1.

INTRODUCTION

Investment is an economic activity in which every person is engaged in one form or another. It is an
economic activity which involves creation of assets and exchange of assets with profit motion. Many
channels or modes of making investment are available with the investors. Different investment confer
different sets of rights on the investors and different set conditions under with these rights can be
exercised. Various investment alternatives are Direct as will as indirect. We can invest in various
investment alternatives such as insurance, real estate, business ventures, investment companies, bonds,
shares etc.

Mutual fund is an financial intermediary which bring a wide variety of securities, which collect the saving
of investors and invest them on a large scale. The funds that pool money from different investors may be
retail or institutional. All types of investors can easily accessible in the mutual fund. But, the small
investors generally do not adequate time, knowledge or experience for directly accessing the capital
market. So it helps small investors to makes decisions regarding to the investment and provide benefit to
them. Mutual funds are mainly governed by securities exchange board of India (SEBI) and this makes to
protect the interest of the investors. Mutual fund is a pool of funds invested by different investors who
has interaction with each other. They were professionally managed the funds from different investors
may be retail or institutional. Professionally qualified fund managers are mainly managing the funds.

It is the most suitable investment for common man as it offers an opportunity to invest in a diversified,
professionally managed basket of securities at relatively low cost. It provides a major plat form for the
investors to invest in capital market. Mutual fund is less risky than directly investment into the stock
market, it is a better options for investors to invest into it.

It observes that the most of the investors not much aware about the various beneficial scheme’s under
the mutual fund this is reflected under the study conducted in the mutual fund. This study make an
attempted to identify the various beneficial schemes that are preferred by investors regarding investment
in mutual fund. Also knowing the factors regarding to its. This study help as to know investors preference
towards various schemes and their level of awareness. This study also helps as to know the influence
factors, that are affecting to it. The factors that are responsible for choosing the right mutual fund are
considered for the study. Comparison of mutual fund with other avenues of investment are also taken for
considerion, to know the risk and return of the mutual funds.
2.SIGNIFICANCE OF STUDY

Mutual fund is preferred investment alternatives even for the small investors as it offers the diversified
opportunities. It is professionally managed portfolio at a relatively low cost. It pools the savings of a
number of investors who shares a common financial goal. The study attempts to find out the awareness
and preference among common investors in a growing financial areas and their suggestions which can be
used for knowing the investors preference. Mutual funds helps to find out the various schemes that are
available in market.

3.SCOPE OF THE STUDY

Mutual funds gives a various schemes and also it provides wider scope to investors and it maintain better
saving habits among the common in investors. The awareness of investors can be identified through this
study, also helps investors to know mutual fund as a better investment plan. This study is very useful to
understand the investors preference towards mutual fund with special reference that helps in framing
new plans according to invest. We can Only select educated peoples to collect information. The areas we
target in Cochin corporation to collect various information. Only 100 sample study is conducting in the
area of Cochin corporation.

4.STATEMENT OF THE PROBLEMS

Mutual fund creates an avenue for the common investors to receives a benefits regarding into it. Directly
investing into capital market creates high risk for investors and also it is uncertain. The various studies are
taken based on the areas of investors perception towards different avenues of investment especially in
mutual fund. The retail investors does not take active role in share market, inflation edge make them to
do so. In the case the necessity to make the investor’s to give an awareness about the opportunity of
mutual fund and it’s benefits which enable to understand the inflations. This project is taken as to access
the preference of investors towards investment made on mutual fund also it helps us to evaluate the
awareness level of investors.
5. OBJECTIVES OF STUDY

1. To know the perception of investors towards investing in mutual fund schemes.

2. To know the awareness level of investors in investment towards schemes of mutual funds

3. To know the behaviors of investors towards investing in mutual fund while comparing with other
avenues.

4. To identify the factors affecting for investment if they decide to choose the mutual fund as an
investment option.

6. RESEARCH METHODOLOGY

Research is a method that can be used to solve a problem. Research methodology is a science helps in
studying how research is done scientifically. It is systematic, theoretical analysis of methods apply to the
field of study on preference of investors towards investment in mutual fund. Its contents of following;

• SOURCES OF DATA COLLECTION

In this project we collected the information from the Primary and Second source of data. Primary data
collected for the first time and used for original purpose. In this study primary data is collected through
questionnaire by using survey techniques. Secondary data which are already collected and recorded by
someone else. While utilizing them the research has to make deep look into various sources which are
used by them for collecting data. In this study secondary data collected from various books, journals and
websites.

• POPULATION OF STUDY

The population can be explained as a comprehensive group of individuals, institutions, objects and so
forth with have a common characteristics that are interest of a research. In this study population is limited
to a group of educated individuals and businesses candidates. The study is conducted in under the area
of Cochin city.

• SAMPLE SIZE

The size of sample is the number of sampling units selected from the population. In this study 100
respondents are made for using sampling which constituting the research area.

• SAMPLING TECHNIQUE

Sampling may be defined as “the process of obtaining information about an entire population examining
only a part of it”. It means that the process of selecting a sample of elements from a target population to
conduct a survey. In this study the simple random sampling methods are used for selecting the samples.

• TOOLS FOR DATA ANALYSIS

Analytical tools are used for analysis the data collected information and interpreting them. .Statistical
tools used for analysing the data are percentage method, table’s, pie chart , bar diagrams.

7. PERIOD OF STUDY

All subject contain a period of study each period of study has a start date and end date in a particular
period of times . So this study was allocated for last 3 months from December 2020 to February 2021.

8.LIMITATIONS OF STUDY

1. Attitudes of investors change according to the period of times so, it will effect the survey results.

2. The samples size is 100 limited , so it is not sufficient to cover the entire population.

3. The study is limited in a Cochin city, so the findings cannot extent to other.

4. It faces difficulty to get a quick response on time.

9. CHAPTER PLAN

I. Chapter 1: Introduction.
II. Chapter 2: Review of literature.
III. Chapter 3: Data Analysis and interpretation.
IV. Chapter 4: Summary, Findings and Recommendation.