A REPORT

ON
DESCRIPTIVE STUDY
OF
“ADITYA BIRLA SUN LIFE MUTUAL FUNDS”

By
(AAKASH)
18BSP1421

(ADITYA BIRLA SUN LIFE AMC LTD)

1
 A REPORT
ON
DESCRIPTIVE STUDY
OF
ADITYA BIRLA MUTUAL FUNDS

By
AAKASH
18BSP1421

ADITYA BIRLA SUN LIFE AMC LTD

A report submitted in partial fulfilment of

the requirements of
PGPM Program of
IBSGURGAON

DATE OF SUBMISSION:- 03/06/2019

FACULTY GUIDE:- PROF. VANDANA JANGID

2
 AUTHORISATION

I, Aakash, student of 2018-2020 batch, IBS GURGAON, hereby declare that every part of
the Summer Internship Project Report on “Descriptive Study of m u t u a l f u n d s i n
Aditya Birla Sunlife Asset Management Co. Ltd.” submitted by me for partial
fulfillment of PGPM is original.

I was in regular contact with my faculty guide and contacted him twice a
week in average for discussing the project.

The information and data given in the report is authentic to the best of my
knowledge.

COMPANY GUIDE NAME – Mr. HITESH KUMAR

DESIGNATION – RELATIONSHIP MANAGER

SIGNATURE -

3
 ACKNOWLEDGEMENT

A project is never the work of an individual. It is moreover a combination of ideas,

Suggestions, review, contribution and work involving many folks. It cannot be completed
without guidelines.

I feel pleasure in expressing my deep heartily & profound sense of gratitude to honorable my
company guide Mr. Hitesh Kumar and my faculty guide Prof. Vandana Jangid under their
proper benevolence guidance for practical aspects of study progressed. The goal of new idea
and development can only be obtained by hard working it is only key to success. One to
achieve success, the best way is suggestion and guidance provided by one’s mention. I would
also like to thanks INTERNSHIP CELL for giving me the privilege to undergo summer
training and thus learn through this process.

I wish to express my deep sense of gratitude to Mr. Hitesh Kumar, Relationship Manager oF
ADITYA BIRLA SUN LIFE AMC giving me the opportunity to work with ABSL AMC. I
would like to express my sincere thanks to my colleagues in my office and my fellow
students in my class for their constant help, support and guidance throughout the project. Last
but not least, I would like to sincere thanks to all those people who have left unmentioned
here, but have helped me directly or indirectly by their contribution to give me a sharp and
rewarding insight about the successful completion of this project.

Name:- Aakash
Enrollment No. 18BSP1421

4
 TABLE OF CONTENTS
1.ABSTRACT 06

2.EXECUTIVE SUMMARY 07

3.INTRODUCTION 09

4.MUTUAL FUND INDUSTRY IN INDIA 11

5.OBJECTIVE OF THE SIP 13

6.COMPANY PROFILE 14

7.ORGANIZATIONAL STRUCTURE 18

6.VISION & MISION 20

7. DETAILS OF SOME PRODUCTS OF 22

ABSLAMC
9.PORTER’S FIVE FORCE MODEL 25

10. SWOT ANALYSIS 27

11. COMPETITORS ANALYSIS 35

12. RESEARCH METHODOLOGY 44

13. MARKET RESEARCH OF 46

PERCEPTION OF INVESTORS OF MF’S
14. LIMITATIONS OF STUDY 55

15. SUGGESTIONS 56

16. RECOMMENDATIONS 57

17. CONCLUSIONS 58

18. LEARNINGS & OUTCOMES 60

19. REFERENCES 62

5
 ABSTRACT
Indian stock market has undergone tremendous changes over the years. Investment in mutual
funds has become a major alternative among investors.The Summer internship being carried
out at Aditya Birla Sun life mutual funds. Scope involves getting a deep understanding of
mutual funds and financial planning instruments, the market in India for these instruments in
general and specifically, the schemes of Aditya Birla SunLife mutual funds, marketing of the
same with Bank assurance partners of ABSL. This includes understanding customer
perceptions & preferences and enhancing awareness amongst targeted prospects.
The methodology used was data collection using schedule.
Secondary data was collected form internet and books and Primary data was collected
through filling questionnaire among walk-ins’ customers in banks and existing investors. The
procedure to select sample was simple random sampling.
The research design is analytical in nature. A questionnaire was prepared and ask to fill by
the customers. The sample consists of 84 customers from various banks. The target customers
is people who come in banks for opening Fixed deposit or saving account. The area of survey
is restricted to people residing in GURGAON.

6
 EXECUTIVE SUMMARY

Name: AAKASH
ENROLlMENT NO: 18BSP1421

Concept
Nowadays people are getting aware about the mutual funds schemes rapidly. Earlier there
was not much awareness about them but now there are various companies these days, which
are providing the attractive schemes about mutual funds to the general public. The concept of
this project is to study the Aditya Birla sun life mutual fund and analyze the preference of
customer.

Industry Type
Financial service

Name & Address

Aditya Birla Sun Life Mutual Fund
Unit no.16, Ground floor, Vipul Agora, 28
Mehrauli-Gurgaon road, sector D 25,
Gurugram

Title
Descriptive Study on Aditya Birla SunLife mutual fund.
My Work Details
Internship started with the two modules.
 Operational – Data handling
 Marketing module.

7
OPERATIONAL- DATA HANDLING
I used to operate work through mf360.camsonline software. Mf360 is a one stop front office
solution that caters to Asset Management companies (AMC) and Customer Services centers
to manage all investor queries and transactions, independent financial advisory, distributor
enquiries and reporting.
 Tasks- Handling the data of the investor/transactions.
 Smoothen the process of any request regarding Systematic investment plan-
redemption request, change of broker request, transmission request.
 Providing Investors/IFA/Brokers the account statements, capital gain investment
statement, exit load statement.
 Handling the phone calls and mail.

MARKETING MODULE:
The marketing module dealt with pitching the Customer, RM(relationship Manager) and
Selling the Mutual funds policies of Aditya Birla Sun life Mutual fund to different sector
banks. I sold total 27 policies which were provided by the Birla Company .They were,
 ABSL Equity Fund.
 ABSL Equity Hybrid ’95 Fund.
 ABSL Frontline Equity Fund.
 ABSL Equity Advantage Fund.

8
 INTRODUCTION
What is a Mutual Fund?

You've heard of mutual funds and you've heard that they can be smart investments for almost
any investor. But what exactly are mutual funds and how do they work?

Mutual funds are the most popular investment types for the everyday investor. Why? Because
they are simple investments to understand and they are easy to use -- in many ways, it's
"investing for dummies." In fact, if you're not already one of the millions of shareholders of
mutual funds, you'll only need to take about two or three minutes out of your day to read this
article and you'll be ready to get started investing.

Furthermore, the simplicity of investing in mutual funds is not just an attractive feature for
beginning investors; the accessibility, versatility and easy-to-understand structure of mutual
funds makes for powerful investing vehicles for all kinds of investors, including the pros, and
can be appropriate for a variety of savings and investing objectives, including college and
retirement.

So, without further ado, here's what to know about mutual funds to get you started investing.
And if you're already investing, this can be a good refresher course on this powerful yet
simple security type:

A mutual fund is an investment security that enables investors to pool their money together
into one professionally managed investment. Mutual funds can invest in stocks, bonds, cash
or a combination of those assets. The underlying security types, called holdings, combine to
form one mutual fund, also called a portfolio.

In simpler terms, mutual funds are like baskets. Each basket holds certain types of stocks,
bonds or a blend of stocks and bonds to combine for one mutual fund portfolio.

For example, an investor who buys a fund called XYZ International Stock is buying one
investment security — the basket — that holds dozens or hundreds of stocks from all around
the globe, hence the "international" moniker.

It's also important to understand that the investor does not actually own the underlying
securities — the holdings — but rather a representation of those securities; investors own
shares of the mutual fund, not shares of the holdings. For example, if a particular mutual fund
includes shares of stock in Apple, Inc. (AAPL) among other portfolio holdings, the mutual
fund investor does not directly own Apple stock.

Instead, the mutual fund investor owns shares of the mutual fund. However, the investor can
still benefit by the appreciation of shares in AAPL.

Since mutual funds can hold hundreds or even thousands of stocks or bonds, they are
described as diversified investments. The concept of diversification is similar to the idea of

9
strength innumbers. Diversification helps the investor because it can reduce market risk
compared to buying individual securities.

 Basic type of mutual funds-

There are thousands of mutual funds in the investment universe but they can be divided into a
few basic types and categories of funds. The two primary types of mutual funds are stock
funds and bond funds. From there, the categories of funds get more specialized and diverse.

For example, stock funds can be further broken into three sub-categories of capitalization —
small-cap, mid-cap, and large-cap. They are then categorized further as either growth, value,
or growth and income. Stocks can also be classified as international, global or foreign, all of
which have similar objectives.

Bond funds are primarily categorized by the duration of the bonds, which are described as
short-term, intermediate-term, or long-term. They are then broken into sub-categories of
corporate bonds, municipal bonds, and U.S. Treasury bonds.

Most mutual fund categories can be purchased as index funds, which can be described as
passively-managed funds. This means that the portfolio manager does not actively buy and
sell securities but rather matches the holdings of a benchmark index, such as the S&P 500
index or the Dow Jones Industrial Average. Beginners often start with one of the best S&P
500 Index funds.

From there, investors can learn more about the various types of mutual funds, such as those
mentioned here, and funds around that core investment. Index funds often have hundreds of
holdings and offer investors the greatest features of mutual funds — simplicity, diversity and
low-cost.

10
 Mutual fund industry in India-
The assetmanagement industry in India isamong thefastest
growingintheworld.AsofNovember 2017,42assetmanagement
companieswereoperatinginthecountry.
AttheendofMarch2018,theassetsundermanagementofthe mutualfundindustrystoodat Rs
21.36lakhcrore(US$331.42 billion)
.Inflowsin India'smutualfundschemesviathesystematicinvestment
plan(SIP)routereachedRs536billion(US$8.34billion)between April-
January2018.Indiaregistered arecordinflowofamountofUS$51.02billionin
mutualfundsinFY2016-17.
AccordingtotheAssociation ofMutual Funds in India (AMFI) data, this was the highest
investmentin mutualfundschemessincethefiscal1999-2000.
Equitymutual fundshaveregistered anetinflowofRs60,270 crore (US$9.35billion),thereby
takingtheirassetbasetoRs6.96lakh crore(US$103.8billion)inMarch2018.
Thenumberofmutualfund(MF)portfolioshaveincreased to66.5 million asofDecember 2017,
backed by rising interest in MFs amonginvestors. Mutual
fund(MF)equityportfoliosinIndiareached a10-yearhighof 49.3million,byendof2017.
InDecember2017,corporateinvestorsaccounted foraround43.03 percentoftotal
AUMinIndia,whileHNWIs andretailinvestors
accountedfor29.65percentand25.25percent,respectively.
In2016,corporateinvestorsaccounted foraround46.9percentof
totalAUMinIndia,whileHNWIsandretailinvestorsaccountedfor
28.6percentand22.3percent,respectively.
Category 3AlternativeInvestmentFunds(AIFs)inIndia,whichare hedge fundsinvestinginpublic
markets,haveraisedRs8,521crore (US$1.3billion)duringthefirstninemonthsof
2017.

11
12
 OBJECTIVES OF THE SIP-

1. To understand day to day activities of sales department, assisting the team in all
possible ways.
2. To find the preferences of investors for different asset management company.
3. To understand customers attitude / assess the perception of investors towards mutual
fund scheme.
4. Understand the risk appetite towards investment in mutual funds vis-à-vis other
options.
5. To examine penetration of mutual funds in the Indian financial market.
6. To examine the various mutual available to investors in India.
7. To study the growth of Aditya Birla Sun Life mutual funds.
8. To study the growth of mutual fund industry in India.
9. How effectively company reaching the investor’s needs.

13
 COMPANY PROFILE
About Aditya Birla Sun Life Mutual Fund, 
an Aditya Birla Capital Company

Aditya Birla Sun Life AMC Limited (formerly known as Birla Sun Life Asset Management
Company Limited), the investment manager of Aditya Birla Sun Life Mutual Fund (formerly
known as Birla Sun Life Mutual Fund), is a joint venture between the Aditya Birla Group and
the Sun Life Financial Inc. of Canada. The joint venture brings together the Aditya Birla
Group's experience in the Indian market and Sun Life's global experience. Established in
1994, Aditya Birla Sun Life Mutual Fund (ABSLMF), is co-sponsored by Aditya Birla
Capital Limited (ABCL) and Sun Life (India) AMC Investments Inc.

Having total domestic assets under management (AUM) of close to Rs.2423 billion for the
quarter ended December 31st, 2018, ABSLMF is one of the leading Fund Houses in India
based on domestic average AUM as published by the Association of Mutual Funds of India
(AMFI). ABSLMF has an impressive mix of reach, a wide range of product offerings across
equity, debt, balanced as well as structured asset classes and sound investment performance,
and around 6.8 million investor folios as of December 31st, 2018.

Aditya Birla Capital Limited (ABCL), is the financial services platform of the Aditya Birla
Group. With a strong presence across the life insurance, asset management, private equity,
corporate lending, structured finance, project finance, general insurance broking, wealth
management, equity, currency and commodity broking, online personal finance management,
housing finance, pension fund management and health insurance business, ABCL is
committed to serving the end-to-end financial services needs of its retail and corporate
customers. Anchored by more than 17,000 employees, ABCL has a nationwide reach and
more than 2,00,000 agents / channel partners.

14
POSITION:
T o d a y i t i s r a n k e d a t 4thposition among the 48asset management company
(AMC) in the country.

Aditya Birla Sun Life Mutual Fund (formerly known as Birla Sun Life Mutual Fund) (the
“Mutual Fund”) has been constituted as a trust on December 16, 1994 in accordance with the
provisions of the Indian Trusts Act, 1882 (2 of 1882) with Aditya Birla Capital Limited,
(formerly known as Aditya Birla Financial Services Limited) (a wholly owned subsidiary of
Aditya Birla Nuvo Ltd.) and Sun Life (India) AMC Investments Inc., as the Sponsors and
Aditya Birla Sun Life Trustee Private Limited(formerly known as Birla Sun Life Trustee
Company Pvt. Ltd.) as the Trustee.

The Trust Deed has been registered under the Indian Registration Act, 1908. The Mutual
Fund was registered with SEBI on December 23, 1994 under Registration Code
MF/020/94/8. The objective of the Mutual Fund is to offer to the public and other eligible
investors units in one or more schemes in the Mutual Fund for making group or collective
investments primarily in Indian Securities in accordance with and as permitted under the
directions and guidelines issued from time to time by SEBI. The Corporate Office of the
Mutual Fund is at One India Bulls Centre, Tower 1, 17th Floor, Jupiter Mill Compound, 841,
S.B. Marg, Elphinstone Road, Mumbai - 400 013.

The Sponsors of Aditya Birla Sun Life Mutual Fund (formerly known as Birla Sun Life
Mutual Fund) are Aditya Birla Capital Limited, a wholly owned subsidiary of Aditya Birla
Nuvo Ltd., and a part of the Aditya Birla Group, which is a premier conglomerate of
businesses in India and Sun Life (India) AMC Investments Inc. (a company governed by the
laws of Canada), a wholly-owned subsidiary of Sun Life Financial Inc, Canada, which is a
leading international financial services organization providing a diverse range of wealth
accumulation and protection products and services to individuals and corporate customers.
Aditya Birla Capital Limited, (formerly known as Aditya Birla Financial Services Limited) (a
wholly owned subsidiary of Aditya Birla Nuvo Ltd.) and Sun Life (India) AMC Investments
Inc. are the sponsors under the Securities and Exchange Board of India (Mutual Funds)
Regulations, 1996. Aditya Birla Nuvo Ltd. is the settlor of Mutual Fund Trust. The
Sponsor has entrusted a sum of Rs100,000/- to the Trustee as the initial contribution
towards the corpus of the Mutual Fund.

The Aditya Birla Group is an industrial conglomerate with a market capitalisation of US $41

billion and is in the League of Fortune 500, the Aditya Birla Group is anchored by an
extraordinary force of 1,20,000 employees, belonging to over 42 different nationalities. Over
50 per cent of the Aditya Birla Group’s revenues flow from its overseas operations. Sun Life

15
Financial is a leading international financial services organization providing a diverse range
of wealth accumulation and protection products and services to individuals and corporate
customers. Chartered in 1865, Sun Life Financial and its partners today have operations in
key markets worldwide.

Aditya Birla Sun Life AMC Limited (ABSLAMC), is a public limited company incorporated
under the Companies Act, 1956 on September 05, 1994 having its Registered Office at One
India Bulls Centre, Tower 1, 17th Floor, Jupiter Mill Compound, 841, S.B. Marg,
Elphinstone Road, Mumbai - 400 013. BSLAMC has been appointed as the Investment
Manager of Aditya Birla Sun Life Mutual Fund by the Trustee vide Investment Management
Agreement dated December 16, 1994, executed between Aditya Birla Sun Life Trustee
Private Limited & Aditya Birla Sun Life AMC Limited.

What are Aditya Birla Sunlife Mutual Funds (ABSLMF)?

Aditya Birla Sun Life Mutual Fund was established in 1994 as a joint venture between Aditya
Birla Group and Sun Life Financial Inc. of Canada. The fund house deals in 4 main fund
classes, namely, Equity Funds, Debt Funds, Income Funds and ELSS Funds, all with
good crisil rating. It has completed more than 20 years in its journey to offer wealth creation
solutions to its customers.

Product Offerings

Birla Sun Life Mutual Fund offers a range of investment options, which include diversified and sector
specific equity schemes, fund-of-fund schemes, hybrid and monthly income funds, a wide
range of debt and treasury products and offshore funds. BSLAMC also provides Private
Wealth Management services.

r
 SAVING SOLUTION
 BENEFITS
 Preserve your money
 Provide ready liquidity
 Superior tax efficient returns compared to
saving accounts and FD’S

16
  PRINCIPLE
 High Capital Safety.
 Suitable for
 Meet daily expenses, seed capital for new
business , Lifestyle improvement
 Focus
 Short term to Medium term.
 REGULAR INCOME SOLUTIONREGULAR INCOME SOLUTION
 BENEFITS
 Provide regular income.
 Superior tax efficient growth compared to
saving accounts and FD’S
 PRINCIPLE
 Any time liquidity
 SUITABLE FOR
 Retirement planning, paying EMI
 FOCUS
 Short Term to medium term
 TAX PANNING SOLUTION
 BENEFITS
 Provides tax benefits under section 80C and
reduce your tax burden.
 Providing long term capital growth benefits.
 PRINCIP/LE
 Long term Capital appreciation with tax
capital.
 SUITABLE FOR
 Minimizing taxes, tax planning
 Focus
 Medium to long term (with a min. 3yr.
lock in period)
 Wealth SOLUTION
 BENEFITS
 Provide superior tax efficient growth of
your capital through equity investment
over longer term.
 Principles
 Long term capital appreciation.
 SUITABLE FOR
 House purchase , travel abroad, dream
vacation, retirement planning, higher
education for children, child’s marriage.
 Focus
 Long term

17
Organization structure of the company (HIERARCHY)

MANAGING DIRECTOR

↓
Chief Executive Officer

↓
General Manager (Finance)

General Manager (Operations)

General Manager (Sales)

↓
Fund Manager (Equity Fund)

Fund Manager (Hybrid Fund)

Fund Manager (Debt Fund)

↓
Channel Head (Banking)

Channel Head (MNC’s)

Channel Head (Individual Financial Advisor)

Investors

18
Fund Managers @ Birla Sun Life Asset Management Company
Ltd
Equity Team

o Mr. Mahesh Patil- Co-Chief Investment Officer

o Mr. Anil Shah- Sr. Fund Manager
o Mr. Ajay Garg- Sr Fund Manager
o Mr. Satyabrata Mohanty- Head - Mixed Assets
o Mr. Vineet Maloo- Fund Manager
o Mr. Milind Bafna- Fund Manager
o Mr. Kunal Sangoi- Fund Manager
o Mr. Chanchal Khandelwal - Fund Manager
o Mr. Dhaval Gala- Fund Manager
o Mr. Shravan Sreenivasula- Fund Manager
o Mr. Jayesh Gandhi- Fund Manager
o Mr. Lovelish Solanki- Fund Manager

Debt Team

o Mr. ManeeshDangi - Co-Chief Investment Officer

o Mr. Prasad Dhonde- Fund Manager
o Ms. Sunaina da Cunha- Fund Manager
o Mr. Kaustubh Gupta- Fund Manager

19
 VISION AND MISSION OF ABSLAMC

VISION:
To be the most trusted name in investment and wealth management, to be the preferred employer in
the industry and to be a catalyst for growth and excellence of the asset management business in India.

MISSION:

To consistently pursue investor's wealth optimization by:

•Achieving superior and consistent investment results.

•Creating a conducive environment to hone and retain talent.

•Providing customer delight.

•Institutionalizing system-approach in all aspects of functioning.

•Upholding highest standards of ethical values at all times

VALUES:

•Integrity
•Commitment
•Passion
•Seamlessness
•Speed

POSITION:
T o d a y i t i s r a n k e d a t 5 th Position among the 42 asset management company (AMC) in
the country.

20
SERVICES BY BIRLA SUN LIFE MUTUAL FUND

1. Highly proactive services

2. Online Portfolio Access
3. Regular Portfolio Reviews
4. Financial planning5 . R e s e a r c h

PRODUCTS

•Direct Equity
•Mutual Funds
•Structured Products
•Portfolio Management System (PMS)
•Alternate Asset Products
•Loan against Securities and Mutual Funds
•Real Estate12
 •Life Insurance
•Gold

21
DETAIL OF SOME OF THE PRODUCT OF ADITYA BIRLA
AMC

 Product range of the company

Aditya Birla Sun life AMC Ltd is keenly provided with the wide range of debt, equity and hybrid

variety of funds for investment:

 Aditya Birla Sun Life Liquid Fund

An Open-ended liquid scheme with the objective to provide reasonable returns at a high level of

safety and liquidity through judicious investments in high quality debt and money market instruments.

 Aditya Birla Sun Life Savings Fund

The objective of the scheme is to provide the convenience of a savings account with the opportunity

to earn higher post-tax returns by investing in debt and money market instruments.

This product is suitable for investors who are seeking

 Reasonable returns with convenience of liquidity over short term

 Investments in debt and money market instruments

 Aditya Birla Sun Life Corporate Bond Fund

The investment objective of the scheme is to generate optimal returns with high liquidity through

active management of the portfolio by investing in High Quality Debt and Money Market

Instruments.

This product is suitable for investors who are seeking

 Income with capital growth over short term

 Investments in debt and money market instruments

22
  Aditya Birla Sun Life Mutual Fund

Objective of the scheme is to generate income by investing in corporate debt securities of short to

medium term maturities, by taking the benefit of mispriced credit opportunities

This product is suitable for investors who are seeking

 Income with capital growth over medium term

 Investments in portfolio of corporate debt securities with short to medium term

maturities, across the credit spectrum, and within the investment grade

 Aditya Birla Sun Life Mutual Fund

The objective of the scheme is long term growth of capital, through a portfolio with a target allocation

of 100% equity by aiming at being as diversified across various industries and/or sectors as its chosen

benchmark index, Nifty 50. The secondary objective is income generation and distribution of

dividend.

This product is suitable for investors who are seeking

 Long term capital growth

 Investments in equity and equity related securities, diversified across various industries in line

with the benchmark index, Nifty 50

23
  Aditya Birla Sun Life Equity Advantage Fund

The objective of the scheme is to achieve long-term growth of capital, at relatively moderate levels of

risk through a diversified research based investment in Large & Midcap companies.

This product is specially designed for investors seeking

 Long term capital growth

 Investments in equity and equity related securities

 Aditya Birla Sun Life Pure Value Fund

The Objective of the scheme is to generate consistent long-term capital appreciation through value

investing strategy.

This product is suitable for investors who are seeking

Long term capital growth

24
 Porters five forces of Aditya birla sun life mutual fund

1. Threat of new entrants in Consumer Financial Services industry – if there is strong threat
of new entrants in the Consumer Financial Services industry then current players will be
willing to earn lower profits to reduce the threats from new players like other financial
companies can enter the industry and overall threat is medium given that entry is subject to
license and regulations, investment in technology and branch network, capital and regulatory
requirements.

2. Rivalry among existing players in Consumer Financial Services industry – If competition

is intense then it becomes difficult for existing players such as Aditya Birla SunLife to earn
sustainable profits. Mutual fund industry is highly competitive with 48 AMC’s in the industry
and companies competing on higher returns using marketing and higher returns strategies for
customers to lure them. There are public sector banks, private banks and foreign banks along
with non-banking finance companies competing in similar business segments.

3. Threat of substitute products and services in Consumer Financial Services sector – If the
threat of substitute is high then Aditya Birla SunLife has to either continuously invest into
R&D or it risks losing out to disruptors in the industry. Products like FDs, RDs and saving
account have a large threat to mutual funds because similarity in services and returns in
services makes switchover a potent threat and investment oriented customers can be switched
to other avenues.

25
4. Bargaining power of buyers of Aditya Birla SunLife and Financial sector – If the buyers
have strong bargaining power then they usually tend to drive price down thus limiting the
potential of the Aditya Birla SunLife to earn sustainable profits. They can also switch to
products of other AMC’s because they have lots of options because they compare mutual
funds of Aditya birlasunlife mutual funds to other AMC’s products which pay higher returns
in last 5 years and which company have good after sales services. High bargaining power of
customers because availability of large numbers of AMC’s in industry.

5. Bargaining power of suppliers in Consumer Financial Services – If suppliers have strong

bargaining power then they will extract higher price or brokerage from the Aditya Birla
Sunlife. It will impact the potential of Aditya Birla Capital to maintain above average profits
in Consumer Financial Services industry. They have higher bargaining power because they
have customer data base and can influence customers in making choices.

Why Porter Five Forces analysis is important for Aditya Birla Capital?

Managers can use Porter Five Forces model to analyze the competitiveness faced by Aditya
Birla sunlife mutual fund in Consumer Financial Services industry. Porter five forces
analysis of Aditya Birla sunlife will help in understanding and providing solution to – nature
& level of competition, and how ABSL can cope with competition. 

Even though from outside various industries seem extremely different but analyzed closely
these five forces determines the drivers of profitability in each industry. (Managers can use
Porter Five Forces to understand key drivers of profitability of ABSL in Consumer Financial
Services industry.

To achieve above average profits compare to other players in Consumer Financial Services
industry in the long run, ABSL needs to develop a sustainable competitive advantage.
Consumer Financial Services industry analysis using Porter Five Forces can help ABSL to
map the various forces and identify spaces where ABSL can position itself. 

By doing Industry analysis using Porter Five Forces, ABSL can develop four generic
competitive strategies.

26
SWOT Analysis of Aditya Birla Sun Life Asset Management
Company

Strengths

1. Has Network of 600 branches and advisors spread over 1500 towns in India having over 130,000
advisors.
2. Backed By Aditya Birla Brand and Sun Life financial services.
3.  Emphasis on Customer Satisfaction through Transparent Functioning.
4. Strong Capital Base.
5.Large number of potential customers are base.
6.Offer liquidity to the investors at any time.
7.Offers variety of products to the investors. 

Weaknesses
1.  Low Presence in Rural Market
2. Lesser advertising as compared to competitors
3.Lack of focus

4.Under performance 
5.Distribution network is confines only to metro cities.

Opportunities
1Growing potential in the Rural Market.
2 Alignment with Government Schemes.
3 Better awareness amongst people for getting insurance

27
4.Using on-line mode of trading systems.

Threats
1. Economic crisis and economic instability
2. Entry of new NBFCs in the sector
3. Large numbers of competitors
4. Security risk
5. Stringent banking norms by the RBI and Govt.
6. High level of volatility in the stock market.

Competitors of mutual fund industry

1. ICICI mutual fund
2. HDFC mutual fund
3. SBI mutual fund
4. UTI mutual fund
5. Kotak Mahindra mutual funds

AUM as
on  AUM as on Absolute Change in Market
Mutual Funds
March March 2017 Change % share
2018

ICICI Prudential Mutual

305739 242961 62778 26% 13%
Fund

HDFC Mutual Fund 300549 237178 63371 27% 13%

Aditya Birla Sun Life

247530 195050 52480 27% 11%
Mutual Fund

Reliance Mutual Fund 244904 210891 34013 16% 11%

SBI Mutual Fund 217650 157025 60625 39% 9%

UTI Mutual Fund 154940 136810 18130 13% 7%

Kotak Mahindra Mutual

124691 92216 32475 35% 5%
Fund

Franklin Templeton
103152 81615 21537 26% 4%
Mutual Fund

DSP BlackRock Mutual

86326 65199 21127 32% 4%
Fund

28
Top 5 Funds: ABSLMF
 

Top 5 ABSLMF 1yr 3yr 5yr 10yr

Return Return Return Return

Aditya Birla Sun Life Advantage 8.60 11.28 21.81 11.50

Fund

Aditya Birla Sun Life Equity Fund 9.89 12.87 21.55 11.93

Aditya Birla Sun Life Floating 6.87 7.38 8.13 7.98

Rate Fund

Aditya Birla Sun Life Focused 7.49 8.73 16.90 12.01

Equity Fund

Aditya Birla Sun Life Frontline 8.41 9.08 16.35 12.62

Equity Fund

29
ABSLMF: Equity
ABSLMF Equity Funds are medium to high-risk funds invested in stocks and equities
that offer investors dynamic returns on their investments. The schemes are designed
for long term capital appreciation and are curated to meet investment needs based on
individual risk appetite.

Scheme Risk 5-year Fund Objective

Name return
(%)

Aditya Moderately 16.35 The scheme aims at achieving long term growth of
Birla Sun high capital by maintaining a portfolio which is diversified
Life across various industries in line with the benchmark
Frontline index Nifty 50. The fund manager allocates 100% of
Equity the fund’s assets in equity and equity related
Fund securities(AUM- 20664, NAV- 226.060)

Aditya Moderately 16.34 The scheme attempts to generate capital appreciation

Birla Sun high in the long term and current income, by investing in
Life equity, fixed-income and money market securities.
Equity The fund is involved in income generation and
Hybrid distribution of dividend. Investors who are eager to
’95 Fund take exposure in equity with a hint of debt may
consider investing in this.(AUM-11067,NAV-200.50)

Aditya Moderately 21.55 It is an open-ended scheme which maintains a

Birla Sun high portfolio of diversified equity shares which invests
Life across the large cap, mid cap, small cap stocks. The
Equity scheme aims to achieve capital appreciation in the
Fund long term allocating 90% of the fund’s assets in equity
and equity-related securities and rest in money market
securities.(AUM- 10027,NAV-737.82)

Aditya Moderately 21.81 Being an open-ended growth scheme, it generates

Birla Sun high capital appreciation in the long run by investments in
Life equity and equity related securities and maintaining a
Advantage diversified research-based approach. The basis of
Fund earning returns is leveraging on the dynamic business
cycles via fundamental research approach. (AUM-

30
 5314,NAV-401.03)

Aditya Moderately 16.90 Being an open-ended fund, the scheme aims to

Birla Sun high achieve capital appreciation in the long term by
Life investing in large-cap equity shares of up to 30
Focused companies. The scheme is suitable for investors who
Equity want to invest in equity and equity-related securities
Fund in the form of a concentrated portfolio. (AUM-
3944,NAV-59.483)

ABSLMF : Tax Saving Funds

The ABSLMF Tax Saving Funds are also known as Equity Linked Saving
Schemes that help investors save taxes under Section 88 of the Income Tax Act.

Scheme Risk 5 year Fund Objective

Name return
(%)

Aditya Moderately 21.89 It is an open-ended ELSS Scheme which has a lock-in

Birla Sun high period of 3 years which makes you eligible to avail a tax
Life Tax benefit under section 80C of the Income Tax Act. The
Relief 96 scheme aims to achieve the objective to save tax and enable
capital appreciation through investment in equity and
equity-related securities.(AUM-7561,NAV-31.880)

 ABSLMF: Debt Funds

31
The ABSLMF Debt Funds are designed to function as tax-saving instruments that
offer investors medium returns with much more safety and reliability in comparison
to equity funds.

Scheme Name Risk 5 year Fund Objective

return
(%)

Aditya Birla Sun Moderate 9.14 It is an open ended scheme which aims to invest in
Life Treasury a mix of high quality corporate bonds and G Secs
Optimizer Fund issued by Banks, Public Sector Undertakings and
Public Financial Institutions in India to generate
reasonable returns and liquidity over the short run.
By maintaining a diversified portfolio, the fund
manager aims at keeping the portfolio risk at
reasonably low levels.(AUM-151354,NAV-
71.761)

Aditya Birla Sun Moderate 9.12 It is an Open ended debt scheme which invests in a
Life Medium mix of debt and money market instruments in
Term Plan order to generate regular income. The income thus
generated is distributed among the unitholders by
means of regular dividend payments over the
medium term.(AUM-8468,NAV-22.775)

Aditya Birla Sun Moderately 8.62 It is an open-ended debt scheme which invests in
Life Savings Fund Low debt and money market instruments to provide
reasonable returns and investment liquidity during
  the short run. The fund manager follows a
conservative strategy which emphasises on higher
post-tax returns along with liquidity as one of its
key drivers.(AUM-14018,NAV-370.113)

Aditya Birla Sun Moderate 8.55 It is an open-ended debt scheme which invests in a
Life Short Term mix of debt and money market instruments to
Opportunities generate income with capital growth during the
Fund short run. The fund manager focuses on delivering
higher returns by identifying and selectively
  investing in mispriced credit opportunities in the
market. The fund generates income by way of
interest accrued on higher yielding investment

32
 grade bonds.(AUM-3557,NAV-30.937)9

Aditya Birla Sun Moderately 8.55 It is an open-ended debt scheme which invests in
Life Floating Rate Low in different types of floating rate debt and money
Fund – Long market instruments to generate income with
Term Plan capital appreciation during the short run. Those
who need to leverage from rising interest rates
 
over medium to longer term may go for this. The
fund manager may allocate some part of fund’s
assets in fixed rate debt securities too.(AUM-
4579,NAV-230.279)

 
 ABSLMF : Hybrid Funds
The ABSLMF Hybrid Funds are aimed at delivering risk adjusted returns by means of
investing in a combination of fixed income instruments and equities. It optimizes the
advantage of pairing the growth potential of equities with the relative stability that is offered
by income investments.

33
 Schem Risk 5 year Fund Objective
e Name return
(%)

Aditya Moderately 2.06 It is an open-ended fund of funds scheme which invests

Birla high exclusively the units of Aditya Birla Sun Life Gold ETF
Sun which in turn, invests in physical gold of 99.5% purity
Life (fineness). Those investors who are comfortable with
Gold bearing moderately high risk may go for this.(AUM-
Fund 2361,NAV-38.935)

COMPETITIVE ANALYSIS
Comparison of Aditya Birla with other MNC’s-
I compare schemes, return, risk of Aditya Birla capital with other AMC’s like Reliance
mutual fund, HDFC mutual fund and ICICI prudential mutual fund.

34
EQUITY FUNDS-
Equity Funds are curated for long-term capital appreciation through investment in extensively
researched shares and stocks of top rated companies. The funds are picked based on the
consistency of performance and are designed for generating high returns. These funds are
high-risk funds and require careful consideration before investing.  

ADITYA BIRLA SUNLIFE Scheme Name Risk 5 year

return
(%)

Aditya Birla Moderately 16.35

Sun Life high
Frontline
Equity Fund

Aditya Birla Moderately 21.55

Sun Life high
Equity Fund

RELIANCE Reliance Moderately 16.8

Large Cap High
Fund

Reliance High 11.27

Quant Fund

SBI SBI Magnum Moderately 24.08

Midcap Fund High

SBI Magnum Moderately 19.88

Multicap Fund High

HDFC HDFC Equity Moderately 16.30%

Fund High

35
 HDFC Top 100 Moderately 14.60%
Fund High

ICICI ICICI Prudential Moderately 17.70%

Dynamic Plan High

ICICI Prudential Moderately 16.33%

Focused Bluechip High
Equity Fund

Conclusion- As you can see above SBI give better return on their equity funds than
other AMC’s.

TAX SAVING FUNDS-

Tax Saving Funds are also known as Equity Linked Saving Schemes that help investors save
taxes under Section 88 of the Income Tax Act.

ADITYA Scheme Risk 5 year return (%)

BIRLA SUN Name
LIFE

36
 Aditya Birla Moderately 21.89
Sun Life Tax high
Relief 96

RELIANCE Reliance Moderately High 18.55

Tax Saver
(ELSS)
Fund

SBI SBI Magnum Moderately High 15.01

Tax Gain
Scheme

HDFC N/A

ICICI N/A

Conclusion – As you can see above Aditya Birla give better return i.e. 21.89 %
which is higher than other AMC’s.

DEBT FUNDS-
Debt Funds are designed to function as tax-saving instruments that offer investors medium
returns with much more safety and reliability in comparison to equity funds.

ADITYA BIRLA SUN LIFE Aditya Birla Sun Moderat 9.14

Life Treasury e
Optimizer Fund

Aditya Birla Sun Moderat 9.12

Life Medium Term e

37
 Plan

RELIANCE Reliance Floating Moderately 7.6

Rate Fund Low

Reliance Low Moderately 8.13

Duration Fund Low

SBI SBI Magnum Moderat 6.57

Income Fund e

SBI Overnight Low 7.36

Fund

HDFC HDFC Gilt Moderate 6.81%

Fund

HDFC Moderately 7.98%

Corporate Low
Bond Fund

ICICI ICICI Prudential Moderately 8.50%

Flexible Income Plan Low

ICICI Prudential Moderate 8.10%

Savings Fund

Conclusion- As u can see above Aditya Birla sun life debt fund give better
return than others.

Comparison of Top 5 AMC

This Comparison is according to the Sharpe ration, Beta and Standard deviation.
Comparison of Top 5 AMC
1.Large cap fund

38
 HDFC ICICI SBI ABSL Reliance
Launch June,2003 March,200 Febuary,2006 November,2005 August,2003
Date 8
Rate of 9.80% 9.16% 0.18% 9.75% -0.25%
Return (1
year)
Rate of 15.29% 15.34% 9.90% 9.08% 9.07%
Return (3
year)
Rate of 11.09% 14.30% 13.57% 10.14% 10.24%
Return (5
year)
Expense 2.28 2.28 1.69 2.25 2.22
Ratio
(Regular)
Sharpe 0.55 0.51 0.38 0.23
Ratio
Beta 0.86 0.86 0.90 0.94 0.96

Standard 11.16% 11.16% 12.77% 12.24% 3.94%

Deviation

Conclusion
If we look at the performance of all the 5 companies 5 years ago and considering their rate of
return in past 5 years ICICI has performed better than other companies giving the return of
15.34% after that SBI with 13.57% than HDFC with 11.09% than Reliance with 10.24% than
ABSL with 10.14%. HDFC has highest expense ratio of 2.28. Higher Sharpe ratio indicates
ratio is the average return earned in excess of the risk-free rate per unit of volatility or total
risk, therefore ICICI has highest Sharpe ratio of 0.55. Beta and Standard deviation volatility
of the fund, highest Beta is of Reliance with 0.96 and highest Standard deviation of SBI with
12.77%.

2. Equity hybrid fund

HDFC ICICI SBI ABSL Reliance
Launch December,2003 November,199 December,1995 January June,2005
Date 9 16,2014
Rate of 12.05% 7.63% -5.53% 5.46% -6.21%
Return (1
year)

39
 Rate of 9.93% 14.56% 11.36% 6.36% 8.14%
Return (3
year)
Rate of 11.17% 15.24% 13.84% 8.83% 11.17%
Return (5
year)
Expense 2.08 1.90 1.17 1.96 1.97
Ratio
(Regular)
Sharpe - 0.60 - 0.25 0.16
Ration
Beta - 0.94 - 1.09 1.13

Standard - 8.75% - 9.62% 3.05%

Deviation

Conclusion
If we look at the performance of all the 5 companies 5 years ago and considering their rate of
return in past 5 years ICICI has performed better than other companies giving the return of
15.24% after that SBI with 13.84% than HDFC and Reliance both with 11.17% than ABSL
with 8.83%. HDFC has highest expense ratio of 2.08. Higher Sharpe ratio indicates ratio is
the average return earned in excess of the risk-free rate per unit of volatility or total risk,
therefore ICICI has highest Sharpe ratio of 0.60. Beta and Standard deviation volatility of the
fund, highest Beta is of ICICI with 0.94 and highest Standard deviation of ABSL with 9.62%.

3. Tax relief fund

HDFC ICICI SBI ABSL Reliance
Launch March , August,199 March,1993 October September,2005
Date 1996 9 1,2006
Rate of 9.57% 8.77% -0.92% 4.27% -16.72%
return (1

40
 year)
Rate of 8.34% 14% 8.43% 10.38% -3.57%
Return
(3 years)
Rate of 9.05% 15.13% 10.42% 12.47% 2.54%
Return
(5 year)
Expense 2.10 2.01 1.92 2.20 2.24
Ratio
(Regular
)
Sharpe 0.119 0.42 0.46 0.47 0.09
Ratio
Beta 0.904 0.83 0.94 0.90 1.12

Standard 3.829% 11.84% 13.63% 12.83% 4.93%

Deviatio
n

Conclusion
If we look at the performance of all the 5 companies 5 years ago and considering their rate of
return in past 5 years ICICI has performed better than other companies giving the return of
15.13% after that ABSL with 12.47% than SBI with 10.42% than HDFC with 9.05% than
Reliance with 2.54%. Reliance has highest expense ratio of 2.24. Higher Sharpe ratio
indicates ratio is the average return earned in excess of the risk-free rate per unit of volatility
or total risk, therefore ABSL has highest Sharpe ratio of 0.47. Beta and Standard deviation
volatility of the fund, highest Beta is of SBI with 0.94 and highest Standard deviation of SBI
with 13.63%.

41
4.Small cap fund
HDFC ICICI SBI ABSL Reliance
Launch April,2008 October,2007 September,2009 December September,2010
Date 15,2014
Rate of 4.82% -10.47% -14.18% -2.85% -20.83%
return (1
year)
Rate of 13.94% 10.03% 14.40% 2.72% 3.16%
Return (3
years)
Rate of 15.86% 11.93% 25% 9.90% 11.23%
Return (5
year)
Expense 2.06 2.72 2.41 2.35 2.30
Ratio
(Regular)
Sharpe 0.217 0.13 0.64 0.28 0.20
Ratio
Beta 0.582 0.98 0.87 0.75 0.91

Standard 4.417% 18.14 18.99 18.88 5.35%

Deviation

Conclusion
If we look at the performance of all the 5 companies 5 years ago and considering their rate of
return in past 5 years SBI has performed better than other companies giving the return of 25%
after that HDFC with 15.86% than ICICI with 11.93% than Reliance with 11.23% than
ABSL with 9.90%. ICICI has highest expense ratio of 2.72. Higher Sharpe ratio indicates
ratio is the average return earned in excess of the risk-free rate per unit of volatility or total
risk, therefore SBI has highest Sharpe ratio of 0.64. Beta and Standard deviation volatility of
the fund, highest Beta is of ICICI with 0.98 and highest Standard deviation of ABSL with
18.88%.

42
5.Corporate bond fund
HDFC ICICI SBI ABSL Reliance
Launch June,2010 June,200 January,2019 April June,2014
Date 9 01,2017
Rate of 7.74% 7.18 - 7.86% 2.74%
return (1
year)
Rate of 8.09% 7.66 - 8.01% 5.92%
Return (3
years)
Rate of 8.71% 8.21 - 8.71% -
Return (5
year)
Expense 0.45 0.56 0.84 0.39 0.74
Ratio
(Regular)

Conclusion
If we look at the performance of all the 5 companies 5 years ago and considering their rate of
return in past 5 years HDFC and ABSL both has performed better than other companies
giving the return of 8.71% after that ICICI with 8.21%.SBI has highest expense ratio of 0.84

43
 RESEARCH METHODOLOGY

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.
 In order to work on this project, the necessary information should be collected about
the mutual funds and its types from different sources.
 A proper plan is created in which the areas of Gurgaon have been grouped according
to geographical.
 The questionnaires are prepared to carry out the surveys for the customers who are
interested in buying the mutual funds schemes offered by Aditya Birla sun life mutual
fund.
 Also I have decided to focus on the potential customers of mutual fund schemes
offered by company.

The project involves the use of both the sources of information, primary and secondary.

1. Primary Sources
 Customer interaction.
 On the Job Training.
 Interaction with employees of Aditya Birla Sun life Mutual funds.

2. Secondary Sources
 Aditya Birla Sun Life Mutual Fund Official Website.
 Aditya Birla Sun Life Factsheet
 Company manual and documents.
 Clients and investors’ portfolios account statements.
 Brochures and catalogues.

44
Questionnaire Design:-

 The research was done through gathering data through

responses from SERVEY MONKEY, which filled by
interviewer from getting responses from fleet owner,
questions were made by the researchers in their papers,
targeted participant were interviewed with interviewer.

 Questionnaire was filled by 84 respondents in which some of

were people who are working in men and women and some
of were students.

 The survey instrument constructed through Nominal scale

and Random questionnaire method.

 Analysis of Technique:- Data collected has been analyzed and interpret with the help
of percentage method and by using of pie chart. This involves converting raw data into useful
information. It involves tabulation of data and using statistical measures on them for
developing frequency distributions and calculating the averages and dispersions.

45
Market Research of Perception of Investors Towards
Mutual Funds
The major focus is on the result of questionnaire survey.
1.I will screen all the questionnaire in order to gain a first overview over the data gathered.
2.The analysis of the data generated during the study with the help of various statistical tools
like bar charts and pie charts.
3.At the last I will draw conclusion regarding customer’s preferences and satisfaction about
mutual funds.

Q1. Do you save portion of your income?

From the above chart suggests that out of 84 respondents 74 are saving portion of their
income and 10 respondents don’t save their income because of their income is low and they
only have enough money to fulfil their daily needs.

46
Q2. How much of your income do you save?

In above chart out of 84 respondents 23 save below 5000, 30 respondentssave 5000 to 10000,
23 respondents save b/w 10000 to 20000 and rest of them save above 20000.

Q3. What is your saving objective?

In above graph 26 respondents save money for retirement purpose, 40 respondentssave for
personal needs, 23 respondents for uncertainties in future, 7respondentsfor children education
and 19 choose all of the above.

47
Q4. Do you invest in mutual funds?

Out of 84 respondents 52respondents are invested their money in mutual funds and 32
respondents does not invested in Mutual funds..

Q5. If their answer is no, so what are the reasons?

Out of 32respondents 12 respondents are think mutual funds is risky, 7 respondents have
lack of knowledge , 7 respondents does not have proper guidance and 6 does not have any
particular reason.

48
Q6. If their answer is YES, so how many years they have been investing in mutual
funds?

out of 52 respondents 33respondents have investing in mutual funds for less than 3
years,15respondents have investing in mutual funds b/w 4 years to 7 years.
Q7. How aware about the mutual fund?

Out of 66 responses 24 respondents are very well aware, 25 respondents are partially aware,
14 respondents have partial knowledge and remaining have no idea about mutual fund.
Q8-how did you learn about mutual funds?

49
Out of 66 respondents 33 respondents are learn about mutual funds through newspaper, 15
respondents through magazines, 38 respondents through internet, 20 respondents through
television and 24 through agents.
Q9. Which asset class of mutual fund they invest?

Out of 52 respondents 20 respondents invest in equity, 6 respondents in debt and 26

respondents in balanced funds.
Q10.Rate the feature of mutual fund which allures you the most?

1 2 3 4 5 6 7
Diversification
19 7 12 7 9 2 6
Better return
10 18 10 10 4 6 2
Risk 5 13 23 6 7 3 5
Income 10 11 5 24 5 5 0
Tax benefit 17 5 9 9 14 2 5
Managed 10 9 6 7 7 16 3
Volatility 4 4 9 6 10 9 19

50
Q11. Which type of mutual fund schemes do you prefer most?

Out of 52 respondents 26 respondents are prefer open ended schemes, 11 respondents prefer
close ended and 15 respondents choose interval schemes.

Q12. By whom are the mix of schemes managed?

Out of 52 respondents 27 respondents’ schemes is managed by their advisor, 11 respondents

managed their schemes by themselves.

51
Q13- In which company you have invested?

30 respondents invested in SBI MF, 18 respondents in HDFC MF, 17 respondents in ICICI,

28 respondents in Aditya Birla sun life, 6 respondents in reliance and 12 respondents in
KOTAK MF.
Q14- which mode of investment do you prefer?

Out of 52 respondents 35 respondents invested in systematic investment plans and 17

respondents in one-time investment.
Q15- gender?

52
Out of 84 respondents 56 respondents are male and 28respondents are female.

Q16- AGE?

Out of 84 respondents 44 respondents are b/w 20-25 age , 23 respondents are b/w 25-35,11
respondents are b/w 35-45 and 6 respondents are above 45.

Q27.Annual income?

Out of 84 respondents 21 respondent’s income is below Rs. 100000, 34 respondent’s income

is b/w 100000 to 300000,20 respondent’s income is b/w 300000 to 500000 and 6
respondents’ income is above 500000.

53
Q21. Occupation

Out of 84 respondents 63 respondents are salaried people, 16 respondents have their own
business and 5 respondents are retired personal.

54
 LIMITATIONS OF STUDY

● Time constrain- As the mutual funds have covered giant market in last few decades, It
is very difficult to analyze whole market.
● Mutual fund concepts are new as compared to bank FD and postal deposits so it is
somehow arduous to change customers’ perceptions and beliefs.
● Studies of mutual fund are confined to the Indian Markets only.
● The data which will be collected from the customers is through the questionnaires and
is subject to response errors.
● Network error/Server down while handling the mf360cams Software
● The Investors and customers chosen are not fully aware of the terms & condition
related to the mutual funds.

55
 SUGGESTIONS
 Know your risk tolerance:
Before choosing your fund you need to have a good idea about how much market risk you
can tolerate because share market is volatile it always fluctuate. And mutual fund
subjected to market risk.

 Determine your asset allocation:

. When you have decided your hazard resistance you can decide your advantage portion
which is blend of ventures resources, stock, securities and cash it will likewise mirror your
level of hazard resilience either forceful, direct and preservationist

 Learn how to choose best mutual fund:

There are a large number of common store to pick, a speculator can experience the ill
effects of decision over-burden and conceivably commit unnecessary error. No heap
reserves are best decision for shared store speculator. You can pick by finance screening as
well as by contrasting execution with a benchmark.

56
 RECOMMENDATION TO ABSL MF

1. They should focus on more advertising in rural and urban markets then their
competitors to generate awareness among customers, which help them in
increasing their sales
2. The advisors of ABSL may try to highlight some of the value added benefits of MFs such as tax
benefit, rupee cost averaging, and systematic transfer plan, rebalancing etc. these
benefits are not offered by other options singlehandedly. So, these are enough to
drive the investors towards mutual funds. Investors could also try to increase the spectrum of
services offered.

57
 CONCLUSION

• The most vital problem spotted is of ignorance. Investors should be made

Aware of the benefits. Nobody will invest until and unless he is fully convinced.

• Mutual Fund Company needs to give the training of the Individual Financial Advisors
about the Fund/Scheme and its objective, because they are the main source to influence the
investors.

• Younger people aged under 35 will be a key new customer group into the future, so making
greater efforts with younger customers who show some interest in investing should pay off.

• Systematic Investment Plan (SIP) is one the innovative products launched by Assets
Management companies very recently in the industry.

 SIP is most preferred product by the side of customers and AMC Too

 RM should be well prepared with their product pitching because now a day’s
customers have so many queries if RM is able to trick it out you can easily get an
SIP

 MF investment is new trend everybody wants to invest because its gives you high
return and saving but there is need of financial advisors who can help them to
generate portfolio because there is lack of knowledge

 ABSL is performing outstanding one thing they are lacking is they don’t have their
own bank that is why they have 3rd position

 SIP is easy for monthly salaried person as it provides the facility of do the investment
interesting investing should pay off.

58
 Company should increase advertisement and promotion activity.

 Targeted more new sector

 Build trust with customer

 Keep in continuous contact with customer

 Make more effort by marketing team to change from negative attitude to

positive attitude of customer

 By more interaction with company’s HR and Owner

 By listening to their complain

 Ready to solve the query whatever thrown by a client

 Quarterly marketing survey of share market as well as customer

satisfaction.

 At last but not the least , If then wants to penetrate the market of their
competitor, then it should have ultimate team that work efficiently and
effectively along with smartness and high performance and the journey will
start through solving the gap & being realistic.

59
 LEARNINGS &OUTCOMES
 
OPERATIONAL WORK:

 Learning How to handle the software (mf360.camsonline.com) that

handles the data regarding different investor / client who has invested
in different mutual fund schemes.
 Learning how to smoothen the process of any request regarding SIP
(systematic investment plan), redemption request, and change of
broker request, transmission request form or any switching process.
 To solve the query of investors /client/banks/broker/IFA (independent
financial advisers. 
 Learning about Advance tax report-require during the Audit, under
which I got to know about the various element:
 Portfolio snapshots.
 Portfolio Appraisal.
 Transaction Statement.
 Statement of capital gain/loss.
 Statement of dividend.
 Statement of expenses.

 Learn about the Top 20 securities of the various company in

which Aditya Birla sun life invest the Lump sum amount of the
investor in Portfolio management services and acknowledge
about the market value of stock price.
 Portfolio summary basically tells us about the current value of
their initial investment-like how much is the inflow & outflow
and How much returns are getting after management fees and
other expenses.
 Through PMS statement we can analyze stock market and get
to know about the best securities that may give a good return.
 PMS –statement also give the information regarding how much
% is allocated in various sector(as show in below the
diagram) :
 Textile products.
 Pharmaceutical
 Consumer products.
 Cement.

60
  Banks
 Auto ancillaries.

FIELD WORK:

 Understanding How to deal and coordinate with Relationship managers

in private banks.
 Learn about the opinion and preferences regarding the Aditya Birla
(Systematic Investment Plan) in different banks.
 Dealing with RM and employees and getting the SIP of Aditya Birla
sun life as much as possible.
 Get to know about the competitors and their products like AXIS,
ICICI, HDFC, L&T.
 Till now while coordinating with team leader and team partner we did
22SIP(systematic investment plan) in different scheme of Aditya Birla
sun life mutual fund.
 Minimum amount of investment-2000 and maximum amount-5000.

61
 REFERENCES
 List of Books:-

 ABSL Monthly guide

 Guide to mutual Fund

 Investment and portfolio management and basic of share market

 Websites:-

 www.adityabirlasunlifemf.com

 http://www.moneycontrol.com

 www.mutualfunds.com

 www.amfi.com

 www.economictimes.com

 www.investopedia.com

 www.paisabazar.com

 www.dynamiclevels.com

 www.valueresearchonline.com

62