A STUDY ON THE PERFORMANCE OF EQUITY SCHEMES

WITH REFERENCE TO RELIANCE MUTUAL FUNDS

- M.Sankaraiah

Faculty Guide Organisation Guide

R. Prasantha Kumar Mr. ASWANI KUMAR
Assistant Professor Fund Manager-Vision
Annamacharya Institute of Technology & Sciences Reliance mutual fund
Tirupati Hyderabad.

I. INTRODUCTION
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. The
private sector and foreign sectors entered the mutual fund industry in 1993. Currently
there are around 34 mutual fund organizations in India.
Reliance Mutual Fund (RMF) is one of India’s leading Mutual Funds,
with Average Assets Under Management (AAUM) of Rs. 1,18,973 Crores and an
investor count of over 74 Lakh folios. (AAUM and investor count as of May 2010).
Reliance Mutual Fund, a part of the Reliance - Anil Dhirubhai Ambani Group,
is one of the fastest growing mutual funds in the country. Reliance Mutual Fund has
presence in 159 cities across the country. Reliance Capital Ltd. is one of India’s
leading and fastest growing private sector financial services companies, and ranks
among the top 3 private sector financial services and banking companies, in terms of
net worth. Reliance mutual fund is launched 42 schemes till date.

II. NEED FOR THE STUDY

Now a days Equity schemes are most preferable for peoples because they expect
more returns. In order to get maximum returns within short period the people opts
equity schemes so, the demand for this schemes are growing.
In order to asses the performance of equity schemes in Reliance mutual fund.
The research is undertaken.

III. STATEMENT OF THE PROBLEM

The study is undertaken by the performance of selected equity schemes in Reliance
Mutual Fund.

1
IV.OBJECTIVES OF THE STUDY
 To know the different funds available in reliance mutual fund.
 To determine the performance of different schemes in Reliance Mutual Fund.
V. RESEARCH METHODOLOGY
 Research Design
It is the actual frame work of a research that provides specific details regarding
the process to be followed in conducting the research. The design for this study
is descriptive in nature.

 Data Source
 Secondary data
 Secondary data was collected in the form of broachers, of the organization,
magazines and through website included in collection of data.
 Data Analysis Methods
 Treynor model

 Sharpe model

 Jensen performance model

 SCOPE OF THE STUDY

 This report covers the various investment modes available to the
investor
 The details about the performance of reliance growth fund, vision fund,
regular saving fund & banking fund.
 The comparison of different schemes will provide the better idea to the
investor about where to invest.

VI.FINDINGS & RECOMMENDATIONS

 Findings
 There is a fluctuation in all schemes in the year 2009.
 The reliance banking fund is containing low standard deviation and
BETA values in all years.

2
  The reliance regular saving fund is low risky comparing with there
BETA values.
 The reliance banking fund is inferring with low risk standard deviation
comparing with other funds in the year 2008(1.45).
 There is a high fluctuation in the year 2008 from January (2.48) to 2009
January (-21.27) in reliance growth fund.

 Recommendations

 The reliance banking fund is getting good returns.so,the company should

maintain same returns in future.
 The fund manager should be actively participated at the investment situation to
get better growth returns on each fund.
 The fund manager should take necessary steps to diversify the risk.

VII. CONCLUSION

Mutual Fund industry today, is one of the most preferred investment avenues

in India. However, with a plethora of schemes to choose from, the retail investor

faces problems in selecting funds. Though past performance alone cannot be

indicative of future performance, it is, frankly, the only quantitative way to judge

how good the present fund is. Therefore, there is a need to correctly assess the past

performance of different mutual funds Return alone should not be considered as the

basis of measurement of the performance of Reliance Mutual Fund scheme, it should

also include the risk taken by the fund manager because different funds will have

different levels of risk attached to them.

VIII. LIMITATIONS OF THE STUDY

 The past performance of the company may not exactly in future.

 The recommendation given in these is confined to RMF. They may not be

generalized to any other mutual funds.