11.

0 DEFINITIONS When used in this code, unless the context otherwise requires (a) AMFI AMFI means the Association of Mutual Funds in India (b) Associate Associate means and includes an associate as def ined in regulat ion 2(c) of SEBI (Mutual Fund) Regulations 1996. (c) Fundamental investment policies The fundamental investment policies of a scheme managed by a member means the i n v e s tme n t o b j e c t i v e s , p o l i c i e s , a n d t e rms o f t h e s c h eme , t h a t a r e c o nsidered fundamental attributes of the scheme and on the basis of which unitholders have invested in the scheme. (d) Member A member means the member of the Association of Mutual Funds in India. (e) SEBI SEBI means Securities and Exchange Board of India. (f) Significant Unitholder A Significant Unitholder means any entity holding 5% or more of the total corpus of any scheme managed by the member and includes al l ent i t ies di rect ly or indi rect ly controlled by such a unitholder. (g) Trustee A trustee means a member of the Board of Trustees or a director of the Trustee Company. (h) Trustee Company A Trustee Company is a company incorporated as a Trustee Company and set

up for the purpose of managing a mutual fund.

OBJECTIVES OF THE STUDY 1. T o f i n d o u t t h e P r ef e r e n c e s o f t h e i n v e s t o r s f o r A s s et M a n a g e m e n t Company. 2. To know the Preferences for the portfolios. 3.To know why one has invested or not invested in SBI Mutual fund 4. To find out the most preferred channel. 5.To find out what should do to boost Mutual Fund Industry.

Limitation:

Some of the persons were not so responsive. Possibility of error in data collection because many of investors may have notgiven actual answers of my questionnaire. Sample size is limited to 200 visitors of State Bank of India , Boring Canal RoadBranch, Dehradoon out of these only 120 had invested in Mutual Fund. Thesample.size may not adequately represent the whole market. Some respondents were reluctant to divulge personal information which canaffect the validity of all responses. The research is confined to a certain part of Dehradoon.

WHAT IS A MUTUAL FUND?

A Mutual Fund is a trust that pools the savings of a number of investors who share a common financial goal.Anybody with an investible surplus of as little as a few hundred rupees can invest in Mutual Funds.These investors buy units of a particular Mutual Fund scheme that has a defined investment objective and strategy. The money thus collected is then invested by the fund manager in different types of securities. These could range from shares to debentures to money market instruments, depending upon the scheme s stated objectives. The income earned through these investments and the capital appreciation realised by the scheme are shared by its unit 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.

TEN ADVANTAGES OF INVESTING IN MUTUAL FUNDS Professional Management Diversification Convenient Administration Return Potential Low Costs Liquidity Transparency Flexibility Choice of Schemes Well Regulated