Introduction of mutual fund

A mutual fund is a form of collective investment. It is a

pool of money collected from various investors which is invested according to the stated investment objective. The fund manager is the person who invests the money in different types of securities according to the predetermined objectives.

TYPES OF MUTUAL FUNDS

Mutual fund schemes may be classified on the basis of its structure and its investments.

By Structure:
Open-ended Funds Closed-ended Funds

By Investment Objective: Income Funds Balanced Funds Growth Funds Load Funds: No-Load Funds: Tax saving Schemes

Interval Funds

Performance measures of mutual funds

Past performance alone cannot be indicative of future performance. It is, frankly the only quantitative way to judge how good a fund is at present. Therefore, there is need to assess the past performance of different mutual funds correctly The performance of mutual fund, in general, can be evaluated by using the beginning and the end period net assets value (NAV) as follow: Rp =(NAV1-NAV T-1) + D1+C1)/NAV T-1

PROCESS OF MUTUAL FUND

BENEFITS OF MUTUAL FUND

Comparison of top 4 Equity Funds schemes

Reliance Equity Opportunities Fund - Retail Plan (G)
The scheme is ranked 1 in Diversified Equity category by

Crisil. Franklin India Prima Plus Fund (G) The scheme is ranked 2 in Diversified Equity category by Crisil. ICICI Prudential Dynamic Plan (G) The scheme is ranked 3 in Diversified Equity category by Crisil. HDFC Equity Fund (G) The scheme is ranked 4 in Diversified Equity category by Crisil.

Comparison of top 4 Debt funds

Birla Sun Life Short Term Fund (G) 1
45.298, 0.07 (0.16%) NAV as on Oct-18-2013

SBI Short Term Debt Fund - Regular Plan (G) 2

14.0210, 01 (0.09%) NAV as on Oct-18-2013

ICICI Prudential Short Term Plan (G) 3

24.8270, 04 (0.16%) NAV as on Oct-18-2013

HDFC High Interest Fund - Short Term Plan (G) 4

23.8740 ,04 (0.19%) NAV as on Oct-18-2013

RECOMMONDATION
The study reveals that the investors are basically

influenced by the intrinsic qualities of the product followed by efficient fund management and general image of the fund / scheme in their selection of fund schemes. Hence it is suggested that AMCs should design products consciously to meet the investors needs and should be alert to capture the changing market moods and be innovative. Continuous product development and introduction of innovative products, is a must to attract and retain this market segment

OBJECTIVES OF THE STUDY:

To understand the Functions of an Asset Management

Company To understand the performances of various schemes using various tools to measure the performances. To measure and compare the performance of selected mutual fund schemes of different mutual fund companies and other Asset Management Companies.

Conclusion
Running a successful MF requires complete understanding

of the peculiarities of the Indian stock market and also the psyche of the small investor. This study has made an attempt to understand the financial behavior of MF investors in connection with the scheme preference and selection. The post survey developments are likely to have an influence on the findings. Behavioral trends usually take time to stabilize and they get disturbed even by a slight change in any of the influencing variables.