Paper 04

■ Indian Journal of Commerce & Management Studies ■ ISSN – 2229-5674
RISK RETURN PROFILE OF INVESTMENT IN MUTUAL

FUNDS-LESSONS FROM INDIA
Dr M K Ramakrishnan,
Associate Professor,
The Post Graduate department of Commerce,
The Zamorin’s Guruvayurappan College Calicut, India
A Suchitra,
Guest Faculty,
Reshma P
, Research scholar,
ABSTRACT
The ultimate objective of mutual fund is to enhance investors’ participation in the capital
market and provide sufficient return and liquidity to their investments. The numbers of
Indians putting money in mutual fund is steadily increasing. This has lead to the entry of
several AMC’s in the mutual fund business. They represent Public sectors, Private sectors,
and Domestic and Foreign enterprises. They design variety of funds to attract Investors
The present study titled RISK RETURN PROFILE OF INVESTMENT IN MUTUAL
FUNDS- LESSONS FROM INDIA is an attempt to analyze how the mutual funds of
different AMC’s operating in India satisfy the investment objectives of investors. It was
found that Mutual funds offer a profitable investment option to increase the return of small
investors. The risk adjusted returns generated by equity linked mutual funds is found
generally higher than that of the bench mark index NIFTY. The study could not reveal any
statistically significant difference between different categories of AMC’s and funds
performance .The risk exposure of equity linked funds are generally high. However we
could not find any evidences to suggest statistically significant difference between the
categories of mutual fund and their risk exposure. With the growth in the Indian economy
the savings of people is expected to grow further .This provides ample opportunities for
mutual funds to design new products that maximizes the risk adjusted returns to the
investor. The regulators like central government and SEBI should take appropriate
measures to popularize mutual funds by offering tax soaps and other incentives to all
forms of mutual fund investments .
Keywords : Beta. Sharpe ratio. Risk return profile, NIFTY.
■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 33

1.INTRODUCTION
Mutual funds are gaining acceptance all over the world as an investment avenue for common
man due to their efficient role in reducing the risk and increasing the return through professional
management. A Mutual Fund is a fund managed by an asset management company(AMC) with the
financial objectives of generating growth or income. These AMC’s collect money from investors and
invest it in different stocks, bonds and other financial instruments in a diversified manner. The ultimate
objective of mutual fund is to enhance investors’ participation in the capital market and provide sufficient
return and liquidity to their investments. The numbers of Indians putting money in mutual fund is steadily
increasing. This has lead to the entry of several AMC’s in the mutual fund business. They represent Public
sectors, Private sectors, Domestic and Foreign enterprises. They design variety of funds to attract
Investors.
The present study titled RISK RETURN PROFILE OF INVESTMENT IN MUTUAL FUNDS-
LESSONS FROM INDIA is an attempt to analyze how the mutual funds of different AMC’s operating in
India satisfy the investment objectives of investors.
2.OBJECTIVES:
The present study is undertaken :
1. To study the risk –return profile of equity linked growth funds.
2. To analyze the risk-return profile of equity linked growth funds managed by different categories
of AMC’s.
3.METHODOLOGY
3.1. SAMPLE SIZE
The present study is a sample study. Samples were selected at random from equity linked growth funds
offered by domestic and foreign AMC’s operating in India. Samples drawn for the study includes five
funds from each group of AMC’s operating in India (See Table 1)
Table 1
SAMPLE PROFILE
A. Domestic Fund
Sl no Name Nature
1 UTI Equity Fund Equity Diversified
2 LIC MF Equity (Public sector) Equity Diversified *
3 TATA Growth Equity Diversified *
SBI Blue chip –Growth (Public
4 sector) Equity Diversified
5 ICICI growth Equity Diversified *

B. Foreign funds
Sl no Name Nature
1 ING Contra- Growth Equity Diversified *
2 HSBC Equity Fund Equity Diversified
3 Franklin India Blue chip Equity Diversified
4 Fidelity Equity - Growth Equity Diversified
5 Taurus Discovery - Growth Equity Diversified *
Note : * Small funds
3.2. DATABASE
Data pertain to the performance of the funds were drawn from secondary sources. Data published by
association of Mutual Funds of India (AMFI) form the database of the study.
3.4. TOOLS FOR ANALYSIS
Statistical tools used to study the risk return profile of mutual fund includes Sharpe ratio, and beta
coefficient. Other statistical measures such as Average, Standard Deviation , student’s t test etc were
used in appropriate places to realize the objectives of the study.
3.4.1.SHARPE RATIO
The performance measure developed by William Sharpe(1965) is referred to as the Sharpe ratio or
the reward to variability ratio. It is the ratio of the reward or risk premium to the variability of return or risk
as measured by the standard deviation of return. The formula for calculating sharp ratio may be
stated as:
Sharpe Ratio (SR) = r p – r f
σP
Where
Rp is the realized return on the portfolio
rf is the risk free rate of return. The average Return offered by 90 days Treasury bill of the
Government of India during 2008-2010 is considered as the proxy risk free return which is computed to
be 5.75 p.a
σ p is the annualized standard deviation of portfolio return.
3.4.2.BETA
Market risk is commonly measured by the Beta co-efficient. Beta reflects the sensitivity of the
fund’s return to fluctuations in the Market Index.
The formula for calculating Beta may be stated as;
Beta value= ( σ i / σ m) X rf
Where “ σ I” is the standard deviation of the fund, “ σ m” is the standard deviation of the Market, and
“rf” is the correlation coefficient of the portfolio with market.
3.5. PERIOD OF THE STUDY

The study covers a period of 2 years from 2008-2010.

4. LITERATURE REVIEW
Mutual funds are primarily designed to pool resources of common man and channalise it in to the
capital markets. As the risk exposure of capital markets are generally high, efficient management of
mutual fund is essential for protecting the interest of common man who have little knowledge about the
dynamics of the capital market. Thus lot of research has been made in India and abroad on various aspects
of mutual fund management contributing to the evolution of the mutual fund industry.
The most comprehensive study on mutual fund in India was conducted by SEBI and NCAER
(2000) covering 30000 geographically dispersed rural and urban households. The objective of the study
were to estimate the number of households and the population of individual investors, their economic and
demographic profile, portfolio size, investment preference for equity as well as other savings instruments.
It was found among other things that mutual funds have still not become an investment vehicle for small
investors. Hemant Rustagi (2007) found that mutual funds have the potential to beat inflation on a
consistent basis. Besides the tax efficiency , return profile of the instrument is also becoming an important
factor while selecting the option.. Dr Dnyandeo V Ingle (2010) conducted a study to understand the
opportunity for Retail Investors in mutual fund industry. The study revealed that the major advantage of
investing in a mutual fund is that investors get a professional money manager for equity investment for a
small fee. Dr. S. Kaliyamoorthy and G.Gayathri (2001) finds that the investors consider liquidity as the
prime factor for their preference to mutual funds. Shankar (1996) points out that the Indian investors do
view mutual funds as commodity products and AMCs, to capture the market should follow the consumer
product distribution model. Madhusudhan V Jambodekar (1996) conducted a study to assess the
awareness of mutual funds among investors to identify the information sources influencing the buying
decision and the factors influencing the buying decision and the choice of a particular fund. The study
revealed among other things that income schemes and open-ended schemes are more preferred than
growth schemes and close-ended schemes during the prevailing market condition. Investors look for
safety of principal, liquidity and capital appreciation in the order of importance while making the choice..
Syama Sunder (1998) conducted a survey to get an insight into the mutual fund operations of
private institutions with special reference to Kothari Poineer. The survey revealed that awareness about
mutual fund concept was poor during that time in small cities. Agents can play a vital role in spreading the
mutual fund culture; open-end schemes were much preferred and brand image and return are the prime
considerations while investing in any mutual fund.
From the above review it can be inferred that mutual fund as an investment vehicle is capturing the
attention of various segments of the society. All investment decisions are futuristic. Therefore it often
guided by risk return trade off.
5. DATA ANALYSIS AND DISCUSSIONS

The ultimate objective of mutual fund is to enhance investors’ participation in the capital market
and provide sufficient return and liquidity to their investments. A study of the risk profile as well as risk
adjusted returns of equity linked mutual fund offered by various classes of AMC’s is carried out here.
Sharpe ratio is used to study the Risk adjusted return profile of mutual funds .Market risk is evaluated
with the help of the beta measure. The Sharpe ratio of individual fund is compared with the corresponding
ratio of the NIFTY to study the relative performance of the fund.
5.1. RISK RETURN PROFILE OF THE NIFTY

Table 2 presents data to study the risk return profile of the of the bench mark index NIFTY.

Table No 2
RETURN PROFILE – NIFTY
QUARTER OPENING NAV CLOSING NAV RETURN
Jun-08 4735.7 4040.6 -0.14678
Sep-08 4039.8 3921.2 -0.02935
Dec-08 3921.9 2959.2 -0.24547
Mar-09 2963.3 3021 0.019455
Jun-09 3023.9 4291.1 0.419085
Sep-09 4292.3 5084 0.184435
Dec-09 5078.2 5201.1 0.024192
Mar-10 5200.9 5249.1 0.009268
Average Returns 0.029355
Standard Deviation 0.202296
Sharpe ratio 0.148096
Source : Compiled from AMFI web site .www.amfiindia.com
The Table shows the return profile of NIFTY from June 2008 to March 2010 on a quarterly basis.
NIFTY shows an average quarterly rate of return of .024 during the period of the study. The Standard
Deviation of .202 indicates the fluctuating nature of the returns.. The resultant Sharpe ratio of 0.148
indicates excess returns produced by the NIFTY to the investors during the period of study.
Let us now turn our attention of the performance of individual funds selected for the study. Funds are
classified in to two groups –Domestic and Foreign.
5.2.RISK RETURN PROFILE – DOMESTIC FUNDS

Table 3 depicts the risk adjusted return generated by UTI equity fund over the NIFTY.
Table No 3
RETURN PROFILE – UTI EQUITY FUND
Jun-08 37.94 33.62 -0.11386
Sep-08 32.34 32.96 0.019171
Dec-08 33.24 26.27 -0.20969
Mar-09 26.62 26.47 -0.00563
Jun-09 26.62 35.92 0.349361
Sep-09 36.28 45.05 0.241731
Dec-09 45.03 48.68 0.081057
Mar-10 49.17 48.35 -0.01668
Fund’s Sharpe ratio Relative To NIFTY 2.148772

The fund has achieved an average rate of return of 4.31% per quarter during the period of study.
However a closer examination of the data reveals the fluctuating nature of the generated by the fund. The
high Standard Deviation of 18.11 indicates this aspect of fund’s performance.. The Sharpe Ratio of 2.15
disclosed by the fund indicates a better performance of fund when compared with the NIFTY.
Table No 4
RETURN PROFILE – LIC MF EQUITY
Jun-08 22.31 19.08 -0.14478
Sep-08 19.26 19.23 -0.00156
Dec-08 19.34 14.82 -0.23371
Mar-09 15.15 14.26 -0.05875
Jun-09 14.58 21.62 0.482853
Sep-09 21.9 24.87 0.135616
Dec-09 24.75 25.07 0.012929
Mar-10 25.32 24.9 -0.01659
Data pertaining to the LIC mutual fund (Equity) is shown in Table 4.. The fund has generated an
average rate of return of 2.20% per quarter. The Standard Deviation of .216 shows a high fluctuating
nature of return from the fund.. The Sharpe ratio of .476 shows that NIFTY has performed better than the
fund.
Table 5 shows the return profile of TATA Growth Fund
Table No 5
RETURN PROFILE – TATA GROWTH
Jun-08 37.2 32.24 -0.13333
Sep-08 31.01 27.98 -0.09771
Dec-08 28.31 20.57 -0.2734
Mar-09 21.09 19.18 -0.09056
Jun-09 19.57 30.95 0.581502
Sep-09 31.31 37.06 0.183647
Dec-09 36.99 39.42 0.065693
Mar-10 39.75 40.01 0.006541


The fund has achieved an average return of 3.02% on quarterly basis Standard deviation of .261
reveals the fluctuating nature of the return. The return of fund has fluctuated between +.58 to -27. The
fluctuations may be attributable to fluctuations in the NIFTY during the corresponding period of study.
The Sharpe Ratio of .822 shows poor performance of the fund when compared with the benchmark index
NIFTY.
Table No 6
RETURN PROFILE – SBI BLUE CHIP GROWTH
Jun-08 12.25 10.29 -0.16
Sep-08 9.92 9.68 -0.02419
Dec-08 9.8 7.52 -0.23265
Mar-09 7.69 7.65 -0.0052
Jun-09 7.78 11.6 0.491003
Sep-09 11.74 13.69 0.166099
Dec-09 13.73 14.13 0.029133
Mar-10 14.25 14.1 -0.01053
Table 6 will help to make a closer look at the return profile of SBI Blue chip growth fund. The fund
has generated a quarterly return of 3.17% during the period of the study. A closer examination of the data
reveals the fluctuating nature of return.. The Sharpe ratio signals better performance of the fund when
compared with the benchmark index NIFTY.
Let us now turn our attention to return profile of ICICI growth fund presented in the Table 7
Table No 7
RETURN PROFILE – ICICI GROWTH
Jun-08 103.14 90.58 -0.12178
Sep-08 87.69 88.64 0.010834
Dec-08 89.57 70.45 -0.21346
Mar-09 72.01 72.94 0.012915
Jun-09 73.75 98.41 0.334373
Sep-09 99.21 116.39 0.173168

Dec-09 116.74 123.01 0.053709

Mar-10 123.01 125.02 0.01634
During the period of study the fund has disclosed an average quarterly return of 3.32%. The
standard deviation of 16.766 shows a volatile nature of the return. The Sharpe ratio of 1.522 of the period
shows that the fund has performed better than the NIFTY.
The foregoing analysis of risk return profile of domestic mutual funds using showed mixed
results. Some of the mutual funds outperformed the bench mark index NIFTY where as some other funds
failed to outperform the NIFTY.
5.3. RISK RETURN PROFILE – FOREIGN FUNDS
Tables 8 to 12 depict the return profile of foreign funds.
Table No 8
RETURN PROFILE – ING CONTRA GROWTH
Jun-08 12.12 10.67 -0.11964
Sep-08 10.37 10.55 0.017358
Dec-08 10.65 7.94 -0.25446
Mar-09 8.13 7.78 -0.04305
Jun-09 7.96 12.64 0.58794
Sep-09 12.71 15.32 0.20535
Dec-09 15.35 15.33 -0.0013
Mar-10 15.54 15.52 -0.00129
A look to the performance of ING contra fund revealed positive returns during the period. The
fund has generated an average return of 4.88 per quarter. The standard deviation of .253 shows the volatile
nature of fund.. However the fund has achieved a better performance when compared to NIFTY..
The quarterly return generated by HSBC equity fund (Growth) is displayed in Table 9.
Table No 9
RETURN PROFILE – HSBC EQUITY FUND (GROWTH )
Jun-08 87.96 79.78 -0.093
Sep-08 77.65 74.45 -0.04121
Dec-08 75.34 59.7 -0.20759

Mar-09 60.57 60.17 -0.0066

Jun-09 60.66 80.85 0.332839
Sep-09 81.72 92.14 0.127509
Dec-09 92.21 94.66 0.02657
Mar-10 95.34 95.33 -0.0001
The fund has achieved an average quarterly return of 1.73 during the period of study. The
returns fluctuated between +33.28% to -20.75% resulting in a standard deviation of .159 . The Sharpe
ratio of .247 shows that the performance of fund is lower than the NIFTY.
Table No 10
RETURN PROFILE – FRANKLIN INDIA BLUE CHIP
Jun-08 145.8 125.25 -0.14095
Sep-08 121.16 128.01 0.056537
Dec-08 129.62 100.65 -0.2235
Mar-09 102.41 101.86 -0.00537
Jun-09 103.05 151.46 0.469772
Sep-09 153.15 173.84 0.135096
Dec-09 174.8 185.69 0.0623
Mar-10 185.69 194.29 0.046314
The Franklin India Blue chip fund achieved a quarterly return of 5% during the period of study.
The standard deviation of .206 shows the fluctuating nature of fund.. The Sharp ratio of 2.33 explains
better performance of the fund.
Table No 11
RETURN PROFILE – FIDELITY EQUITY GROWTH
Jun-08 23.873 20.92 -0.1237
Sep-08 20.18 20.48 0.014866
Dec-08 20.77 16.06 -0.22677
Mar-09 16.35 16.28 -0.00428
Jun-09 16.45 23.44 0.424924

Sep-09 23.62 28.06 0.187976

Dec-09 28.04 29.9 0.066334
Mar-10 30.04 30.84 0.026631
Table 11 shows the return profile of Fidelity Equity Growth Fund during the period. The
quarterly basis fund has shown an average return 4.574%. The standard deviation of .196. this fund has
archived superior performance as disclosed by the Sharpe ratio
Table No 12
RETURN PROFILE – TAURES DISCOVERY GROWTH
Jun-08 21.26 16.67 -0.2159
Sep-08 15.83 13.99 -0.11623
Dec-08 14.05 7.71 -0.45125
Mar-09 7.94 6.89 -0.13224
Jun-09 7.08 11.87 0.676554
Sep-09 12.07 13.78 0.141674
Dec-09 13.81 14.72 0.065894
Mar-10 14.87 14.68 -0.01278
Average Returns -0.00553
Sharpe ratio -0.12059
Fund’s Sharpe ratio Relative To NIFTY -0.81477
The risk return analysis of Taurus discovery growth fund is presented in Table 12. The
performance of the fund was generally poor during the period of the study. The fund has generated a return
of -0.55%. The fund has recorded high volatility in earnings during the period of the study as indicated by
the standard deviation of .33.. The Sharpe ratio of -0.814 indicate poor performance of fund when
compared to the performance of NIFTY. The foregoing analysis of the return profile of Foreign fund also
reveled mixed results .Funds like HSBC and Taurus failed to generate better performance over the bench
mark NIFTY.
5.4. RISK PROFILE –INTER SECTORAL ANALYSIS
Risks are inherent to capital market investments. Equity linked investments carry higher levels
of risk. A comparative study of the Risk profile and risk adjusted return profile of Mutual funds is carried
out here to study the AMC characteristics on the funds performance. The risk is measured with the help of
statistical measure called Beta. For the purpose of the study AMC’s are classified in to three groups. They
are Domestic and Foreign. Public sector and private sector ,Large and small funds. Funds with a corpus
exceeds 1000 crores as on 1st April 2008 were identified as Large funds. Small funds represent funds with
a corpus of less than 1000 crore on that date .The results of the analysis are presented in Table 13.

TABLE – 13
RISK PROFILE – INTERSECTORAL STUDY
Sl no Category Beta P value

DOMESTIC FUNDS 1.0168
1 .55
FOREIGN FUNDS 1.1137
PUBLIC SECTOR FUNDS 1.0655
2 .99
PRIVATE SECTOR FUNDS 1.065
3 SMALL FUNDS 1.1887 .1

LARGE FUNDS .9418
Domestic and Foreign funds show an average Beta ratio of 1.01 and 1.11 respectively. This
indicates higher risk associated with mutual fund investments. However the difference is not significant
as indicated by the P value of the T test.
The average Beta of 1.06 of the public sector and private sector suggest moderate risk profile of the
same level of the two classes of mutual funds. The Risk exposure of small and large categories of
mutual funds shows evidences of moderate risks associated with small funds. The corresponding beta
measure of .94 shown by large funds indicative relatively lower risk profile of that class of mutual funds.
This difference is statistically significant as indicated by the P value.
5.5. RISK RETURN PROFILE –INTER SECTORAL ANALYSIS
An analysis of the risk return characteristics of different categories of funds is carried out in the following
analysis with a view to study the relative efficiencies of different categories of funds. Table 13 presents
data for a comparative study .
TABLE – 12
RISK RETURN PROFILE – INTERSECTORAL STUDY
Sl no Category Sharpe ratio P value

DOMESTIC FUNDS 1.206
1 .94
FOREIGN FUNDS 1.152
PUBLIC SECTOR FUNDS .769
2 .55
PRIVATE SECTOR FUNDS 1.28
3 SMALL FUNDS .769 .21

LARGE FUNDS 1.59
Source : Compiled from Tables 2 to 11 and AMFI web site .www.amfiindia.com
It is evident from the Table that investment in mutual fund generally provide higher returns that
the bench mark index NIFTY. The return profile of small and public sector funds are not encouraging to
the investor. These funds could not beat the bench mark index .Domestic and Foreign mutual fund have

shown higher returns as indicated by the Sharpe ratio of 1.2 and 1.15 respectively. The P value of student
T Test indicates that the difference is not statistically significant. Public sector funds showed poor
performance when compared with their counter parts in private sector. However the difference is not
statistically significant as indicated by the P value. Large funds outperformed small funds as evident from
their respective Sharpe ratios. However the difference is not statistically significant.
The forgoing analysis of the risk return characteristics of different categories of equity linked mutual
funds does not suggest any significant differences among different categories AMC’s on the return
profile of their funds.
6. CONCLUSION:
Mutual funds are one of the most studied areas in developed countries due to their efficient role in
reducing the risk and increasing the return through professional management of the funds. These funds
increase the incomes of small investors as well as reduce the unsystematic risks in the financial decisions.
This study has focused on the risk adjusted return profile of equity linked mutual fund offered by
different categories of AMC’s in India .The main findings of the study are as follows.
1. Mutual funds offer a profitable investment option to increase the return of small investors. The risk
adjusted returns generated by equity linked mutual funds is found generally higher than that of the bench
mark index NIFTY.
2.The study could not reveal any statistically significant difference between different categories of
AMC’s and funds performance .The difference if any exist may attributable to the quality of the
management of the AMC..
3.The Beta analysis revealed higher levels of risk associated with equity linked mutual funds. The
standard deviation measure also endorses this characteristic of equity linked funds .
4..The study could not find out any evidences to suggest statistically significant difference between the
categories of mutual fund and their risk exposure. The risk exposure is closely associated with the nature
of the fund
Mutual funds offer opportunities for small investors to take advantage of investment opportunities in the
stock market. With the growth in the Indian economy the savings of people is expected to grow further
.This provides ample opportunities for mutual funds to design new products that maximizes the risk
adjusted returns to the investor. The regulators like central government and SEBI should take appropriate
measures to popularize mutual funds by offering tax soaps and other incentives to all forms of mutual
fund investments.
REFERENCES
Dr. Dnyandeo . V.Ingle, (2010)”Mutual Funds: The opportunity for Retail Investors,” Facts for you,
February 2010, 23-27.
Hemant Rustagi, (2007) “Indian Mutual Fund Industry: opportunities and challenges”, Charted
Financial Analyst. January 2007, 31-32
Kaliyana moorthi.S and G.Gayathri, (2001), Investors preference towards Mutual Funds, Third
concept, November 2001, 37, 39.

Madhusudhan. V .Jambodekar (1996), “Marketing Strategies of mutual funds, Current practices and
Future Directions”, Working Paper, UTI-IIMB Centre for Capital Markets Education and Research,
Bangalore
SEBI- NCAER, (2000), Survey of Indian Investors, SEBI, Mumbai.
Shankar.v, (1996). “Retailing Mutual Fund: A consumer product model”, The Hindu, July 24, 26.
Shyama Sunder, P.V,(1998), “Growth prospects of Mutual Fund Investor perception with special
Reference to Kothari Pioneer mutual fund”, , The Free Press, New York.
8..William F. Sharpe(1966), “Mutual Fund Performance”, Journal of Business, 39, No.1,

(January1966), pp. 119-13.
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■ Indian Journal of Commerce & Management Studies ■ ISSN – 2229-5674

RISK RETURN PROFILE OF INVESTMENT IN MUTUAL

Keywords : Beta. Sharpe ratio. Risk return profile, NIFTY.

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 33

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 34

The formula for calculating Beta may be stated as;

3.5. PERIOD OF THE STUDY

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 35

5. DATA ANALYSIS AND DISCUSSIONS

5.1. RISK RETURN PROFILE OF THE NIFTY

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 36

5.2.RISK RETURN PROFILE – DOMESTIC FUNDS

Source : Compiled from AMFI web site .www.amfiindia.com

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 37

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 38

Standard Deviation 0.261633

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 39

Dec-09 116.74 123.01 0.053709

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 40

Mar-09 60.57 60.17 -0.0066

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 41

Sep-09 23.62 28.06 0.187976

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 42

Sl no Category Beta P value

3 SMALL FUNDS 1.1887 .1

5.5. RISK RETURN PROFILE –INTER SECTORAL ANALYSIS

Sl no Category Sharpe ratio P value

3 SMALL FUNDS .769 .21

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 43

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 44

SEBI- NCAER, (2000), Survey of Indian Investors, SEBI, Mumbai.

8..William F. Sharpe(1966), “Mutual Fund Performance”, Journal of Business, 39, No.1,

■ Internationally Indexed Journal ■ www.scholarshub.net ■ Vol–II , Issue -2 March 2011 ■ 45

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