan.pdf", located on:
http://wbs-med.imib.rwth-aachen.de/asmi/asmi_jrangarajan.pdf

1 fragment found in a text with the title: "Development and application of a

high throughput cell based assay to identify novel modulators of ERK1/2
activation and,Functional characterisation of the candidate Radial
spokehead like (Rshl1)", located on:
http://archiv.ub.uni-
heidelberg.de/volltextserver/volltexte/2006/6929/pdf/102606_meherthesisfinal.
pdf

1 fragment found in a text with the title: "Sedimentology and Stratigraphy

of the Upper Cretaceous-Paleocene El Molino Formation, Eastern
Cordillera and Altiplano, Central Andes, Bolivia: Implications for the
Tectonic Development of the Central Andes", located on:
http://etd.lsu.edu/docs/available/etd-0619102-
182614/unrestricted/Fink_thesis.pdf

1 fragment found in a text with the title: "Clinico-diagnosis and therapeutic

management of bacterial and fungal infections of canine ear with special
reference to molecular characterization of certain otic pathogens",
located on:
http://openmed.nic.in/2238/01/Dr._Sandeep_Pundir_M.V.Sc._Thesis.pdf

1 fragment found in a text with the title: "Indo-U.S. FTA: Prospects for
Audiovisual Services", located on:
http://www.icrier.org/pdf/Working_Paper_192.pdf

1 fragment found in a text with the title: "Enmeshment and acculturative

stress in Chinese immigrant families in Canada", located on:
https://circle.ubc.ca/bitstream/handle/2429/11902/ubc_2001-
0576.pdf?sequence=1

1 fragment found in a text with the title: "Multi-factor estimation of stock

index movement: a case analysis of NIFTY 50, National Stock Exchange
of India", located on:
http://ro.uow.edu.au/cgi/viewcontent.cgi?article=1009&context=dubaiwp

1 fragment found in a text with the title: "Chapter – I Executive Summary

Chapter No. Particulars Page", located on:
http://rbidocs.rbi.org.in/rdocs/content/pdfs/68210.pdf

1 fragment found in a text with the title: "The development of a

comprehensive, practical and integrated management method with
specific reference to the South African mining industry", located on:
http://upetd.up.ac.za/thesis/available/etd-04082009-
202730/unrestricted/03chapters3-4.pdf

1 fragment found in a text with the title: "Documenting and Understanding

Everyday Activities through the Selective Archiving of Live Experiences",
located on:
http://etd.gatech.edu/theses/available/etd-05172007-
161038/unrestricted/hayes_gillian_r_200708_phd.pdf

1 fragment found in a text with the title: "Documenting and Understanding

Everyday Activities through the Selective Archiving of Live Experiences",
located on:
http://smartech.gatech.edu/bitstream/1853/16222/1/hayes_gillian_r_200708_p
hd.pdf
http://smartech.gatech.edu/bitstream/handle/1853/16222/hayes_gillian_r_2007
08_phd.pdf?sequence=1

1 fragment found in a text with the title: "Across the Hindukush of the First
Millennium: a collection of the papers", located on:
http://repository.kulib.kyoto-
u.ac.jp/dspace/bitstream/2433/120966/1/Kuwayama_S.pdf

1 fragment found in a text with the title: "A Patent and Trademark Office
review.", located on:
http://www.uspto.gov/about/stratplan/ar/1994annualreport_pg23-24.pdf

1 fragment found in a text with the title: "Linking greater sage-grouse

habitat use and suitability across spatiotemporal scales in central
Oregon", located on:
http://ir.library.oregonstate.edu/xmlui/bitstream/handle/1957/11278/Thesisfinal
.pdf?sequence=1

1 fragment found in a text with the title: "Nexus Qualitative Psychology, Vol.
V: Generalization in Qualitative Psychology", located on:
http://psydok.sulb.uni-saarland.de/volltexte/2007/945/pdf/nexus_5.pdf

1 fragment found in a text with the title: "U.S. and International Responses
to the Global Spread of Avian Flu: Issues for Congress", located on:
http://digital.library.unt.edu/ark:/67531/metacrs9021/m1/1/high_res_d/
http://digital.library.unt.edu/ark:/67531/metacrs8776/m1/1/high_res_d/

1 fragment found in a text with the title: "Value of Returns and Costs of
Land Degradation: a Consultancy Report for Theme 6.1 to the National
Land and Water Resources Audit", located on:
http://www.clw.csiro.au/publications/consultancy/2002/Theme6.1_Audit_Report
_Vol1.pdf

1 fragment found in a text with the title: "Covariance of adolescent health

behaviors: the Class of 1989 study", located on:
http://her.oxfordjournals.org/content/10/2/133.full.pdf

1 fragment found in a text with the title: "Must Boards Go Overboard? An

Economic Analysis of the Effects of Burgeoning Statutory Liability on the
Role of Directors in Corporate Governance", located on:
http://repository.upenn.edu/cgi/viewcontent.cgi?article=1016&context=law_seri
es

Subsequent the examined text extract:

 BIBLIOGRAPHY

WEBSITE:
1) www.njwealthgroup.in
2) www.sebi.com

MAGAZINES :

1) Brochurs of nj india invest pvt ltd.

 ANNEXURE

I KAVAL BHATT, student of MBA finance at C.K.Shah Vijapurawala

Institute of management is undertaking a research Project on “ A
comparative analysis of Mutual fund and other investment product”. I
kindly request you fill up this Questionnaire . I assure you that
information Provided by you will be confidential and used for acadmic
purpose only.
 Questionnaire

1) Do you have any investment ?

[ ] Yes [ ] No

2) Do you prefer mutual fund as a investment ?

[ ] Least Preferred [ ] Netural

[ ] Not Preferred [ ] Preferred [ ] Most Preferred

3) Do you prefer Fixed Deposit as a investment ?

[ ] Least Preferred [ ] Netural

[ ] Not Preferred [ ] Preferred [ ] Most Preferred

4) Do you prefer Real estate as a investment ?

[ ] Least Preferred [ ] Netural

[ ] Not Preferred [ ] Preferred [ ] Most Preferred

5) Do you prefer Insaurance as a investment ?

[ ] Least Preferred [ ] Netural

[ ] Not Preferred [ ] Preferred [ ] Most Preferred

6) How much % of income do you invest ?

[ ] < 10 % [ ] 10-20 %
[ ] 20-30 % [ ] More than 30 %

7) Rank the Following investment option based on that return ?

[ ] Fixed deposit [ ] Insurance

[ ] Direct equity [ ] Mutual fund [ ] Real estate

8) Rank the option as based on risk ?

 [ ] Fixed deposit [ ] Insurance [ ] Direct equity
[ ] Mutual fund [ ] Real estate

9) At the time of investment which factors you consider most ?

[ ] Risk factor [ ] Return

[ ] Tax benefit [ ] Lump sum or sip
[ ] Liquidity [ ] Marketability

10) Please indicate the following cretria for investment in mutual fund ?

[ ] Least preferred [ ] Not preferred

[ ] Neatural [ ] Preferred [ ] Most Preferred

11) In this highly volatile market do you think mutual fund are a degination

For investment ?

[ ] Yes [ ] No

12) If yes, which type of mutual fund you normally option for ?

[ ] Growth Fund [ ] Income Fund

[ ] Balance Fund [ ] Tax Savig Fund

13) How long would you like to hold your mutual fund investment ?

[ ] 1 to 3 yrs [ ] 4 to 6 yrs

[ ] 7 to 10 yrs [ ] More than 10 yrs

14) Which factors prevent you to invest in mutual fund ?

[ ] Bitter past experience [ ] Lack of knowldage

[ ] Lack of confidence in service being provided

[ ] Difficulty in selection scheme

[ ] Inefficent investment advisior

Personal Detail :

Name :

Gender :

[ ] Male [ ] Female

Age :

[ ] 18-25 [ ] 26-35 [ ] 36-45 [ ] 46-55 [ ] Above 55

Occupation :

[ ] Service [ ] Student [ ] Business [ ] Professional

What is your total annual income ?

[ ] < 3,00,000 [ ] 3 lakh to 5 lakh

[ ] 5 lakh to 10 lakh [ ] More than 10 lakh

 Check List
Yes No
Is the report properly hard bound?
Is the Cover page in proper format?
Is the Title page (Inner cover page) in proper format?
Is the Certificate received from the Company Guide?
Is the Certificate received from the Faculty Guide?
Is the Executive Summary included in the report properly written within one page?
Is the title of your report appropriate? The title should be adequately descriptive, precise and
must reflect scope of the actual work done.
Have you included the List of abbreviations / Acronyms? Uncommon abbreviations / Acronyms
should not be used in the title.
Does the Report contain a summary of the literature survey?
Does the Table of Contents include page numbers?
(i) Are the Pages numbered properly?
(ii) Are the Figures numbered properly? (Figure Numbers and Figure Titles at the
bottom of the figures)
(iii) Are the Tables numbered properly? (Table Numbers and Table Titles at the top of
the tables)
(iv) Are the Captions for the Figures and Tables proper?
(v) Are the Appendices numbered properly?
Are References or Bibliography given at the end of the Report?
Have the References been cited properly inside the text of the Report?
Is the citation of References in proper format?
A Compact Disk (CD) containing the softcopy of the Final Report and a copy of the Final SIP
Presentation (both preferably in PDF format) has been placed in a protective
jacket securely fastened to the inner back cover of the Final Report. Please write your name
and Roll No with a marker on the CD as well as the CD Jacket.

Declaration by Student:

I certify that I have properly verified all the items in this checklist and ensure that the report is in
format

Enrolment No: _____________________

Name of the Student: _____________________________________________________

Sign of the Student: __________________

Date: ______________________________