Risk and Return Analysis of Mutual fund

Review of literature

1. Returns are the gains or losses from a security in a particular periods and are usually quoted as percentage .
Return is the motivating force and the principal reward in the investment process and it is the key method
available to investor in computing alternative investments.

2. Capital return is measured as the periodic income in relation to the beginning price to investment that is
dividend or interest . Capital return is simply the price appreciation or depreciation divided by the
beginning price of the asset for assets like equity stocks, the capital return predeterminations.

3. Risk: In the investing world, the dictionary definition of risk is the chance that an investment’s actual return
will be different than expected .Risk means you have the possibility of losing some, or even all of your
original investment. Low levels of uncertainty (low risk) are associated with low potential returns. High
levels of uncertainty (high risk) are associated with high potential returns.

4. The risk and return trade-off is the balance between the desire for the lowest possible risk and the highest
possible return. Investment risks can be divided into two categories: systematic risk and unsystematic risk.

5. Risk and return of Kotak Mahindra mutual fund opening and closing price between change price
consideration calculated the returns of the day, and the consideration of all the days calculated kotak
mahindra mutual fund return and risk, return is -24 and risk is 4.89.

6. Risk and return of HDFC mutual fund opening and closing price between change price consideration
calculated the returns of the day, and consideration of all the days calculated HDFC mutual fund return and
risk, return is-0.03 and risk is 0.17.

7. Mutual funds now represent perhaps most appropriate investment opportunities for investors. As financial
market become more sophisticated and complex, investors need a financial intermediary who provides the
required knowledge and professional expertise on successful investing .

8. A MF is a trust that brings together the savings of various investors who pursue common financial goals.
Money raised is therefore invested in CM products such as equities, bonds and other securities Turnover
generated by these investments will be distributed by the shareholders in proportion of number of their
shares. Therefore, MFs are the beest investment for general public as they offer the opportunity to invest in
a basket of differently managed securities at a relatively low cost.

9. Union Bank of India is included in top five holdings of Sundaram and Birla Mutual funds schemes because
it is providing better investments made.

10. The metal and metal product sector, construction sector and diversification have been included in top five
in all Mutual Fund Schemes.
11. The primary motive of the security analysis is to analyse the security from the point of view of their price,
risk and returns. The security analysis helps to predict the national economy, because economic activities
affect the corporate profit, investor’s attitudes and expectations as well as ultimately security prices. It
establishes linkage between activity and stock market, because the overall economic manifests itself in the
behavior of in general.

REFERENCES

1. Haralayya, B. (2022). Risk and Return Analysis of Mutual Funds with Reference to Banks. Iconic
Research And Engineering Journals, 5(10), 45-55.

2. Ganesh, M., & Keerthi, H. K. (2019). A Study on Risk and Return Analysis of Mutual Fund at
State Dank of India, Bengaluru.

3. MAHESH, D., & SL, S. A study on the Risk and Return Analysis of Mutual Funds (Equity
Midcap).