Final Project of Perseption

SHIVAJI UNIVERSITY, KOLHAPUR
M.B.A. PROGRAMME
A PROJECT REPORT ON ROLE OF MUTUAL FUND ADVISOR IN NJ INDIA INVEST
With Special Reference To NJ INDIA INVEST PVT. LTD. Submitted To SHIVAJI UNIVERSITY, KOLHAPUR For An Award Degree of Post Graduate Degree Of MASTER OF BUSINESS ADMINISTRATION (MBA)
BY MASTER SACHIN SUGANCHAND BAHETI Under The Guidance Of CHIRAG DESAI
DKTE'S TEXTILE AND ENGINEERING INSTITUTE, ICHALKARANJI 416115 (DEPARTMENT OF MANAGEMENT STUDIES) FOR THE YEAR 2011-2013
D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES
Page 1
M.B.A. PROGRAMME
CERTIFICATE OF THE GUIDE

This is to certify that the Project Work titled Role Of Mutual Fund Advisor In NJ India Invest is a bonafide work of Sachin Suganchand Baheti carried out in partial fulfillment for the award of degree of
MBA Marketing and Finance of Shivaji University under my guidance. This project work is original and not submitted earlier for the award of degree / diploma or associate ship of any other University / Institution. Signature of the Guide __________________________ Name and Official Address of the Guide ___________________________________ Guides Academic Qualification _________________________________ Designation and Experience ____________________________ _ Place: Date:
Page 2
M.B.A. PROGRAMME
ACKNOWLEDGEMENT
I would like to Express my deep feeling of gratitude to the under mentioned Officials for their Assistance, external guidance, Inspiration before and through the Project (SIP). MY Special Thanks to Mr. Chirag Desai who is the branch manager and also Mr. Yogesh Joshi , Mr. Yogesh Gohil , Mr. Ravi Kachiwala who is the unit manager, for their external guidance.
They show me a proper way to talk on for providing help and
guidance. Through the SIP, They have always been the source of encouragement. He has genuinely guided us in all the aspects of the project with his abundance of experience and logical ideas.
I would like to thanks to MR. Sarfaraz Patel who is Zonal
Manager and Mr. Manoj Patel who is Regional Manager at NJ South Gujarat. I am really gratitude about their precious contribution and guidance in project of my SIP. They have made me clear about the any confusion related to research study. Working on project is tough, its need hard work and concentration,
what made it possible is the support. I received it from those who around me .I would like to say thanks to all the Senior Executives of Surat Branch of marketing departmental studies. They all treated me as their team member and that is very precious moments which I have spent with them during the training.
Page 3
M.B.A. PROGRAMME
I am thankful to all faculties of my college. They were providing
the accurate information about the training guidelines and project preparation. My special thanks to Mr. Nitin Mali All Faculties and my internal guide. They have reduced my unfruitful efforts to complete the project work. I am thankful to my parents who are always source of inspiration
for my life. I am thankful to my Classmates, friends and also those people who have helped me directly to completion of my Summer Internship Project.
Page 4
M.B.A. PROGRAMME
DECLARATION
I, Mr. Sachin Suganchand Baheti hereby declare that the summer project report titled, Role of Mutual Fund Advisors In NJ India Invest is an original piece of work done by me and submitted to the Shivaji University in fulfillment of requirements for the award of Master of Business Administration under the supervision of Mr. Chirag Desai , Branch manager at Surat in N.J.INDIA INVEST PVT. LTD. For the fulfillment of the award of post graduate program in management and whatever information has been taken from any sources has been duly acknowledged. I also declare that the data received from the survey has not been shared with any one and is only used for the purpose of preparing this report.
Date: Student
Signature of the
________________________
Page 5
M.B.A. PROGRAMME
CHAPTERS NUMBER
SUBJECTS
PAGES NUMBERS
CH-1 1.1 1.2 CH-2 2.1 2.2 2.3 2.4 2.5 2.6 2.7 2.8 2.9 Ch-3 3.1 ... 3.2 3.3 3.4 3.5 3.6 ... 3.7 3.8 3.9 CH-4 4.1 4.2 4.3 4.4 4.5 ... 4.6 CH-5 CH-6 6.1 . . 6.2 6.3 . ....
INTRODUCTION About Topics Research objective & problem COMPANY PROFILE About Company Objective of NJ India invest Products & services Division of NJ India invest Achievement Thinking at NJ India invest Vision & Mission statement AMC with NJ India invest SWOT Analysis INDUSTRY PROFILE Introduction of mutual funds History of mutual funds in India Phases of mutual funds in India Risk associated with mutual fund What is mutual fund? Structure of mutual funds Types of mutual funds Advantages of mutual funds Frequently used terms in mutual funds RESEARCH METHODOLGY Research Problem Research Design Source of Data Collection Sampling Sample Study Limitation of Study DATA ANALYSIS AND INTERPRETATION FINDING, SUGGESTION AND CONCLUSION Finding Suggestion Conclusion BIBLIOGRAPHY ANNEXURE
Page 6
M.B.A. PROGRAMME
1.1) 1.2)
ABOUT TOPICS RESEARCH OBJECTIVE & PROBLEM
Page 7
M.B.A. PROGRAMME
INTRODUCTION OF PROJECT:
A Mutual Fund is well financial product. It is contributed to the India growth and also helped families for the investments. Many people did not know about the Mutual Fund out of 10 only 3 people know about that. If once people are aware of mutual fund Investment opportunities it may be chances that many investors agree with mutual fund.
It is very inspirable for me to study on Role of Mutual Fund, It is main important Product for investing our money. We all aware about the world recession period, only India & China were Growing economy. India didnt affected more in world recession because saving in our Blood.
The question of whether or not to work with a Mutual Fund advisor is very personal. For some people, dealing with financial issues is unpleasant and requires a great degree of undesired discipline. For these people, the real question will be how to choose the right advisor, rather than whether or not to work with one.
A Mutual fund's advisor has the primary responsibility for the investment performance of the fund. This responsibility may be shared with another investment advisory firm, with each advisor focusing on different asset types in a portfolio.
For fund investors, judging the quality of a mutual fund's portfolio management is one of the most important considerations for investing in a fund. A Mutual Fund advisor help to investor to take decision, where they can get good return from investment.
Page 8
M.B.A. PROGRAMME
RESEARCH PROBLEM AND OBJECTIVES:

RESEARCH PROBLEM:
1. From last 4-6 month, more fluctuation creates in equity market, as a result company facing the problem of sales decline in mutual fund. 2. NJ Funds wants to know the current situation of Mutual Fund advisors. By this way it can able to provide services to them. 3. Company wants to analysis that what was the Mutual Fund advisor Perception about NJ Funds. 4. NJ want to know that by research, how to invite Mutual fund advisor for business Opportunity programmed(BOP) and NJ wants to know that what the reason for not getting proper outcome from the BOP . 5. Company facing problem to find out potential mutual fund advisors among Insurance advisors.
RESEARCH OBJECTIVES:
1. To find out the experience of Mutual Fund advisor with NJ. 2. To find out the duty and responsibility of Mutual Fund advisor and how they work with NJ. 3. Mutual fund advisors place greater importance on performance relative to other plans with similar fund style, fund risk, or substitute plans and how they show the benefits of clients and how the advisor helps to select the proper mutual fund plan to clients. 4. To find out the way of handle the clients and maintain satisfaction with the commitment of their clients 5. The another objective of this project is concerned with getting the opinion of people regarding Mutual Fund and what they feel about availing the service of Mutual Fund advisor.
Page 9
M.B.A. PROGRAMME
2.1) 2.2) 2.3) 2.4) 2.5) 2.6) 2.7) 2.8) 2.9)
ABOUT COMPANY OBJECTIVE OF NJ INDIA INVEST PRODUCTS & SERVICES DIVISIONS OF NJ INDIA INVEST ACHIEVEMENT THINKING AT NJ INDIA INVEST VISION & MISSION STATEMENT AMC WITH NJ INDIA INVEST SWOT ANALYSIS
Page 10
M.B.A. PROGRAMME
NJ INDIA INVEST PVT. LTD.
The word NJ stands, N for Neeraj Choksi and J for Jignesh Desai the founder directors of NJ India Invest. Seeing the growing scope of the financial service sector these two dynamic young men, after completing their education, started their career with this sector. Both of them decided to jump into the same field and came out with the dynamic concept of NJ Capital stock, which is known as NJ India Invest now This business was started in the year 1994; it was the period when private companies were entering the field of financial services. This was the time when NJ India Invest evolved as a client focused need based investment advisory firm. NJ has achieved expertise in need based investment of clients. At NJ we regard Mutual Fund as one of the best investment avenues available to satisfy any kind of investment need. NJ has a very well trained men power to meet the need of the clients and market. With very well qualified work force we have gained expertise in analyzing Mutual Fund schemes and we even have achieved expertise in carrying out In-depth study on various parameters of these different Mutual Fund schemes. NJ India Invest is a company, which is evolved in this business from past eleven years as a client focused need based investment advisory firm. It has developed its own IT industry known as Fin logic India Pvt. Ltd. i.e. Technology to support clients as well as its employees in their daily routine work. The company has its site named www.njindiainvest.com which provides a valuable support to clients.
Page 11
M.B.A. PROGRAMME
OBJECTIVES OF NJ INDIA INVEST

1. The first & main objective of the firm is to provide financial services to investors. 2. To provide a need based investment advisory services to the clients for investing their surplus at a right place. 3. To create awareness of mutual fund among the people & to prove that the mutual is that the mutual fund is one of the best investment avenues available to satisfy any kind of investment need. 4. To analyze the various schemes of mutual fund & an in-depth study on various parameters is carried out on a regular basis 5. To manage clients investment to fulfill their needs from cap-a-pie.
PRODUCTS
Mutual fund Fixed deposits Infrastructure Bonds Approved security for Charitable Trust RBI Relief Bonds Real Assets Portfolio Investment Management The above are the core investment in which we deal and where we have developed our competency. But mutual funds are where the eyes of NJ are focused the most.
Page 12
M.B.A. PROGRAMME
SERVICE PROVIDED TO VALUABLE CLIENTS AND AGENTS

The weekly performance sheet (it covers performance of leading mutual fund schemes) The monthly fund fact sheet (it covers comprehensive analysis of various mutual fund) Various subscription services via E-mail Dedicated portfolio planning and restructuring on demand Sharing relevant information related to the Indian investment world. Varied services through NJ funds network for partners.
Over all we also provide net-based services to our clients and agents. Our E-services are provided by a comprehensive website www.njindiainvest.com. It covers detailed information about the Mutual Fund industry; it passes various financial planner to satisfy investment goals like retirement planning, childs marriage planning etc. it also posses various analytical tools to measure the performance of the Mutual Funds schemes like Return calculators, SIP return calculators, and many others. There is a separate desk for the clients to get their portfolio information on fingertips.
The partners of NJ get valuable services from The Client Desk @ NJ India invest. Com. From which they get following services: Transaction summary report (Mutual funds, fixed deposits, RBI bonds & other) Portfolio valuation report Portfolio Performance report Profit and loss a/c (FY wise) Consolidated sector & stock profile for equity investment through mutual funds
Page 13
M.B.A. PROGRAMME
Consolidated rating and script profile across debt funds through mutual funds. Consolidated assets allocation report across various assets Alert processing facility across different parameters
DIVISIONS OF NJ INDIA INVEST:

NJ INDIA INVEST
NJ Fundz Network, started in 2003, is a dedicated channel for providing independent financial advisors or IFA's with a complete business platform for the strengthening and development of their advisory practice. NJ offers advisors under its network will all the products; support and services that enables them add considerable value to their business, emerge as a 'new age professional financial advisor' and compete confidently in the industry.
Page 14
M.B.A. PROGRAMME
Established as a distinct entity, NJ Wealth Advisors Pvt. Ltd. seeks to offer comprehensive financial planning and portfolio advisory services to premium clients. NJ Wealth Advisors offers its clients with quality, unbiased, needbased advisory services & investment solutions.
NJ Wealth Advisors is a provider of comprehensive investment advisory and product distribution services. With a strong lineage, NJ Wealth Advisors possesses rich experience and strong domain understanding in delivering quality investment advisory services to its clients.
This division provides the training to their employee regarding the how to selling the products and services in the market and also give the current scenario about the position about the mutual fund. This sporadic growth in terms of need of performers in financial advisory services has lead to the crunch of available performers. Though lots of youngsters are getting into financial advisory services, but the greatest challenge is of RIGHT SELLING, for which adequate Training is a prerequisite. Advisory function demands updated knowledge, backed up by honed skills to fetch effective business.
Today, NJ Gurukul has emerged as the leading provider of training solutions with a considerable contribution to the financial advisory industry. It is a silent worker, now being noticed not only by NJ Network Partners but even by students looking forward for steering to be successful, by corporate to bring shine to their employees, by industries to become more functional and by all to learn correct English through NJ Gurukul's classroom as well as the Distance Learning Programs, English for all.
Page 15
M.B.A. PROGRAMME
Finlogic Technologies India Pvt Ltd (previously Finlogic India) was started in 2000 with a view to develop software applications to support the growing (financial services) distribution business. The company possesses strong domain knowledge in the investment distribution space, as the company was promoted by NJ India Invest Pvt Ltd, a leading investment distribution company. Technology has traditionally been NJ's key strength. Our offering on the technological front is unmatched, vibrant, and comprehensive in nature. Our focus & commitment on technology can be gauged from the fact that we have set-up distinct entity with a very strong, talented work-force for the sole purpose of providing the best to NJ in terms of technology and support. Finlogic Technologies (India) Pvt. Ltd. does all the development & support work in-house on a continuous basis. It has successfully developed & implemented a powerful support system for the mutual fund distribution business at NJ with a provision for integrating the same with other investment products as well as the financial accounting system.
At NJ India Realty, company understands the challenges in shaping reality from your realty aspirations. With companys fully integrated end-to-end service model it offers solutions that would enable you to meet the challenges of development, fortify your own transformation and exploit the opportunities available in the Indian realty sector. At NJ India Realty they have made backward & forward integration of value-added services to the core-realty services which lie at the heart of the business. The services at NJ India Realty enable continual partnership right from idea to its reality, encompassing all functional & operational undertakings.
Page 16
M.B.A. PROGRAMME
NJ INDIAINVESTS ACHIEVEMENT:NJ India Invest is a growing company that can be very well proved from the below achievements. They have gained a dominant place in the Indian mutual funds distribution business Certified by the Association of Mutual Funds as AMFI registered Mutual Funds advisors Won the Pru Chairmans award twice in the year 2000 and 2002 for outstanding performance in the scheme of Prudential ICICI Mutual Fund. The chairman, prudential, presented the award at London both the times. Won many other awards and certificates for outstanding performance in various Mutual Funds schemes. It has acquired about 15 to 17% share of total mutual fund business of Gujarat. Received the award for the year 2003-04 from HDFC mutual fund for highest selling of mutual funds. NJs director at Scotland received the award. Assets under Management (AUM) more than 950 cores. NJ India Invest has tie up with almost 25 AMC out of 37 operating in the Mutual Fund industry.
Page 17
M.B.A. PROGRAMME
Thinking at NJ India Invest

To provide reliable information
To honor our service commitments
To maintain all record in privacy
To preserve client capital
To provide appropriate feedback
To guide their future investment
To restructure investment plan on demand
Finally to provide complete solution & peace of mind on the investment front
Page 18
M.B.A. PROGRAMME
VISION AND MISSION STATEMENT OF NJ INDIA INVEST
VISION STATEMENT
To be the leader in our sector of business through: Total
Customer Satisfaction, Commitment to Excellence,
Determination to succeed and finally to Provide Peace of Mind
On investment front to society.
MISSION STATEMENT
Ensure creation of value by providing a differentiating edge to
The activities of our customers, investors and distributors
Through technnovative solutions while fulfilling our obligation
And maintaining high professional and ethical standards along With service standards
Page 19
M.B.A. PROGRAMME
AMCS WITH NJ INDIAINVEST:

Alliance Capital Mutual Fund Birla Mutual Fund Cholamandalam Cazenove Mutual Fund DSP Merrill Lynch Mutual Fund
Dundee Mutual Fund Escorts Mutual Fund First India Mutual Fund
Franklin Templeton Mutual Fund
Pioneer ITI HDFC Mutual Fund
HSBC Mutual Fund IDBI Principal IL & FS Mutual Fund ING Savings Trust JM Mutual Fund LIC Mutual Fund
Page 20
M.B.A. PROGRAMME
Prudential ICICI Mutual Fund Reliance Capital SBI Mutual Standard Chartered Mutual Fund
Sun F&C Mutual Fund
Sundaram Mutual Fund
Tata Mutual
Unit Trust Of India
Zurich India Mutual Fund
Page 21
M.B.A. PROGRAMME
SWOT ANALYSIS
STRENGHTHS
NJ India Invest is a dominant player in the Indian Mutual Funds distribution business with over a decade of experience. NJ can also provide personal websites to its clients. NJ India Invest has about 16% to 18.5% share of total Mutual Fund business of Gujarat. NJ India Invest has Assets Under Management (AUM) more than 950 cores. NJ India Invest has tie up with almost 25 AMC out of 37 operating in the Mutual Fund industry. NJ India Invest provides best services in the industry using cutting age of technology.
WEAKNESES
There are some complaints from advisors side regarding irregular dispatchment of commission. NJ India Invest, in some cases, cant convince their clients about the helpfulness of the services provided by the company.
Page 22
M.B.A. PROGRAMME
OPPORTUNITY
NJ India Invest has great opportunities in front of it as the Mutual fund has not penetrated in the Indian financial market. NJ India Invest can utilize the dominant position it has and optimally use the huge network of its partners.
NJ India Invest can use its network of partners in selling Insurance;

even company can jump in to share trading business.
THREATS
NJ India Invest is facing competition from the new entrant like Anagram Security, Karvey Security and many new and local players. Company also faces competition from IFA who are doing direct business in the AMC.
Page 23
M.B.A. PROGRAMME
3.1) 3.2)
INTRODUCTION OF MUTUAL FUNDS HISTORY OF MUTUAL FUNDS IN INDIA PHASES OF MUTUAL FUNDS IN INDIA RISK ASSOCIATED WITH MUTUAL FUND WHAT IS MUTUAL FUND? STRUCTURE OF MUTUAL FUNDS TYPES OF MUTUAL FUNDS ADVANTAGES OF MUTUAL FUNDS
3.3)
3.4)
3.5) 3.6) 3.7) 3.8)
Page 24
M.B.A. PROGRAMME
INTRODUCTION OF MUTUAL FUND

A Mutual Fund is a trust that pools the savings of a number of investors who share a common financial goal. The money thus collected is invested by the fund manager in different types of securities depending upon the objective of the scheme. These could range from shares to debentures to money market instruments. The income earned through these investments and the capital appreciation realized by the scheme is shared by its unit holders in proportion to the number of units owned by them (pro rata). 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 portfolio at a relatively low cost. Anybody with an investible surplus of as little as a few thousand rupees can invest in Mutual Funds. Each Mutual Fund scheme has a defined investment objective and strategy. A mutual fund is the ideal investment vehicle for todays complex and modern financial scenario. Markets for equity shares, bonds and other fixed income instruments, real estate, derivatives and other assets have become mature and information driven. Price changes in these assets are driven by global events occurring in faraway places. A typical individual is unlikely to have the knowledge, skills, inclination and time to keep track of events, understand their implications and act speedily. An individual also finds it difficult to keep track of ownership of his assets, investments, brokerage dues and bank transactions etc.
A mutual fund is the answer to all these situations. It appoints professionally qualified and experienced staff that manages each of these functions on a full time basis. The large pool of money collected in the fund allows it to hire such staff at a very low cost to each investor. In effect, the mutual fund vehicle exploits economies of scale in all three areas - research, investments and transaction processing. While the concept of individuals coming together to invest money collectively is not new, the mutual fund in its present form is a
D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES Page 25
M.B.A. PROGRAMME
20th century phenomenon. In fact, mutual funds gained popularity only after the Second World War. Globally, there are thousands of firms offering tens of thousands of mutual funds with different investment objectives. Today, mutual funds collectively manage almost as much as or more money as compared to banks.
A draft offer document is to be prepared at the time of launching the fund. Typically, it pre specifies the investment objectives of the fund, the risk associated, the costs involved in the process and the broad rules for entry into and exit from the fund and other areas of operation. In India, as in most countries, these sponsors need approval from a regulator, SEBI (Securities exchange Board of India) in our case. SEBI looks at track records of the sponsor and its financial strength in granting approval to the fund for commencing operations.
A sponsor then hires an asset management company to invest the funds according to the investment objective. It also hires another entity to be the custodian of the assets of the fund and perhaps a third one to handle registry work for the unit holders (subscribers) of the fund.
In the Indian context, the sponsors promote the Asset Management Company also, in which it holds a majority stake. In many cases a sponsor can hold a 100% stake in the Asset Management Company (AMC). E.g. Birla Global Finance is the sponsor of the Birla Sun Life Asset Management Company Ltd., which has floated different mutual funds schemes and also acts as an asset manager for the funds collected under the scheme.
Page 26
M.B.A. PROGRAMME
DEFINITION OF MUTUAL FUND? Mutual funds are investment companies whose job is to handle their investors money by reinvesting it into stocks, bonds, government securities or a combination of two things A Mutual Fund is a trust that pools the savings of a number of investors who share a common financial goal. The money thus collected is then invested in capital market instruments such as shares, debentures and other securities. The income earned through these investments and the capital appreciation realized is shared by its unit holders 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. The flow chart below describes broadly the working of a mutual fund:
Mutual Fund Operation Flow Chart
Page 27
M.B.A. PROGRAMME
HISTORY OF MUTUAL FUNDS IN INDIA:

The end of millennium marks 36 years of existence of mutual funds in this country. The ride through these 36 years is not been smooth. Investor opinion is still divided. While some are for mutual funds others are against it. UTI commenced its operations from July 1964. The impetus for establishing a formal institution came from the desire to increase the propensity of the middle and lower groups to save and to invest. UTI came into existence during a period marked by great political and economic uncertainty in India. With war on the borders and economic turmoil that depressed the financial market, entrepreneurs were hesitant to enter the capital market. The already existing companies found it difficult to raise fresh capital, as investors did not respond adequately to new issues. Earnest efforts were required to canalize savings of the community into productive uses in order to speed up the process of industrial growth. The Finance Minister, T.T. Krishnamachari set up the idea of a unit trust that would be "open to any person or institution to purchase the units offered by the trust. However, this institution as we see it, is intended to cater to the needs of individual investors, and even among them as far as possible, to those whose means are small" His ideas took the form of the Unit Trust of India, an intermediary that would help fulfill the twin objectives of mobilizing retail savings and investing those savings in the capital market and passing on the benefits so accrued to the small investors. UTI commenced its operations from July 1964 "with a view to encouraging savings and investment and participation in the income, profits and gains accruing to the Corporation from the acquisition, holding, management and disposal of securities." Different provisions of the UTI Act laid down the structure of management, scope of business, powers and functions of the Trust as well as accounting, disclosures and regulatory requirements for the Trust. One thing is certain - the fund industry is here to stay. The industry was one-entity show till 1986 when the UTI monopoly was broken when SBI and Can bank mutual fund entered the area. This was followed by the entry of others like BOI, LIC, GIC, etc. sponsored by public sector banks. Starting with an asset base of Rs 0.25 in 1964 the industry has grown at a compounded average growth rate of 26.34% to its current size of Rs 1130. The period 19861993 can be termed as the period of public sector mutual funds (PMFs).
Page 28
M.B.A. PROGRAMME
PHASES OF MUTUAL FUND IN INDIA (1964-2000)

The mutual fund industry can be broadly put into four phases according to the development of the sector. Each phase is briefly described as under. FIRST PHASE - 1964-87 Unit Trust of India (UTI) was established on 1963 by an Act of Parliament. It was set up by the Reserve Bank of India and functioned under the Regulatory and administrative control of the Reserve Bank of India. In 1978 UTI was de-linked from the RBI and the Industrial Development Bank of India (IDBI) took over the regulatory and administrative control in place of RBI. The first scheme launched by UTI was Unit Scheme 1964. At the end of 1988 UTI had Rs.6,700 cores of assets under management. SECOND PHASE - 1987-1993 (ENTRY OF PUBLIC SECTOR FUNDS) Entry of non-UTI mutual funds. SBI Mutual Fund was the first followed by Canbank Mutual Fund (Dec 87), Punjab National Bank Mutual Fund (Aug 89), Indian Bank Mutual Fund (Nov 89), Bank of India (Jun 90), Bank of Baroda Mutual Fund (Oct 92). LIC in 1989 and GIC in 1990. The end of 1993 marked Rs.47,004 as assets under management. THIRD PHASE - 1993-2003 (ENTRY OF PRIVATE SECTOR FUNDS) with the entry of private sector funds in 1993, a new era started in the Indian mutual fund industry, giving the Indian investors a wider choice of fund families. Also, 1993 was the year in which the first Mutual Fund Regulations came into being, under which all mutual funds, except UTI were to be registered and governed. The erstwhile Kothari Pioneer (now merged with Franklin Templeton) was the first private sector mutual fund registered in July 1993. The 1993 SEBI (Mutual Fund) Regulations were substituted by a more comprehensive and revised Mutual Fund Regulations in 1996. The industry now functions under the SEBI (Mutual Fund) Regulations 1996.The number of mutual fund houses went on increasing, with many foreign mutual funds setting up funds in India and also the industry has witnessed several mergers and acquisitions.
Page 29
M.B.A. PROGRAMME
FOURTH PHASE - SINCE FEBRUARY 2003 This phase had bitter
experience for UTI. It was bifurcated into two separate entities. One is the Specified Undertaking of the Unit Trust of India with AUM of Rs.29, 835 cores (as on January 2003). The Specified Undertaking of Unit Trust of India, functioning under an administrator and under the rules framed by Government of India and does not come under the purview of the Mutual Fund Regulations. The second is the UTI Mutual Fund Ltd, sponsored by SBI, PNB, BOB and LIC. It is registered with SEBI and functions under the Mutual Fund Regulations. With the bifurcation of the erstwhile UTI which had in March 2000 more than Rs.76, 000 cores of AUM and with the setting up of a UTI Mutual Fund, conforming to the SEBI Mutual Fund Regulations, and with recent mergers taking place among different private sector funds, the mutual fund industry has entered its current phase of consolidation and growth. As at the end of September, 2004, there were 29 funds, which manage assets of Rs.153108 cores under 421 schemes.
Page 30
M.B.A. PROGRAMME
FIFTH PHASE V. GROWTH AND CONSOLIDATION - 2004
ONWARDS The industry has also witnessed several mergers and acquisitions recently, examples of which are acquisition of schemes of Alliance Mutual Fund by Birla Sun Life, Sun F&C Mutual Fund and PNB Mutual Fund by Principal Mutual Fund. Simultaneously, more international mutual fund players have entered India like Fidelity, Franklin Templeton Mutual Fund etc. There were 29 funds as at the end of March 2006. This is a continuing phase of growth of the industry through consolidation and entry of new international and private sector players.
Page 31
M.B.A. PROGRAMME
RISKS ASSOCIATED WITH MUTUAL FUND:
THE RISK-RETURN TRADE-OFF
The most important relationship to understand is the risk-return trade-off. Higher the risk greater the returns/loss and lower the risk lesser the returns/loss. Hence it is up to you, the investor to decide how much risk you are willing to take. In order to do this you must first be aware of the different types of risks involved with your investment decision.
MARKET RISK:
Sometimes prices and yields of all securities rise and fall. Broad outside influences affecting the market in general lead to this. This is true, may it be big corporations or smaller mid-sized companies. This is known as Market Risk. A Systematic Investment Plan (SIP) that works on the concept of
Rupee Cost Averaging (RCA) might help mitigate this risk
Page 32
M.B.A. PROGRAMME
CREDIT RISK:
The debt servicing ability (may it be interest payments or repayment of principal) of a company through its cash flows determines the Credit Risk faced by you. This credit risk is measured by independent rating agencies like CRISIL who rate companies and their paper. An AAA rating is considered the safest whereas a D rating is considered poor credit quality. A welldiversified portfolio might help mitigate this risk.
INFLATION RISK:
Things you hear people talk about: Rs. 100 today is worth more than Rs. 100 tomorrow. Remember the time when a bus ride costed 50 paisa? The root cause, Inflation. Inflation is the loss of purchasing power over time. A lot of times people make conservative investment decisions to protect their capital but end up with a sum of money that can buy less than what the principal could at the time of the investment. This happens when inflation grows faster than the return on your investment. A well-diversified portfolio with some investment in equities might help mitigate this risk.
INTEREST RATE RISK:
In a free market economy interest rates are difficult if not impossible to predict. Changes in interest rates affect the prices of bonds as well as equities. If interest rates raise the prices of bonds fall and vice versa. Equity might be negatively affected as well in a rising interest rate environment. A welldiversified portfolio might help mitigate this risk.
Page 33
M.B.A. PROGRAMME
POLITICAL/GOVERNMENT POLICY RISK:
Changes in government policy and political decision can change the investment environment. They can create a favorable environment for investment or vice versa.
LIQUIDITY RISK:
Liquidity risk arises when it becomes difficult to sell the securities that one has purchased. Liquidity Risk can be partly mitigated by diversification, staggering of maturities as well as internal risk controls that lean towards purchase of liquid securities.
Page 34
M.B.A. PROGRAMME
WHAT IS MUTUAL FUND?

Investors
Invest/pool their money
Profit/Loss from portfolio of investments
Mutual Fund Co. (Pool of money)
Investing a number of stocks/bonds
Profit/Loss from individual of investments Market (Fluctuates)
A Mutual Fund is a common pool of money in to which investors with common investment objective place their contributions that are to be invested in accordance with the stated investment objective of the scheme. The investment manager would invest the money collected from the investor in to assets that are defined/ permitted by the stated objective of the scheme. For example, an equity fund would invest equity and equity related instruments and a debt fund would invest in bonds, debentures, gilts etc.
Page 35
M.B.A. PROGRAMME
STRUCTURE OF MUTUAL FUND
SEBI Trustee AMC Operations Fund Manager Sponsor
Market/Sales
Mutual Fund
Market/Sales
Schemes
Distributor
Investor
1) Sponsor:
Sponsor is the person who acting alone or in combination with another body corporate establishes a mutual fund. Sponsor must contribute at least 40% of the net worth of the Investment Managed and meet the eligibility criteria prescribed under the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996.The Sponsor is not responsible or liable for any loss or shortfall resulting from the operation of the Schemes beyond the initial contribution made by it towards setting up of the Mutual Fund.
Page 36
M.B.A. PROGRAMME
2) Trust:
The Sponsor constitutes the Mutual Fund as a trust in accordance with the provisions of the Indian Trusts Act, 1882. The trust deed is registered under the Indian Registration Act, 1908.
3) Trustee:
Trustee is usually a company (corporate body) or a Board of Trustees (body of individuals). The main responsibility of the Trustee is to safeguard the interest of the unit holders and inter alia ensure that the AMC functions in the interest of investors and in accordance with the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996, the provisions of the Trust Deed and the Offer Documents of the respective Schemes. At least 2/3rd directors of the Trustee are independent directors who are not associated with the Sponsor in any manner.
4) Asset Management Company (AMC):

The Trustee as the Investment Manager of the Mutual Fund appoints the AMC. The AMC is required to be approved by the Securities and Exchange Board of India (SEBI) to act as an asset management company of the Mutual Fund. At least 50% of the directors of the AMC are independent directors who are not associated with the Sponsor in any manner. The AMC must have a net worth of at least 10 core at all times.
5) Registrar and Transfer Agent:

The AMC if so authorized by the Trust Deed appoints the Registrar and Transfer Agent to the Mutual Fund. The Registrar processes the application form, redemption requests and dispatches account statements to the unit holders. The Registrar and Transfer agent also handles communications with investors and updates investor records.
Page 37
M.B.A. PROGRAMME
TYPES OF MUTUAL FUNDS

In the investment market, one can find a variety of investors with different needs, objectives and risk talking capacities.
Mutual Fund
On the basis of Execution and Operation
On the basis of yield and investment pattern
Close Ended
Open Ended
Income Fund
Growth Fund
Balance Fund
Specialized Fund
Money Market
Taxation Fund
Page 38
M.B.A. PROGRAMME
A. On the basis of Execution and Operation

1) Close-ended Funds: The unit capital of a close-ended product is fixed as it makes a one-time sale of fixed number of units. These schemes are launched with an initial public offer (IPO) with a stated maturity period after which the units are fully redeemed at NAV linked prices. In the interim, investors can buy or sell units on the stock exchanges where they are listed. Unlike open-ended schemes, the unit capital in closed-ended schemes usually remains unchanged. After an initial closed period, the scheme may offer direct repurchase facility to the investors. Closed-ended schemes are usually more illiquid as compared to open-ended schemes and hence trade at a discount to the NAV. This discount tends towards the NAV closer to the maturity date of the scheme.
Features:
The period and/or the target amount of the fund are definite and fixed beforehand. Once the period is over and/or the target is reached, the door is closed for the investors. They cannot purchase any more units. These units are publicly traded through stock exchange and generally, there is no repurchase facility by the fund. The main objective of this fund is capital appreciation. The whole fund is available for the entire duration of the scheme and there will not be any redemption demands before its maturity. At the time of redemption, the entire investment pertaining to a closedend scheme is liquidated and the proceeds are distributed among the unit holders.
Page 39
M.B.A. PROGRAMME
2) Open-ended Funds:
An open-end fund is one that is available for subscription all through the year. These do not have a fixed maturity. Investors can conveniently buy and sell units at Net Asset Value ("NAV") related prices. The key feature of openend schemes is liquidity.
Features:
There is complete flexibility with regard to one's investment or disinvestment. These units are not publicly traded but the Fund is ready to repurchase them and resell them at any time. The investor is offered install liquidity in the sense that the unit can be sold on any working day to the Fund. The main objective of this fund is income generation. The inventors get dividend, right or bonuses as rewards for their investment. Generally, the listed prices are close to their Net Asset Value. The Fund fixes a different price for their purchases and sales.
Page 40
M.B.A. PROGRAMME
B. On the basis of yield and investment pattern
1) Income Funds:
The aim of income funds is to provide regular and steady income to investors. Such schemes generally invest in fixed income securities such as bonds, corporate debentures and Government securities. Income Funds are ideal for capital stability and regular income.
Features:
The investor is assured of regular income at periodic intervals, says Half- yearly or years and so on.
The main objective of this type fund is to declare regular dividends and not capital appreciation.
The pattern of investment is oriented towards high and fixed income yielding securities like debentures, bonds etc.
This is best suited to the old and retired people who may not have any regular income.
It concerns itself with short run gains only.
Page 41
M.B.A. PROGRAMME
2) Growth Funds:
The aim of growth funds is to provide capital appreciation over the medium to long- term. Such schemes normally invest a majority of their corpus in equities. It has been proven that returns from stocks, have outperformed most other kind of investments held over the long term. Growth schemes are ideal for investors having a long-term outlook seeking growth over a period of time.
Features:
The Growth oriented fund aims at meeting the investors' need for capital appreciation. The Investment strategy therefore, conforms to the Fund objective by investing the fund predominantly on equities with high growth potential. The Fund tries to get capital appreciation by taking much risk and investing on risk bearing equities and high growth equity shares. The Fund may declare dividend, but its principal objective is only capital appreciation. This is best suited to salaried and business people who have high risk bearing capacity and ability to defer liquidity. They can accumulate wealth for future needs.
3) Balance Funds:
The aim of balanced funds is to provide both growth and regular income. Such schemes periodically distribute a part of their earning and invest both in equities and fixed income securities in the proportion indicated in their offer documents. In a rising stock market, the NAV of these schemes may not normally keep pace, or fall equally when the market falls. These are ideal for investors looking for a combination of income and moderate growth.
4) Specialized Funds:
M.B.A. PROGRAMME
Index schemes:
The primary purpose of an Index is to serve as a measure of the
performance of the market as a whole, or a specific sector of the market. An Index also serves as a relevant benchmark to evaluate the performance of mutual funds. Some investors are interested in investing in the market in general rather than investing in any specific fund. Such investors are happy to receive the returns posted by the markets. As it is not practical to invest in each and every stock in the market in proportion to its size, these investors are comfortable investing in a fund that they believe is a good representative of the entire market. Index Funds are launched and managed for such investors. An example to such a fund is the HDFC Index Fund.
5) Tax Saving schemes:

Investors (individuals and Hindu Undivided Families HUFs) are being encouraged to invest in equity markets through Equity Linked Savings Scheme (ELSS) by offering them a tax rebate. Units purchased cannot be assigned / transferred/ pledged / redeemed / switched out until completion of 3 years from the date of allotment of the respective Units.
6) Money Market Funds:

The aim of money market funds is to provide easy liquidity, preservation of capital and moderate income. These schemes generally invest in safer shortterm instruments such as treasury bills, certificates of deposit, commercial paper and inter-bank call money. Returns on these schemes may fluctuate depending upon the interest rates prevailing in the market. These are ideal for corporate and individual investors as a means to park their surplus funds for short periods.
Page 43
M.B.A. PROGRAMME
Advantages of Mutual Fund:Mutual funds serve as a link between the saving public and the capital markets. They mobilize savings from the investors and bring them to borrowers in the capital markets. Today mutual funds are fast emerging as the favorite investment vehicle because of the many advantages they have over other forms and avenues of investing. The major advantages offered by mutual funds to all investors are:
1. Professional Management:Mutual Funds provide the services of experienced and skilled professionals, backed by a dedicated investment research team that analyses the performance and prospects of companies and selects suitable investments to achieve the objectives of the scheme.
2. Diversification:Mutual Funds invest in a number of companies across a broad crosssection of industries and sectors. This diversification reduces the risk because seldom do all stocks decline at the same time and in the same proportion. You achieve this diversification through a Mutual Fund with far less money than you can do on your own.
3. Convenient Administration:Investing in a Mutual Fund reduces paperwork and helps you avoid many problems such as bad deliveries, delayed payments and follow up with brokers and companies. Mutual Funds save your time and make investing easy and convenient.
4. Return Potential:Over a medium to long-term, Mutual Funds have the potential to provide a higher return as they invest in a diversified basket of selected securities.
5. Low Cost:Mutual Funds are a relatively less expensive way to invest compared to directly investing in the capital markets because the benefits of scale in brokerage, custodial and other fees translate into lower costs for investors.
6. Liquidity:D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES Page 44
M.B.A. PROGRAMME
In open-end schemes, the investor gets the money back promptly at net asset value related prices from the Mutual Fund. In closed-end schemes, the units can be sold on a stock exchange at the prevailing market price or the investor can avail of the facility of direct repurchase at NAV related prices by the Mutual Fund.
7. Transparency:You get regular information on the value of your investment in addition to disclosure on the specific investments made by your scheme, the proportion invested in each class of assets and the fund manager's investment strategy and outlook.
8. Flexibility:Through features such as regular investment plans, regular withdrawal plans and dividend reinvestment plans, you can systematically invest or withdraw funds according to your needs and convenience.
9. Affordability:Investors individually may lack sufficient funds to invest in high-grade stock. A mutual fund because of its large corpus allows even a small investor to take the benefit of its investment strategy.
10.Choice of schemes:Mutual Funds offer a family of schemes to suit your varying needs over a lifetime.
11.Well Regulated:All Mutual Funds are registered with SEBI and they function within the provision of strict regulations designed to protect the interests of investors. The operations of Mutual Funds are regularly monitored by SEBI.
Page 45
M.B.A. PROGRAMME
3.1) 3.2) 3.3) 3.4) 3.5) 3.6)
RESEARCH PROBLEM RESEARCH DESIGN SORUCES OF DATA COLLECTION SAMPLING SAMPLE STUDY LIMITATION OF STUDY
Page 46
M.B.A. PROGRAMME
RESEARCH METHODOLOGY:
Research methodology gives students the necessary training in gathering materials and arranging them, participation in the field work when required and techniques for the collection of data appropriate to a particular problem in the use of statistics questionnaire and controlled experimentation and in recording evidence, sorting it out and interpreting it thereafter.
RESEARCH PROBLEM:
Role Of Mutual Fund Advisor In NJ India Invest
RESEARCH DESIGN:
Research design constitutes the blueprint for the collection, measurement and analysis of data. Research design aids the research in the allocation of the limit research by posing crucial choices in methodology. Research design is the plan and structure of investigation so conceived as to obtain answer to research questions. The plant is overall scheme or program of the research. It includes an outline of what investigator will do from return hypothesis and their operational implication to the final analysis of data. In research design, there are three types of studies: Exploratory Study Descriptive Study Causal Study
Descriptive Study:
In this research, I have used descriptive study. Descriptive study describe about Who, What, When, Where, How are the questions for researcher to find their answers during the study. A descriptive study may be simple or complex. I have needed to find that all answers of these questions which come in descriptive study.
Page 47
M.B.A. PROGRAMME
SOURCES OF DATA COLLECTION:

Primary Source:In this research study, survey is primary source of data collection. To measure the awareness among insurance agents about mutual funds need conduct survey on insurance agents.
Secondary Source:Secondary data sources are like book, magazines, company booklets, bibliographies, newspaper, dictionaries, textbooks, handbooks. Second sub topic is study on mutual fund of my research study. I select the AMFI text book, financial newspaper; NJ Mutual funds information booklets, NJs magazines for the collection of secondary data. Also the INTERPRETATION of the primary data which collected from the survey.
SAMPLING:
The basic idea of sampling is that by selecting some of the elements in a population, we may draw conclusions about the entire population. A population element is the Mutual Fund advisor connected with NJ INDIA Invest Pvt. Ltd.
Page 48
M.B.A. PROGRAMME
SAMPLE STUDY:
Sample Size:Sample size is selected portion of all the population. My study was conducted in Surat. There is more than500 Mutual Fund advisor connected with NJ, at surat (Majura gate). From all of them, I have selected sample size of 50 MF Advisor of NJ.
Sample unit:Sample unit in this study only Mutual Fund Advisors of NJ, because my research study was conducted only on Mutual Fund Advisors.
Page 49
M.B.A. PROGRAMME
LIMITATION OF STUDY:
As the data available to me has been taken from the primary sources (like questionnaire survey). Because of the time limitation, it may be possible that some important data are left out. The data which are very useful for the analysis are lacking in this Project or contract that are still in negotiation or any kind of deal which is in-process. Here that is ignored. As the time available was very less, so analysis has been done only of 50 sample size survey. This may led to misinterpretation of the study.
Page 50
M.B.A. PROGRAMME
Page 51
M.B.A. PROGRAMME
INTERPRETATION OF QUESTIONNAIRE
1. For how long have you been associated as a mutual fund advisor?
Year <1 1-3 3-5 >5
Advisor 13 20 10 7
Advisor
25 F r 20 e q 15 u 10 e n 5 c y 0 <1 1 to 3 Year 3 to 5 >5
Advisor
INTERPRETATION
In the above Bar Chart we can see that 26% of the total respondents are having experience of below year, 40% of the total respondents are having experience of 1 to 3 years, 20% of the total respondents are having experience of 3 to 5 and 14% of the total respondents are having experience more than 5 years
Page 52
M.B.A. PROGRAMME
2. What is the current Asset Under management (AUM) under your advice in mutual fund?
Rs (Lacs.) <10lacks 10 -30 lacks 30-50lacks 50-100 lacks 100-250 lacks 250-500 lacks 500-800 lacks >800 lacks Frequency 0 1 2 6 3 15 18 5
AUM under MF
F r e q u e n c y 20 18 16 14 12 10 8 6 4 2 0 18 15
6 2 3
0 <10lacks
10 -30 30-50lacks 50-100 lacks lacks
100-250 lacks
250-500 lacks
500-800 >800 lacks lacks
AUM (Rs.)
INTERPRETATION
On the basis of survey researcher has found; From the above chart we can say that, there is no MF advisor has below 10 lacks AUM, on an average MF Advisor has an AUM between 2.5 to 8 Corers.
Page 53
M.B.A. PROGRAMME
3. What are the reasons according to you for investors to investing in mutual fund?
Purpose for investment Professional Management Portfolio Diversification Risk Reduction Capital Gain Scheme selection Frequency 4 18 16 8 4
Reason for Investment

20 F r 15 e q 10 u n 5 c y 0
Professional Management
Portfolio Diversification
Risk Reduction
Capital Gain
Scheme selection
Purposeof investment
INTERPRETATION
On the basis of survey researcher has found; We can say that, there is 36 % investor who has preferred Portfolio diversification and 32% investors preferred Risk Reduction of their investment.
Page 54
M.B.A. PROGRAMME
4. Which type of investment is more advisable to investor for long term growth?
Type of investment Lump sum SIP (Systematic Investment Plan)
Frequency 15 35
Types of Investment
Lump sum 30% SIP (Systematic Investment Plan) 70%
INTERPRETATION
In the above pie chart we found that 70% of the total respondents give advice for investing into systematic investment plan for better earnings 30% of the total respondents give advice for investing into lump sum for better earnings.
Page 55
M.B.A. PROGRAMME
5. Which are the top 5 mutual fund houses do you prefer for your investors?
Scheme HDFC RELIANCE ICICI Prudential BIRLA Sun Life UTI 1 35 20 21 15 10 2 10 10 8 17 8 Rank 3 5 10 8 10 7 4 0 5 7 0 6 5 0 5 6 0 0
Investors Prefere MF
40 F r e q u n c y 35 30 25 20 15 10 5 0 1 2 3 Rank 4 5 HDFC RELIANCE ICICI Prudential BIRLA Sun Life UTI
INTERPRETATION
So, we analyze that HDFC on 1st place because this AMC has given consistent return to its investor, so MF advisor give first preference to invest in this AMC. Reliance AMC performance is considerably reduced by time to time, so it goes to 2nd place. And ICICI has improved the performance over past year so it is come at 3 from 4th position.
M.B.A. PROGRAMME
6. Which mutual fund scheme is most offered by you to investors of mutual fund?
RANK Large Cap Funds Mid Cap Funds Balanced funds Blend Funds 1 22 17 12 2 2 8 12 10 6 3 8 8 8 10 4 6 7 11 15 5 6 6 9 17
25 F 20 r e 15 q u 10 n c 5 y 0
MF Scheme offered by Advisor
Large Cap Funds Mid Cap Funds Balanced funds Blend Funds
3 Rank
INTERPRETATION
Hence, from the analysis we can find that large cap fund is on 1 st preference and mid cap fund at 2nd prefer for advisor to invest in MF. From the above data we can find that large cap fun is more advisable because in a market scenario when its recession this companies stocks are correct but speedily gone up in boom period. And second preference is to mid cap fund because of this company give better performance than previous year this companies stocks raise better than large cap company. A small proportion change in net profit does not lead to increase the stock price of large cap company.
Page 57
M.B.A. PROGRAMME
7. Which Alternate option will you suggest to your client if he refuses to invest in MF?
Other investment option POST BANK FD REAL ESTATE GOLD Frequency 4 12 15 19
Option suggest by advisor for Investment

F r e q u e n c y 20 18 16 14 12 10 8 6 4 2 0 POST BANK FD REAL ESTATE GOLD Other Investment Option
INTERPRETATION
In the basis of survey we can find that the NJ mutual Fund advisor give most preferred suggestion to investor invest in Gold if his client refuse to invest in mutual fund and also give suggestion to investor invest in Real estate.
Page 58
M.B.A. PROGRAMME
8. Which are the unique services provided from the NJ India invest in mutual fund industry and motivate you to do more business
Services Customer Care Technology Online Desk both ( Advisor and client) Training Monthly Meet
Frequency 9 7 14 11 9
Unique Service Provide by NJ

16 F 14 r 12 e q 10 u 8 e 6 n 4 c 2 y 0 Customer Care Technology Online Desk both ( Advosor and client) Services Provide Training Monthly Meet
INTERPRETATION:
From the above diagram researcher interpreted that online desk service motivates 28% advisor to work with NJ. Training session of NJ motivate the 22% of advisor. Customer care and monthly meet has same service provide by Advisor while Technology has least preferred.
Page 59
M.B.A. PROGRAMME
9. DO you satisfy with the Services provided by NJ India invest Pvt. ltd?
Response Yes No Frequency 38 12
Satisfaction Level
No 24%
Yes 76%
INTERPRETATION
On the basis of survey research found that 76% of mutual Fund advisor satisfied with the service provided by NJ and 24% of mutual fund advisor are not.
Page 60
M.B.A. PROGRAMME
6.1) FINDING 6.2) SUGGESTION 6.3) CONCLUSION
FINDING & SUGGESTION

M.B.A. PROGRAMME
Finding:
There are 22 mutual fund advisors are positive to become a partner of NJ INDIA INVEST PVT. LTD To start any type of business you require huge investment but to start business with NJ, if you have only Rs.6500 you start your business. After joining with NJ mutual fund advisors get their own business code. On that business code they can know about their business and their clients investment. Mutual fund advisors takes help of NJ for joint calls and satisfies the customer needs. NJ has multiple mutual fund products so mutual fund advisors can choose better products and serve to clients. If mutual fund advisors AUM is above 2 corers, then he can join in realty without any paying any fees. Mutual fund advisors give better products to customers for getting better returns to customers. NJ arranges every month meeting for Mutual Fund advisors to provide something extra ordinary information which helps advisor to increase their business in MF. Mutual Fund advisors are helping to clients for financial planning according to investors objective.
Page 62
M.B.A. PROGRAMME
SUGGESTION:
Mutual Fund advisors have to analyzed the customers need and according to that serve different product. Most of the advisor says release Trail commission on monthly basis. Provide more Schemes to advisors for generative more business. Now onward NJ also provides suggestion to its MF advisor for specific scheme.
Page 63
M.B.A. PROGRAMME
CONCLUSION
This study has made an attempt to understand the financial behavior of Mutual Fund investors in connection with the preferences of Brand (AMC), Products, and Channels etc. I observed that many of people have fear of Mutual Fund. (Because their lack of knowledge about MF and they had not yet set their life goals.) They need the knowledge of Mutual Fund and its related terms. All most people do not have invested in mutual fund due to lack of awareness although they have money to invest. As the awareness increase and income is growing the number of mutual fund investors are also growing.
Distribution channels are also important for the investment in mutual fund. Mutual Fund Advisors are the most preferred channel for the investment in mutual fund. They can change investors mind from one investment option to others. Many of investors directly invest their money through AMC because they do not have to pay entry load. Only those people invest directly who know well about mutual fund and its operations and those have time.
Page 64
M.B.A. PROGRAMME
BIBLIOGRAPHY
WEBSITES:
www.njindiainvest.com www.amfi.com www.mutualfundindia.com www.moneycontrol.com www.mutualfunds.about.com
Page 65
M.B.A. PROGRAMME
ANNEXURE
Questionnaire
Research Problems:-
Role of Mutual Fund Advisor in NJ India Invest

Objective:Myself, SACHIN SUGANCHAND BAHETI student of MBA, studying at D.K.T.E. TEXTILE AND ENGINEERING INSTITUTE. This survey is conducted for pure study purpose & research. I would be grateful to you if you provide your honest and valuable opinion. I assure to you that the information and personal detail which provide by you should be confidential. 1) For how long have you been associated as a mutual fund advisor with NJ? 0-1year 3-5year 1-3year >5year
2) What is your current Asset Under management (AUM) in mutual fund in NJ India Invest? <10lacks 30-50lacks 100-250 lacks 500-800 lacks 10 -30 lacks 50-100 lacks 250-500 lacks >800 lacks
Page 66
M.B.A. PROGRAMME
3) What are the reasons according to you for investors to investing in mutual fund? Professional management Risk Reduction Scheme selection Portfolio Diversification Capital gain
4) Which type of investment is more advisable to investor for long term growth? Lump sum SIP (Systematic Investment Plan)
5) Which are the top 5 mutual fund houses do you prefer for your investors?
Rank 3
Scheme HDFC RELIANCE ICICI Prudential BIRLA Sun Life UTI
6) Which mutual fund scheme is most offered by you to investors of mutual fund? RANK Large Cap Funds Mid Cap Funds Balanced funds Blend Funds 1 2 3 4 5
7) Which Alternate option will you suggest to your client if he refuses to invest in MF? POST BANK FD
Page 67
M.B.A. PROGRAMME
REAL ESTATE
GOLD
8) Which are the unique services provided from the NJ India invest in mutual fund industry and motivate you to do more business 9) DO you satisfy with the Services provided by NJ INDIA INVEST PVT LTD? Yes No
If No, Provide your valuable feedback to improve our service: _________________________________________________________ _________________________________________________________ ________________________
Personal Detail of Respondent:Name: E-mail ID.. Gender: . Age: .. Occupation: Income (monthly): Phone No: ....
Thank you for giving your valuable time and creating interest to fill up questionnaire.
Page 68

Final Project of Perseption

Caricato da

Informazioni sul documento

Copyright

Formati disponibili

Condividi questo documento

Condividi o incorpora il documento

Opzioni di condivisione

Hai trovato utile questo documento?

Questo contenuto è inappropriato?

Copyright:

Formati disponibili

Final Project of Perseption

Caricato da

Copyright:

Formati disponibili

SHIVAJI UNIVERSITY, KOLHAPUR

A PROJECT REPORT ON ROLE OF MUTUAL FUND ADVISOR IN NJ INDIA INVEST

BY MASTER SACHIN SUGANCHAND BAHETI Under The Guidance Of CHIRAG DESAI

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

CERTIFICATE OF THE GUIDE

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

They show me a proper way to talk on for providing help and

I would like to thanks to MR. Sarfaraz Patel who is Zonal

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

I am thankful to all faculties of my college. They were providing

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

ABOUT TOPICS RESEARCH OBJECTIVE & PROBLEM

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

RESEARCH PROBLEM AND OBJECTIVES:

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

2.1) 2.2) 2.3) 2.4) 2.5) 2.6) 2.7) 2.8) 2.9)

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

NJ INDIA INVEST PVT. LTD.

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

OBJECTIVES OF NJ INDIA INVEST

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

SERVICE PROVIDED TO VALUABLE CLIENTS AND AGENTS

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

DIVISIONS OF NJ INDIA INVEST:

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

Thinking at NJ India Invest

To honor our service commitments

To maintain all record in privacy

To preserve client capital

To provide appropriate feedback

To guide their future investment

To restructure investment plan on demand

D.K.T.E.S DEPARTMENT OF MANAGEMENT STUDIES

SHIVAJI UNIVERSITY, KOLHAPUR

VISION AND MISSION STATEMENT OF NJ INDIA INVEST

To be the leader in our sector of business through: Total

Customer Satisfaction, Commitment to Excellence,

Determination to succeed and finally to Provide Peace of Mind

On investment front to society.

The activities of our customers, investors and distributors

Through technnovative solutions while fulfilling our obligation