A

Project
On
Comparative Study of Mutual Funds in India
SUBMITTED BY
Gopalchandra Suthar
Roll No.: 05
T.Y.B.M.S. SEMESTER V
PROJECT GUIDE
PROF. Mr. Darshak Satra
SUBMITTED TO
UNIVERSITY OF MUMBAI
VIDYA VIKAS UNIVERSAL COLLEGE
Of
Arts, Commerce & Science
Mumbai 400064.
A.Y. 2016 2017

DECLARATION
I, Gopalchandra Suthar, a student of Vidya Vikas Universal College, Malad (W)
T.Y.B.M.S. SEMESTER V hereby declare that I have completed my project
on Comparative Study of Mutual Funds in India in the Academic Year 2016
2017.
This information is true and original to the best of my knowledge.

Students Signature
(

CERTIFICATE

This is to certify that Mr.Gopalchandra Suthar, Roll no: 05 of Third Year

B.M.S., Semester V has successfully completed the project on Comparative
Study of Mutual Funds in India under the guidance of Prof. Mr. Darshak Satra
in the Academic Year 2016-2017.

Course Coordinator

Project Guide/ Internal Examiner

External Examiner

Principal

ACKNOWLEDGEMENT
Before we get into thick of things, I would like to add a few words of appreciation for the
people who have been a part of this project right from its inception. The writing of this
project has been one of the significant academic challenges I have faced and without the
support, patience, and guidance of the people involved, this task would not have been
completed. It is to them I owe my deepest gratitude.
It gives me immense pleasure in presenting this project report on "COMPARATIVE STUDY
OF MUTUAL FUNDS IN INDIA". It has been my privilege to have a team of project guide
who have assisted me from the commencement of this project. The success of this project is a
result of sheer hard work, and determination put in by me with the help of my project guide. I
hereby take this opportunity to add a special note of thanks for Prof. Darshak Satra, who
undertook to act as my mentor despite her many other academic and professional
commitments. Her wisdom, knowledge, and commitment to the highest standards inspired
and motivated me. Without her insight, support, and energy, this project wouldn't have kickstarted and neither would have reached fruitfulness.
I also feel heartiest sense of obligation to my library staff members & seniors, who helped me
in collection of data & resource material & also in its processing as well as in drafting
manuscript. The project is dedicated to all those people, who helped me while doing this
project.

NEED FOR THE STUDY:

The main purpose of doing this project was to know about mutual fund and its functioning.
This helps to know in details about mutual fund industry right from its inception stage,
growth and future prospects.
It also helps in understanding different schemes of mutual funds. Because my study depends
upon prominent funds in India and their schemes like equity, income, balance as well as the
returns associated with those schemes.
The project study was done to ascertain the asset allocation, entry load, exit load, associated
with the mutual funds. Ultimately this would help in understanding the benefits of mutual
funds to investors.

OBJECTIVE:
To give a brief idea about the benefits available from Mutual Fund investment.

To give an idea of the types of schemes available.

To discuss about the market trends of Mutual Fund investment.

To study some of the mutual fund schemes.

To study some mutual fund companies and their funds.

Observe the fund management process of mutual funds.

Explore the recent developments in the mutual funds in India.

To give an idea about the regulations of mutual funds.

LIMITATIONS
The lack of information sources for the analysis part.

Though I tried to collect some primary data but they were too inadequate for the
purposes of the study.

Time and money are critical factors limiting this study.

The data provided by the prospects may not be 100% correct as they too have their
limitations.

The study is limited to selected mutual fund schemes.

EXECUTIVE SUMMERY
A mutual fund is a scheme in which several people invest their money for a common
financial cause. The collected money invests in the capital market and the money, which they
earned, is divided based on the number of units, which they hold.
The mutual fund industry started in India in a small way with the UTI Act creating what was
effectively a small savings division within the RBI. Over a period of 25 years this grew fairly
successfully and gave investors a good return, and therefore in 1989, as the next logical step,
public sector banks and financial institutions were allowed to float mutual funds and their
success emboldened the government to allow the private sector to foray into this area.
The advantages of mutual fund are professional management, diversification, and economies
of scale, simplicity, and liquidity.
The disadvantages of mutual fund are high costs, over-diversification, possible tax
consequences, and the inability of management to guarantee a superior return.
The biggest problems with mutual funds are their costs and fees it include Purchase fee,
Redemption fee, Exchange fee, Management fee, Account fee & Transaction Costs. There are
some loads which add to the cost of mutual fund. Load is a type of commission depending on
the type of funds.
Mutual funds are easy to buy and sell. You can either buy them directly from the fund
company or through a third party. Before investing in any funds one should consider some
factor like objective, risk, Fund Managers and scheme track record, Cost factor etc.
There are many, many types of mutual funds. You can classify funds based Structure (openended & close-ended), Nature (equity, debt, balanced), Investment objective (growth, income,
money market) etc.
A code of conduct and registration structure for mutual fund intermediaries, which were
subsequently mandated by SEBI. In addition, this year AMFI was involved in a number of
developments and enhancements to the regulatory framework.
The most important trend in the mutual fund industry is the aggressive expansion of the
foreign owned mutual fund companies and the decline of the companies floated by
nationalized banks and smaller private sector players.

Reliance Mutual Fund, UTI Mutual Fund, ICICI Prudential Mutual Fund, HDFC Mutual
Fund and Birla Sun Life Mutual Fund are the top five mutual fund company in India.
Reliance mutual funding is considered to be most reliable mutual funds in India. People want
to invest in this institution because they know that this institution will never dissatisfy them at
any cost. You should always keep this into your mind that if particular mutual funding
scheme is on larger scale then next time, you might not get the same results so being a careful
investor you should take your major step diligently otherwise you will be unable to obtain the
high returns.

INDEX
SRNO.

TOPICS

1.

INTRODUCTION OF MUTUAL FUND

2.

WORKING OF MUTUAL FUND

3.

MUTUAL FUND IN INDIA

4.

RELIANCE MUTUAL FUND vs. UTI MUTUAL

FUND

5.

MUTUAL FUND vs. OTHER INVESTMENT

6.

Performance study of Mutual Funds

CONCLUSION
BIBLOGRAPHY