COMPARATIVE ANALYSIS OF MUTUAL FUNDS

MUTUAL FUND OPERATION FLOW CHART

TYPES OF MUTUAL FUNDS SCHEMES  According to Maturity Period Open Ended  Close Ended  According to Investment Objective  Growth/Equity Oriented Scheme  Income / Debt Oriented Schemes  Balanced Scheme  .

INSTRUMENTS OF INVESTMENT EQUITY  CONVERTIBLE DEBENTURES  FIXED INCOME SECURITIES  SHORT TERM SECURITIES  .

Facilities Provided by Mutual Funds to the Investors       Systematic Investment Plan (SIP) Systematic Withdrawal Plan (SWP) Systematic Transfer Plan (STP) Dividend Transfer Plan (DTP) Auto debit facility and Electronic Clearing Service (ECS) Switching .

INTRODUCTION TO THE ORGANIZATION The image cannot be displayed. Your computer may not have enough memory to open the image. . or the image may have been corrupted. you may have to delete the image and then insert it again. If the red x still appears. and then open the file again. Restart your computer.

 SSKI group ventured into institutional broking and corporate finance 18 years ago.  Established in 1922  Share khan's ground network includes over 700+ Share shops in 130+ cities in India.  .SHAREKHAN BACKGROUND Retail broking arm of the Mumbai based SSKI group.

 . Alpha.  To evaluate the schemes on the basis of risk and return by calculating Beta. Standard Deviation.OBJECTIVES OF THE STUDY The present study focuses on the comparative analysis of mutual funds schemes performance.

RESEARCH METHEDOLOGY  TYPE OF RESEARCH -. In Analytical Research.Descriptive cum Analytical research has been used because the researcher has no control over the variables. He can only report what has happened or what is happening. . the researcher has to use facts and information already available and make an analysis on the basis of these only. .

DATA COLLECTION  The data has been collected from the secondary sources i. .Offer Documents NAVs of selected schemes and closing values of S&P CNX 500 have been noted from www.Fact sheets -.amfindia.e.Annual Reports -.com and Mutual Fund House¶s Personal Sites. -.

. Reliance.SAMPLE & SAMPLING TECHNIQUE   SAMPLE SIZE: 7 Schemes of 4 Mutual Fund SIZE: Companies namely Franklin Templeton. HDFC and ICICI Prudential has been selected. SAMPLING TECHNIQUE: In the present study Convenience Sampling technique has been used.

DATA ANALYSIS AND FINDINGS The following parameters have been chosen for comparison:  Fund Objective  Fund Style  Fund Details  History  Portfolio Characteristics  Sectoral Allocation  Portfolio Concentration  Performance  Analysis .

Following Test¶s have been applied: BETA  ALPHA  STANDARD DEVIATION  .

than the stock is less volatile. If Beta is greater than 1. It compares a mutual fund¶s volatility with that of a benchmark. it means the stock is more volatile. If Beta is less than 1.BETA    A Beta is a measure of risk. it means that the returns in the stock are highly correlated to the benchmark index. . If the beta of the stock is 1.

88 0.94 0.COMPARATIVE ANALYSIS (BETA)  LARGE CAP FUND 0.86 0.92 0.96 0.9 0.84 Franklin HDFC PRU ICICI Reliance India TOP 200 Growth Vision Bluechip BETA .

92 0.84 Franklin Prima HDFC Capital Builder Reliance Growth BETA .96 0.86 0.94 0.98 0.9 0.88 0. MID CAP FUND 1 0.

ALPHA Alpha is a financial term describing that part of an investor¶s return that is due to the skills of the investment manager. as distinct from the return of the market as a whole. y i < rf: the manager or firm has destroyed rf: value y i = rf: the manager or firm has neither created rf: nor destroyed value y i > rf: the manager or firm has created value rf:  .

 LARGE CAP FUNDS 5 4.5 1 0.5 4 3.5 2 1.5 0 Franklin HDFC PRU ICICI Reliance India TOP 200 Growth Vision Bluechip ALPHA .5 3 2.

 MID CAP FUNDS 6 5 4 3 2 1 0 -1 -2 -3 Franklin Prima HDFC Capital Builder Reliance Growth ALPHA .

 It tells us how much the values have deviated from the mean of the values.STANDARD DEVIATION The total risk of a given fund is measured in terms of standard deviation.  .

5 Franklin HDFC TOP PRU ICICI Reliance India 200 Growth Vision Bluechip STANDARD DEVIATION .5 22 21.5 24 23.5 23 22.5 25 24.STANDARD DEVIATION  LARGE CAP FUNDS 26 25.

 MID CAP FUNDS 29 28 27 26 25 24 23 22 Franklin Prima HDFC Reliance Capital Growth Builder STANDARD DEVIATION .

buyhold . but stockwith a careful eye on risk control.Franklin India Blue-chip fund is one of the biggest Bluediversified equity funds and is one of the most preferred large cap funds.One of the astonishing features of the fund¶s investment style is the buy-and hold-strategy.  FRANKLIN TEMPLETON² TEMPLETON² . -The fund has a great exposure to banking and software sector stocks. .FINDINGS ICICI PRU-PRU--This fund has an aggressive stock-picking style.

 . but quite a consistent one -This fund is a good bet for those wanting to invest in mid-caps but not willing to take too midmuch of a risk.  HDFC -The fund's exposure to large-cap stocks is a largecushion in the falling markets. It has not been a top performer as some of the other mid-cap midfunds.RELIANCE -High returns can be expected from this fund but its aggressiveness does not make it apt for conservative investors.

Money Invested in Mutual Funds is safe. they are meant for investors committed to patient investing. mutual funds are not recommended.CONCLUSIONS     Best option consider by the investors when it comes to investing their money in Mutual Funds. . Investors who are looking for very high instant returns. This industry is growing at a good pace.

e.  Fundamental security analysis should also be done i.RECOMMENDATIONS Following suggestions can be made so that the mutual fund houses can design their schemes in such a manner that it can improve their performance as compared to other AMC¶s.  A thorough analysis should be done while selecting the securities for a particular portfolio. the relationship between a security¶s return and economy wide events. .

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