CHAPTER 1 INTRODUCTION 1.

1 INTRODUCTION ABOUT CUSTOMER PERCEPTION

Human beings are constantly bombarded with stimuli during every minute and every hour of every day. The sensory world is made up of an almost infinite number of discrete sensations which are constantly and subtly changing. According to the principles of sensation, such heavy intensity of stimulation should turn off most individuals, who would subconsciously block the receipt of such a heavy bombardment of stimuli. Otherwise the billions of different stimuli to which we are constantly exposed might serve to confuse us totally and keep us perpetually disoriented in a constantly changing environment. However, neither of these consequences tends to occur, because perception is not a function of sensory input alone. Rather, perception is the result of two different kinds of inputs that interact to form the personal picturesthe perceptionsthat each individual experiences. One type of input is physical stimuli from the outside environment; the other type of input is provided by individuals themselves in the form of certain predispositions (e.g. expectations, motives, and learning based on previous experience). The combination of these two very different kinds of inputs produces for each of us a very private, very personal picture of the world. Because each person is a unique individual, with unique experiences, wants, needs, wishes, and expectations, it follows that each individuals perceptions are also unique. This explains why no two people see the world in precisely the same way.

INTRODUCTION TO MUTUAL FUNDS

Mutual funds are recognized as a mechanism of pooling together the investment of investors and turn in the hands of professionally managed fund managers for consistent return. Money collected in this process is then invested in capital market instrument such as shares, debentures and other securities. Finally, unit holders in proportion of units owned by them share the income earned through these investments and capital appreciation. Mutual funds put forward a way out to investors to approach most schemes and get well-diversified portfolio because investors with small savings neither have sufficient expertise nor have access to required diversification. Mutual funds have already entered into a world of exciting innovative products. These products are now tailor made to suit specific needs of investors. Thus, mutual funds industry has moved from offering a handful of schemes like equity, debt or balanced funds to liquid, money market, sector specific funds, index funds and gilt edged funds. The result is that over the time Indian investors have started shifting towards mutual funds instead of traditional financial avenues.

MUTUAL FUND OPERATIONS

Diversified, Professionally managed basket of securities at a relatively low cost. The flow chart below describes broadly the working of a mutual fund:

Diversification in mutual funds is coming up with many new faces and as a result Indian mutual fund industry has been growing exceptionally well on the back of countrys booming economy but still further mutual funds need to create more lucrative solutions to suit investors expectations.

1.2 INDUSTRY PROFILE

In Financial economics, a financial institution acts as an agent that provides financial services for its clients. Common types of financial institutions include banks, insurance, securities, stock brokerages, and similar businesses. The term financial services became more widespread in the United States partly as a result of the Gramm-Leach-Bliley Financial Services Modernization Act (GLB) of the late 1990s, which enabled different types of companies in the US financial services industry to merge. The Act was passed to spur massive cross sector mergers. Then came the time where many of the leading financial services companies started doing business across sectors. Banks bought specialized securities firms, accounting for 32% of securities industry mergers between 1998 and 2004. Banks also bought insurance agencies and brokers, rather than insurance companies as had been predicted. Insurance companies applied for new thrift charters to open banks instead of buying existing ones. In the USA almost every company which previously described themselves as a bank, insurance company, or brokerage house, now describes themselves in some way as a financial services institution. Say for example companies like Allstate Insurance, Bank of America and E*TRADE have diversifies there business activities have moved that extra mile to offer related financial services. Today, financial customers can select from an extensive array of financial tools and a wide spectrum of financial services distributors.

Following are the categories that fall under the horizon of financial services:

Share of asset of various sectors

Assets of Financial Services Sectors by Industry, 2008-2009

Source: Board of Governors of the Federal Reserve System.

SECTOR
Banking Commercial banking Savings Institutions Credit Unions Total Insurance Life insurance companies All other insurers Total Securities Mutual funds Securities broker/dealers Total Others Finance companies Real estate investment trusts Mortgage companies Asset-backed securities issuers Funding corporations

2008

2009

$8,496.6 1,649.0 654.7 10,800.3

$9,236 1,788 68 11,710

$4,130.3 1,166.5 $5,296.8

$4,380.7 1,265.4 $5,646.1

$7,561.8 1,844.9 9,406.7

$8,322.8 2,144.1 10,466.9

$1,456.3 253.3 32.1 2,413.6 1,286.3

$1,334.6 354.6 32.1 3,059.1 1,488.0

1.3 COMPANY PROFILE

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Value 2 Money Advisors India Pvt Ltd is an established, premier financial and stock broking house with a vision to offer various financial services and products in a way that leads to optimum gains for the entities involved in these transactions Value 2 Money Advisors India Pvt Ltd is similar to Healthcare in the sense that lots of medicines (for example, mutual fund, life insurance, general insurance, equity funds, fixed income products, real estate, investment trusts, structured products and multiple others) are available, but there is one important difference - there are very few competent and trustworthy prescribers. Value 2 Money Advisors India Pvt Ltd is your trusted financial friend Value 2 Money Advisors India Pvt Ltd is India's premier wealth management advisory and your family doctor in the field of personal finance. We have a holistic wealth management approach where we ensure that you reach your important financial goals. Our investment ability to generate good returns at minimal risk is an important and integral part. We are your trusted financial friend always endeavoring to raise the quality of your lives, maintaining a consistent living standard and ensuring empowerment for your future generations too. Group Companies Value 2 Money Advisors India Pvt Ltd (Your Valued Advisors in Wealth Creation) The Voice (Communication for wealth Maximization) The Voice is a financial management call centre. we're dedicated to serving the needs of independent customers focusing on their financial Goals. We are here to provide a stable source of financial planning, Portfolio Management today and tomorrow.

Vision Wealth Management Academy (Learn, Earn & Shine) - The Vision Career Academy Institute, is the premier provider of AMFI and IRDA training and consulting ---- assisting students, auditors, risk managers, accountants, operations and management. 7

We are also the proud sponsor of the Certification provider of AMFI and IRDA Program. We also prepare students who are interested in obtaining an AMFI and IRDA Certification. VTM Info systems (Innovative Technology for E-Investments) Deals with Online Services to the People for their requirements of all the Financial Products & its Services. Value 2 Money Securities (Associated with Greshma Shares & Stocks Limited.) Deals with Share Trading (Online & Offline), Cash, Future & Option, Commodities. Mission Statement: As an independent financial advisory firm, The focus of our organization is to be the most useful, reliable, and efficient provider of financial services to the investor using a wide range of Financial products.

Vision
To create and function as a client-centric wealth management firm To remain unbiased in all aspects of the wealth management process To achieve constant growth in the range and to provide quality services to the clients To evolve a total solution package for the financial needs of the clients To create an environment where the client, employee and the firms interest are aligned To utilise the power of teamwork to function as a family and build a seamless organisation. Technology Savy

Business Philosophy:

Our Business Philosophy is entirely client centric that is to provide personalized and dedicated service on Investment related matters to the Clients while maintaining the highest standards of excellence, ethics and professionalism.

Clients
Our clients are business executives, doctors, architects, engineers, entrepreneurs, non-resident Indians (NRIs), persons of Indian origin (PIOs), returned to India (R2I), high net worth individuals (HNIs), professionals in varied areas, corporates and educational institutes. They are busy, immersed in their respective fields and find little time to devote to their financial planning and wealth enhancement, even though they recognize that it is a very important life area. That's where we step in and our clients have found us to be of immense help.

Strengths
Our Strengths of the Group is the diversity of our businesses. While this diversity is a strength, it is also important that we are consistent in the way we do business from how we treat our customers to how we manage risk. The following statements set out below describe how we do business within our group

We understand our Customers

We know who we are dealing with We treat our customer fairly We balance value to our customers

1.4 PRODUCT PROFILE

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Your one stops Financial Supermarket

We offer you a comprehensive range of financial products and services, which will help you, achieve your life's financial goals all under one roof.

Advisory Products
We have significant experience of advising investors through various market cycles. Our team comprises high quality professionals with experiences spanning assignments in Asset Management companies, private banking and other financial distributors. Our wealth managers are trained to offer Financial Planning and end-to-end personalized investment management services for Wealth Generation, Retirement Planning and Capital Buildup at different stages of life.

Investment Products
We have relationships with all major AMCs in the country and leveraging on our network of wealth managers, and channel partners, distribution of Mutual Funds and Insurance is a key strength of Value 2 Money Advisors Pvt Ltd.

Mutual Funds
Advising retail individuals, HNIs and Corporate Treasuries, we offer a choice of mutual funds spanning all investment objectives and asset classes and have a systematic 4-step advisory process comprising Background Profiling, Risk Profiling, Model Portfolio Creation, Review and Rebalancing. We have a dedicated team of research analysts specializing in mutual funds. Our research output includes daily performance reports, weekly and monthly updates, special focus articles as well as quarterly portfolio updates.

Insurance
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We offer both Life and General Insurance products making us a one-stop shop when it comes to Insurance and risk management solutions. Value 2 Money Advisors Pvt Ltd clients from a variety of backgrounds including retail investors, HNIs and corporates though a systematic approach adopted by our well qualified managers specially trained in insurance advisory.

Portfolio Management
Our Portfolio Management Services is an exclusive offering from Value 2 Money Advisors Pvt Ltd that specializes in providing risk managed investment solutions to discerning High Networth Individuals, Non Resident Indians (NRIs), Overseas Corporate Bodies (OCBs) and Indian Corporates.Our Discretionary Portfolio Management Service gives investors the benefit of unbiased investment advice designed to achieve their financial objectives. In addition to managing client portfolios, we undertake all operational activities such as custody, accounting and reporting making it completely hassle free for the customer.

Corporate Advisory
Value 2 Money Advisors Pvt Ltd services SMEs and Corporates for the Employee Tax Planning.

Tax Filing and Financial Planning to Employees

Essentially an employee welfare initiative by corporates, we assist this initiative by rolling out temporary kiosks at work sites during the tax filing season. Corporate employees get spot advice and assistance in filing and submission of their Income Tax Returns through qualified chartered accounts.

1.5 STATEMENT OF PROBLEM

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This study tells about the perception towards the services provided to mutual fund investors by value 2 money advisors, it helps to analyze the preference of the mutual fund investors regarding their investments.

1.6 NEED OF STUDY

The basic need of this study is to submit a report over the services provided to mutual fund investors by value 2 money advisors pvt. Ltd. To evaluate the needs and requirements of investors of mutual funds through value 2 money. To create awareness over the existing and new schemes that can be offered to investors. To know the perception of investors in understanding the way of investments in mutual funds

1.7 SCOPE OF THE STUDY

This study is to analyze how exactly the customers were served for their investments in mutual funds through value 2 money advisors pvt. Ltd. From the organization point of view this study wil surely help them to improve the quality of service provided to mutual fund investors. Helps the investors to get assistance and guidance for their investments in mutual funds made through value 2 money for earning higher and safer returns.

1.8 OBJECTIVES OF THE STUDY

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PRIMARY OBJECTIVE To find the customer perception about the services provided to mutual fund investors by value to money advisors pvt. Ltd. SECONDARY OBJECTIVE To identify the awareness among the customers in mutual fund investment for value 2 money. To find out the customer perception and enquire about the services offered to investors. To identify the factors which made investors to choose value 2 money?

1.9 LIMITATIONS OF THE STUDY

The sample size was small and so the results may not be really accurate. The period of the study has been very short. The customers who may not have good knowledge about investments may not have disclosed all the facts. This study is limited only to the customers of value 2 money advisors Chennai branch office.

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CHAPTER 2 2.1 REVIEW OF LITERATURE

2.1.1 Title: Active management, fund size, and bond mutual fund returns.

Authors: Philpot, James Hearth, Douglas Rimbey, James N. Schulman, Craig T. Source: Financial Review; May98, Vol. 33 Issue 2, p115, 11p Abstract Conventional wisdom holds that bonds are relatively homogenous investments compared to equities. Consequently, factors that explain variation in returns among bond mutual funds may differ in magnitude from those for equity mutual funds. In this study, a time-series cross-sectional analysis is employed to investigate the relationship between a bond fund's risk-adjusted return and specific fund attributes. Results indicate that a bond fund's past performance does not predict future performance and that bond fund managers are generally ineffective at increasing risk-adjusted returns. However, unlike equity mutual funds, bond mutual funds do appear to enjoy economies of scale.

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2.1.2

Title: Studies Relating To Investment Expectations

Author: Mr. Nidhi Walia SOURCE: An Analysis of Investors Risk Perception towards Mutual Funds Services ABSTRACT Huge literature available on predicting stock market returns has proved that generally investors think high past stock market return predict high future return (De Bond, 1993) even though there is no support for such belief in the data (Fama 1988). Further, evidence by Fisher and Statman (2000) have shown that individual investors stock market return expectations are positively correlated with past returns. An attempt to relate stock expected returns and interrelated attributes can be well traced from Asset pricing Model that explains an assets expected return is positively related to its systematic market risk (Black 1972). The crux of these models is that risky portfolio yields higher return. Although majority of investors who invest in mutual fund themselves are not clear with the objective and constraints of their investment but in addition to this most important critical gap that exist in this process is lack of awareness about presence of risk elements in mutual fund investment. The new marketing philosophy and strategies place special emphasis on recognition of customer needs in an effort to provide high level of quality services (Harrison, 2000). Study by Laukkanen (2006) explains that varied attributes present in a product or service facilitate customers achievement of desired endstate and the indicative facts of study show that electronic services create value for customers in service consumption.

15

2.1.3

JACK L. TREYNOR He suggested a new predictor of mutual fund performance, one that

differs from virtually all those used previously by incorporating the volatility of a funds return in a simple yet meaningful manner. Mutual funds provide further support for market inefficiency by finding evidence of repeated winners among fund managers and positive performance persistence.

CHAPTER-3
16

RESEARCH METHODOLOGY
3.1. RESEARCH DESIGN The research design that was adopted for this study is descriptive in nature. The main characteristic of this method is that the researcher has no control over the variables; he can only report what has happened or what is happening. The data and information generated through this descriptive design can provide the decision makers with evidence that can lead to course of action. DATA COLLECTION METHOD PRIMARY DATA: The main aim of this study is to find out the customers perception towards the service provided to mutual fund investors in relation to VALUE 2 MONEY ADVISORS PVT. LTD. For this purpose the data used are primary data which is collected through questionnaire. SAMPLING TECHNIQUES The concept of sampling also plays an important role in the process of identifying; developing and understanding new market constructs that need to be investigated by the researcher. Here non-probability sampling was employed. However the type of non-probability sampling used is convenience sampling where in the samples are drawn at the convenience of the researcher. Meaning of Convenience Sampling The respondents constituting the sample are selected from the universe on the basis of ease of access. It is constituted according to the convenience of the researcher.

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SAMPLE SIZE The data were collected from the customers of VALUE 2 MONEY ADVISORS. A sample size of 50 is used for this study. The information is obtained through well designed questionnaire. 3.2. STATISTICAL TOOLS A. PERCENTAGE ANALYSIS Here the simple percentage analysis is used for calculating the percentage of satisfaction level in the total respondents.

Formula: Percentage = number of respondent*100 Total number of population

B. WEIGHTED AVERAGE The weighted average is obtained dividing the weighted totals by the sum of weights, let X1, X2Xn occur with weights W1, W2.Wn then

Weighted Average method = WiXi / Wi

CHAPTER 4
18

DATA ANALYSIS AND INTERPRETATIONS PERCENTAGE ANALYSIS

TABLE NO: 4.1 GENDERS CLASSIFICATION GENDER MALE FEMALE TOTAL NUMBER OF RESPONDENTS 31 19 50 PERCENTAGE 62 38 100

CHART NO: 4.1 GENDERS OF RESPONDENTS

INFERENCE: From the above table it is evident that about 62 percent of the respondents are male and about 38 percent of the respondents female.

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TABLE NO: 4.2 MARITAL STATUS OF RESPONDENTS S.NO 1 2 MARITAL STATUS MARRIED SINGLE TOTAL NUMBER OF RESPONDENTS 33 17 50 PERCENTAGE 66 34 100

CHART NO: 4.2 MARITAL STATUS OF RESPONDENTS

INFERENCE: From the above table it is evident that about 66 percent of the respondents are married and about 34 percent of the respondents are single.

TABLE NO: 4.3 AGE OF RESPONDENTS

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S.NO 1 2 3 4 5

AGE BELOW 25 26 TO 35 36 TO 45 46 TO 60 60 ABOVE TOTAL

NUMBER OF RESPONDENTS 8 12 13 8 9 50

PERCENTAGE 16 24 26 16 18 100

CHART NO: 4.3 AGE OF RESPONDENTS

INFERENCE: From the above table it is evident that about 16% of the respondents are below the age of 25, 24 % are between the age group of 26 to 35, 26 % are between 36 to 45, 16% are between 46 to 60, and 18% are between the age group of above 60.

TABLE NO: 4.4 MONTHLY SALARIES OF RESPONDENTS 21

SALARY BELOW 10000 10000 TO 15000 15000 TO 20000 20000 TO 25000 ABOVE 25000 TOTAL

NUMBER OF RESPONDENTS 6 11 13 10 10 50

PERCENTAGE 12 22 26 20 20 100

CHART NO: 4.4 MONTHLY SALARIES OF RESPONDENTS

INFERENCE: The above table it reveals that 12% of the respondents are between the salary of below 10000, 22% of the respondents are between 10000 to 15000, 26% of the respondents are between 15000 to 20000, 20% are between 20000 to 25000 and 20% of the e respondents are above 25000.

TABLE NO: 4.5 OCCUPATIONS OF THE RESPONDENTS 22

OCCUPATION SELF EMPLOYED PRIVATE EMPLOYEE GOVERNMENT EMPLOYEE BUSINESS OTHERS TOTAL

NUMBER OF RESPONDENTS 10 11 8 12 9 50

PERCENTAGE 20 22 16 24 18 100

CHART NO: 4.5 OCCUPATIONS OF THE RESPONDENTS

INFERENCE: The above table states that 20% of the respondents are self employed,22% are private employee,16% are govt.employee,24% of are business,18% are of other occupation.

TABLE NO: 4.6 MODE OF KNOWLEDGE ABOUT VALUE 2 MONEY. 23

MODE OF KNOWLEDGE NEWS PAPER MEDIA FRIENDS RELATIVES OTHERS TOTAL

NUMBER OF RESPONDANTS 7 5 17 12 9 50

PERCENTAGE 14 10 34 24 18 100

CHART NO: 4.6 MODE OF KNOWLEDGE ABOUT VALUE 2 MONEY.

INFERENCE: From the above table its evident that 14% of the respondents know about the concern through newspaper, 10% by media, 34% by friends, 24% by relatives and 18 % by others.

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TABLE NO: 4.7 TIME PERIOD OF BEING A CUSTOMER FOR VALUE 2 MONEY. TIME PERIOD NEW CUSTOMER 6 MONTHS 1 YEAR 2 YEARS 5 YEARS TOTAL NUMBER OF RESPONDANTS 5 7 12 11 15 50 PERCENTAGE 10 14 24 22 30 100

CHART NO: 4.7 TIME PERIOD OF BEING A CUSTOMER FOR VALUE 2 MONEY.

INFERENCE: From the above table its evident that 10% of the respondents are new customers, 14 % are customers of 6 months, 24% of respondents are customers of 1 year, 22 % are of 2 year and 30% of the respondents are the customers for 5years for value 2 money advisors pvt. Ltd.

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TABLE NO: 4.8 SERVICES PREFERRED BY CUSTOMER FROM VALUE 2 MONEY. SERVICES MUTUAL FUND EQUITIES INSURANCE TAX FILINGS ALL THE ABOVE TOTAL NUMBER OF RESPONDANTS 13 9 7 12 9 50 PERCENTAGE 26 18 14 24 18 100

CHART NO: 4.8 SERVICES PREFERRED BY CUSTOMER FROM VALUE 2 MONEY.

INFERENCE: The above table states that 26% of the customers prefer mutual funds,18 % prefer equities,14% prefer insurance,24% prefer tax filings, and 18 % of the customers prefer all the above service offered. TABLE NO: 4.9 CUSTOMER PERCEPTIONS ABOUT INVESTMENTS 26

PREDICTION ON INVESTMENTS MUTUAL FUND EQUITIES INSURANCE BANKING OTHERS TOTAL

NUMBER OF RESPONDANTS 13 11 9 12 5 50

PERCENTAGE 26 22 18 24 10 100

CHART NO: 4.9 CUSTOMER PERCEPTIONS ABOUT INVESTMENTS

INFERENCE: From the above table its evident that 26% of customer predicts mutual funds, 22% of the customer prefer equities, 18% of the customers prefer insurance,24 & prefer bankings,10% of the customer other type of investments.

TABLE NO: 4.10 CUSTOMER PREFERENCE ABOUT MUTUAL FUND AMCS 27

MUTUAL FUND AMC'S RELIANCE HDFC UTI FRANKLIN ICICI SBI OTHERS TOTAL

NUMBER OF RESPONDANTS 10 6 4 9 6 7 8 50

PERCENTAGE 20 12 8 18 12 14 16 100

CHART NO: 4.10 CUSTOMER PREFERENCE ABOUT MUTUAL FUND AMCS

INFERENCE: The above table shows that 20% of the customers prefer Reliance to invest in mutual funds, 12% prefer HDFC, 8% prefer UTI, 18% prefer Franklin,12% prefer ICICI, 14% prefer SBI and 16%of customers prefer Other Amcs.

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TABLE

NO:

4.11

CUSTOMER

PREFERENCES

FOR

CHOOSING

PARTICULAR MUTUAL FUND MUTUAL FUND AMC'S RELIABILITY RETURNS PAST PERFORMANCE SERVICE TOTAL NUMBER OF RESPONDANTS 14 16 11 9 50 PERCENTAGE 28 32 22 18 100

CHART

NO:

4.11

CUSTOMER

PREFERENCES

FOR

CHOOSING

PARTICULAR MUTUAL FUND

INFERENCE: The above table states that 28% of the customers choose reliability for choosing a particular mutual fund amc, 32% for returns, 22% for past performance, and 18 % for service.

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TABLE

NO:

4.12

INCOMES

SAVED

THROUGH

MUTUAL

FUND

INVESTMENTS INCOME SAVED UP TO 5% 5 TO 10% 10 TO 15% ABOVE 15% TOTAL NUMBER OF RESPONDANTS 16 13 12 9 50 PERCENTAGE 32 26 24 18 100

CHART NO: 4.12

INFERENCE: From the above table its evident that 32% of the e customers saves up to 5% of his income, 25% saves 5 to 10%, 24% saves 10 to 15% 18% of customers saves 15% of their income through mutual funds.

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TABLE NO: 4.13 REASONS TO INVEST IN MUTUAL FUNDS REASONS ATTRACTIVE RETURNS SAFETY LIQUIDITY TAX SAVING TOTAL CHART 4.13 NUMBER OF RESPONDANTS 14 13 12 11 50 PERCENTAGE 28 26 24 22 100

INFERENCE: From the above table its evident that 28% of customers invest for attractive returns, 26% for safety, 24% for liquidity, and 22% for tax saving on their investments.

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TABLE NO: 4.14 AWARENESS AND KNOWLEDGE OF CUSTOMER ABOUT MUTUAL FUNDS AWARNESS AND KNOWLEDGE VERY GOOD GOOD AVERAGE POOR VERY POOR TOTAL NUMBER OF RESPONDANTS 10 13 12 9 6 50 PERCENTAGE 20 26 24 18 12 100

CHART NO: 4.14

INFERENCE: From the above table its shows that 20% of the customers are very good, 26% are good, 24 % are average, 18% are poor, 12% are very poor regarding their awareness and knowledge about mutual funds.

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TABLE NO: 4.15 TIME LIMITS OF INVESTMENTS INVESTMENTS TIME LIMIT UP TO 1 YR 1 - 3 YR 3 - 5 YR ABOVE 5 YR TOTAL NUMBER OF RESPONDANTS 10 13 12 15 50 PERCENTAGE 20 26 24 30 100

CHART NO: 4.15

INFERENCE: From the above table its evident that 20% of the customers invest up to 1 yr, 26% up to 1 3 yr, 24 % up to 3 5 yr, and 30% of customers invest for a period of above 5 yr.

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TABLENO: 4.16 EXPECTED RETURN ON INVESTMENT EXPECTED RETURN 5 TO 10 % 10 TO 15% 15 TO 20% ABOVE 20% TOTAL NUMBER OF RESPONDANTS 11 16 14 9 50 PERCENTAGE 22 32 28 18 100

CHART NO: 4.16

INFERENCE: From the above table its inferred that 22% of customer expects 5 to 10% returns, 32% are 10 to 15% returns, 28% are 15 to 20% returns, and 18% expects above 20% of returns for their investments.

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TABLE NO: 4.17.1 ADVISORS ABILITY TO IDENTIFY AND FULFILL CUSTOMER NEEDS ADVISORS ABILITY TO IDENTIFY FULFILLNEEDS YES NO TOTAL NUMBER OF RESPONDANT 44 6 50 PERCENTAGE 88 12 100

CHART NO: 4.17.1

INFERENCE: From the above table its evident that 88% of customer needs are identified and fulfilled by advisors of value 2 money, 12%are not identified and fulfilled.

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TABLE NO: 4.17.2 FACTOR WHICH SATISFIES CUSTOMER NEEDS NUMBER OF RESPONDANTS 11 12 9 8 10 50

FACTORS ADVISORS COST AND QUALITY TIMELY AND TRUSTWORTHY INFORMATION UPDATING MARKET CHANGES GUIDIDNG FOR BETTER INVESTMENT PLANS TOTAL CHART NO: 4.17.2

PERCENTAGE 22 24 18 16 20 100

INFERENCE: From the above table its evident that 22% of customers are satisfied with the advisors, 24% with the cost and quality, 18 % timely and trust worthy information, 16% with updating market changes, 20% with guiding for better investments.

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TABLE NO: 4.18.1 OTHER ADVISORS USED BY RESPONDENTS NUMBER OF RESPONDANT 21 29 50

OTHER ADVISORS YES NO TOTAL

PERCENTAGE 42 58 100

CHART NO: 4.18.1 OTHER ADVISORS USED BY RESPONDENTS

INFERENCE:From the above table its inferred that 58 % of have not used other advisors and 42% of respondants have used other financial advisors before value 2 money advisors.

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TABLE NO: 4.18.2 SATISFACTION LEVEL OF USING OTHER ADVISORS NUMBER OF RESPONDANTS 8 9 11 13 9 50

SATISFACTION LEVEL HIGHLY STISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSTISFIED TOTAL CHART NO: 4.18.2

PERCENTAGE 16 18 22 26 18 100

INFERENCE: From the above table its referred that 16% of respondent were highly satisfied, 18% satisfied, 22% were neutral, 26% were dissatisfied, and 18% were highly dissatisfied.

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TABLE NO: 4.19.1 RECOMEND VALUE 2 MONEY TO OTHERS WILL YOU RECOMEND VALUE 2 MONEY TO OTHERS YES NO TOTAL NUMBER OF RESPONDANT 46 4 50

PERCENTAGE 92 8 100

CHART 4.19.1

INFERENCE:92% of respondent recommend value 2 money to others.

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TABLE NO: 4.19.2 THE PERSONS WHOM THE RESPONDENTS MAY RECOMMEND PARTICULARS FRIENDS RELATIVES OTHERS TOTAL NUMBER OF RESPONDANTS 26 18 6 50 PERCENTAGE 52 36 12 100

CHART NO: RECOMMEND

4.19.2 THE PERSONS WHOM THE RESPONDENTS MAY

INFERENCE : From the above table its referred that 52% of respondent will refer their friends and 36% to their relatives and 12% to others.

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TABLE NO:4.20 WEIGHTED AVERAGE METHOD FOR REASONS TO INVEST TO MUTUAL FUNDS NUMBER OF RESPONDANTS 14 13 12 11 50 WEIGHT ASSINGNED 4 3 2 1 10 WEIGHTED AVERAGE 56 39 24 11 130

REASONS ATTRACTIVE RETURNS SAFETY LIQUIDITY TAX SAVING TOTAL

Weighted moving average = 130/50 = 2.6 =3 INFERENCE: Weighted average method resulted 3 which shows that respondents are investing in mutual funds because of attractive returns.

41

TABLE NO: 4.21 WEIGHTED AVERAGE METHOD FOR THE PERSONS THE RESPONDENTS MAY RECOMMEND NUMBER OF PARTICULARS RESPONDANTS FRIENDS 26 RELATIVES 18 OTHERS 6 TOTAL 50 WEIGHT ASSIGNED 3 2 1 6 WEIGHTED AVERAGE
78 36 6 120

Weighted moving average = 120/50 = 2.4 INFERENCE: Weighted average method resulted 2.4 which shows that respondents May refer their friends to invest in mutual funds

CHAPTER 5 FINDINGS, SUGGESTIONS AND CONCLUSIONS

42

5.1 FINDINGS
This study reveals that about 62 % of the respondents are male and about 38 % of the respondents female. This study reveals that about 66% of the respondents are married and about 34 % of the respondents are single. 16% of the respondents are below the age of 25, 24 % are between the age group of 26 to 35, 26 % are between 36 to 45, 16% are between 46 to 60, and 18% are between the age group of above 60. 12% of the respondents are between the salary of below 10000, 22% of the respondents are between 10000 to 15000, 26% of the respondents are between 15000 to 20000, 20% are between 20000 to 25000 and 20% of the e respondents are above 25000. 20% of the respondents are self employed,22% are private employee,16% are govt.employee,24% of are business,18% are of other occupation. 14% of the respondents know about the concern through newspaper, 10% by media, 34% by friends, 24% by relatives and 18 % by others. 10% of the respondents are new customers, 14 % are customers of 6 months, 24% of respondents are customers of 1 year, 22 % are of 2 year and 30% of the respondents are the customers for 5years for value 2 money advisors pvt. Ltd. 26% of the customers prefer mutual funds,18 % prefer equities,14% prefer insurance,24% prefer tax filings, and 18 % of the customers prefer all the above service offered. 26% of customer predicts mutual funds, 22% of the customer prefer equities, 18% of the customers prefer insurance,24 & prefer bankings,10% of the customer other type of investments. 20% of the customers prefer Reliance to invest in mutual funds, 12% prefer HDFC, 8% prefer UTI, 18% prefer Franklin,12% prefer ICICI, 14% prefer SBI and 16%of customers prefer Other Amcs. 28% of the customers choose reliability for choosing a particular mutual fund amc, 32% for returns, 22% for past performance, and 18 % for service. 43

32% of the e customers saves up to 5% of his income, 25% saves 5 to 10%, 24% saves 10 to 15% 18% of customers saves 15% of their income through mutual funds.

28% of customers invest for attractive returns, 26% for safety, 24% for liquidity, and 22% for tax saving on their investments. 20% of the customers are very good, 26% are good, 24 % are average, 18% are poor, and 12% are very poor regarding their awareness and knowledge about mutual funds.

20% of the customers invest up to 1 yr, 26% up to 1 3 yr, 24 % up to 3 5 yr, and 30% of customers invest for a period of above 5 yr. 22% of customer expects 5 to 10% returns, 32% are 10 to 15% returns, 28% are 15 to 20% returns, and 18% expects above 20% of returns for their investments. 88% of customer needs are identified and fulfilled by advisors of value 2 money, 12%are not identified and fulfilled. 22% of customers are satisfied with the advisors, 24% with the cost and quality, 18 % timely and trust worthy information, 16% with updating market changes, 20% with guiding for better investments.

58 % of have not used other advisors and 42% of respondants have used other financial advisors before value 2 money advisors. 16% of respondent were highly satisfied, 18% satisfied, 22% were neutral, 26% were dissatisfied, and 18% were highly dissatisfied. 92% of respondent recommend value 2 money to others. 52% of respondent will refer their friends and 36% to their relatives and 12% to others. Weighted average method resulted 3 which shows that respondents are investing in mutual funds because of attractive returns. and 2.4 which shows that respondents may refer their friends to invest in mutual funds

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5.2 SUGGESTIONS

Majority of the customers (88%) agree that the advisor of value 2 money clearly identify the need and fulfills it in a good manner when compared to others. Hence they should provide the service to remain as a competitive service provider in financial service industry.

Should take steps to attract more number of customers and to highly satisfy existing customers.

Can also open branches in the city/town so that they can attract new customers.

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5.3 CONCLUSION
As the study clearly identifies that majority of the customers of value 2 money are satisfied with the services provided and will remain as a loyal customer for this concern. Its hoped that the survey findings will have some managerial implications on the services provided to mutual fund investors. Customer perception towards services provided to mutual fund investors by value 2 money advisors represent that mutual funds as the most appropriate investment opportunity for most investors. As financial markets become more sophisticated and complex, investors need a financial intermediary who provides the required knowledge and professional expertise on successful investing. As the investor always try to maximize the returns and minimize the risk. Mutual fund satisfies these requirements by providing attractive returns with affordable risks.

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